S T A T E   O F   N E W   Y O R K
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    S. 6405                                                  A. 9005

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

                            January 14, 2016
                               ___________

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 to amend the executive law, in relation to the appointment of an
  independent special counsel to review matters  involving  the  use  of
  deadly  physical  force  by  a  police  officer; to amend the criminal
  procedure law, in relation to grand jury reports and proceedings,  the
  district  attorney's  letter  and leave to appeal; to amend the county
  law, in relation to the appointment of a special district attorney; to
  amend the penal law, in relation to unlawful grand jury disclosure; to
  amend the executive law, in  relation  to  establishing  a  model  law
  enforcement  use  of  force  policy  and  to  reporting  duties of law
  enforcement  departments  with  respect  to  enforcement  of   certain
  violations  and misdemeanors; and to amend the criminal procedure law,
  in relation to the contents of an application  for  a  search  warrant
  (Part  A);  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 effective-
  ness thereof (Part B); to amend the tax law, in relation to suspending
  the transfer of monies into the emergency services revolving loan fund
  from the public safety communications account (Part C); to  amend  the
  executive  law  in  relation  to transferring certain functions to the
  division of state police from the division of  homeland  security  and
  emergency services (Part D); to amend chapter 268 of the laws of 1996,
  amending  the  education  law  and  the  state finance law relating to
  providing a recruitment incentive and retention  program  for  certain
  active  members  of  the  New  York  army national guard, New York air
  national guard, and New York naval militia, in relation to the  effec-
  tiveness  of such chapter (Part E); to amend chapter 83 of the laws of
  1995 amending the state finance law and other laws relating to  bonds,
  notes,  and  revenues, in relation to making certain provisions perma-
  nent; and to amend chapter 1 of the laws of 2005  amending  the  state
  finance  law relating to restricting contacts in the procurement proc-

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
              

                      [ ] is old law to be omitted.
                                                           LBD12670-01-6

S. 6405                             2                            A. 9005

  ess and the recording of contacts relating  thereto,  in  relation  to
  making  certain  provisions  permanent (Part F); to amend the workers'
  compensation law, in relation to the authorization of certain  provid-
  ers,  the  computation  of average weekly wages basis of compensation,
  penalties of the workers' compensation board, an assumption  of  work-
  ers'  compensation  liability  insurance  policy and fund for reopened
  cases financing agreement, the authority to issue aggregate penalties,
  deposits into the aggregate trust fund, the pooled individual self-in-
  sured employer fund, workers'  compensation  board,  workers'  compen-
  sation  board's  designation  to  review  appeals or any review of any
  orders, authorizations of assessments for annual expenses, payment  of
  claims  of  affected World Trade Center volunteers and to allow public
  group self-insured employers to offer alternative coverage;  to  amend
  the  public authorities law, in relation to the assumption of workers'
  compensation liability insurance policy, and the dormitory authority's
  authority to issue bonds to reduce assessments imposed on self-insured
  employers; to amend the insurance law, in relation to large deductible
  programs; and to repeal certain provisions of the  public  authorities
  law  relating thereto (Part G); to amend the workers' compensation law
  and the insurance law, in relation to provide paid family leave  bene-
  fits;  and to repeal sections 223 and 224 of the workers' compensation
  law, relating to disability benefits (Part H);  to  amend  the  public
  authorities law, in relation to establishing the New York State Design
  and  Construction Corporation act (Part I); to amend the civil service
  law, in relation to the state's contribution to  the  cost  of  health
  insurance  premiums  for  retirees  of  the state and their dependents
  (Part J);  to  amend  the  civil  service  law,  in  relation  to  the
  reimbursement of medicare premium charges (Part K); to amend the civil
  service  law,  in  relation  to  the  expiration of public arbitration
  panels (Part L); to amend the state finance law, in  relation  to  the
  dedicated  infrastructure investment fund (Part M); and to provide for
  the administration of certain funds and accounts related to the  2016-
  17  budget,  authorizing  certain payments and transfers; to amend the
  state finance law, in relation to the  rainy  day  reserve  fund,  the
  dedicated  infrastructure  investment  fund  infrastructure investment
  account, and the school tax relief fund; to amend  the  state  finance
  law,  in  relation  to  payments, transfers and deposits; to amend the
  state finance law, in relation to the period for which  appropriations
  can  be  made;  to amend chapter 60 of the laws of 2015, providing for
  the administration of certain funds and accounts related to the  2015-
  16  budget,  in relation to certain transfers and to the effectiveness
  of certain provisions thereof; to  amend  the  New  York  state  urban
  development  corporation act, in relation to funding project costs for
  certain 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 issu-
  ance 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 the issuance of bonds; to amend the public author-
  ities law, in relation to the dormitory authority; 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 issuance of bonds by the urban development corporation; to

S. 6405                             3                            A. 9005

  amend the  New  York  state  urban  development  corporation  act,  in
  relation  to  the  issuance  of bonds; to amend the public authorities
  law, in relation to the state environmental  infrastructure  projects;
  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 chal-
  lenge grant program; to amend chapter 81 of the laws of 2002, relating
  to providing for the administration  of  certain  funds  and  accounts
  related  to the 2002-2003 budget, in relation to increasing the aggre-
  gate amount of bonds to be issued by the New York state urban develop-
  ment corporation; to amend the public authorities law, in relation  to
  financing  of  peace  bridge  and  transportation capital projects; to
  amend the public  authorities  law,  in  relation  to  dormitories  at
  certain  educational  institutions  other  than  state operated insti-
  tutions and statutory or contract colleges under the  jurisdiction  of
  the  state university of New York; to amend the New York state medical
  care facilities finance agency act, in relation to  bonds  and  mental
  health  facilities  improvement notes; to amend chapter 63 of the laws
  of 2005, relating to the composition and responsibilities of  the  New
  York  state higher education capital matching grant board, in relation
  to increasing the amount of authorized  matching  capital  grants;  to
  direct  the  distribution  of local sales tax revenue from the city of
  New York; and providing for the  repeal  of  certain  provisions  upon
  expiration thereof (Part N)

  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 2016-2017
state  fiscal  year.  Each  component  is wholly contained within a Part
identified as Parts A through N. The effective date for each  particular
provision contained within such Part is set forth in the last section of
such Part. Any provision in any section contained within a Part, includ-
ing the effective date of the Part, which makes a reference to a section
"of  this  act", when used in connection with that particular component,
shall be deemed to mean and refer to the corresponding  section  of  the
Part  in  which  it  is  found. Section three of this act sets forth the
general effective date of this act.

                                 PART A

  Section 1. The executive law is amended by adding a new section 6-a to
read as follows:
  S 6-A. INDEPENDENT SPECIAL COUNSEL. 1. THE  GOVERNOR  MAY  APPOINT  AN
INDEPENDENT  SPECIAL  COUNSEL  TO  REVIEW  ANY MATTER INVOLVING CREDIBLE
ALLEGATIONS OF THE USE OF DEADLY PHYSICAL FORCE BY A POLICE  OFFICER  AS
DEFINED  IN  SUBDIVISION  THIRTY-FOUR  OF  SECTION  1.20 OF THE CRIMINAL
PROCEDURE LAW OR A PEACE OFFICER AS DEFINED IN SUBDIVISION  THIRTY-THREE
OF  SECTION 1.20 OF THE CRIMINAL PROCEDURE LAW, ACTING WITHIN HIS OR HER
OFFICIAL POWERS, DUTIES, FUNCTIONS, OR CAPACITY, AND WHERE  SUCH  DEADLY
PHYSICAL FORCE RESULTED IN THE DEATH OF AN UNARMED PERSON, AND
  (A)  AFTER  A  REVIEW  OF THE FACTS OF THE CASE, THE DISTRICT ATTORNEY
DECLINES TO PRESENT EVIDENCE TO A GRAND JURY REGARDING SUCH FATALITY; OR

S. 6405                             4                            A. 9005

  (B) AFTER PRESENTATION OF EVIDENCE TO  A  GRAND  JURY  REGARDING  SUCH
FATALITY, THE GRAND JURY DECLINES TO RETURN AN INDICTMENT ON ANY CHARGES
AGAINST SUCH POLICE OR PEACE OFFICER.
  2.  WHERE,  AS DESCRIBED IN PARAGRAPH (A) OR PARAGRAPH (B) OF SUBDIVI-
SION ONE OF THIS SECTION, THE  DISTRICT  ATTORNEY  DECLINES  TO  PRESENT
EVIDENCE  TO  A  GRAND  JURY  OR  PRESENTS  EVIDENCE  AND THE GRAND JURY
DECLINES TO RETURN AN INDICTMENT, THE DISTRICT  ATTORNEY  SHALL,  WITHIN
SIXTY DAYS OF THE OCCURRENCE OF EITHER PARAGRAPH (A) OR PARAGRAPH (B) OF
SUBDIVISION  ONE  OF THIS SECTION, BUT NO MORE THAN SIX MONTHS AFTER THE
DATE OF SUCH DEATH OF SUCH UNARMED PERSON AS  DESCRIBED  IN  SUBDIVISION
ONE OF THIS SECTION, PROVIDE TO THE INDEPENDENT SPECIAL COUNSEL: (I) ALL
EVIDENTIARY  MATERIALS  GATHERED DURING THE COURSE OF THE INVESTIGATION;
(II)  WHERE  APPLICABLE,  THE  GRAND   JURY   MINUTES,   INCLUDING   THE
INSTRUCTIONS  TO  THE GRAND JURY; (III) WHERE APPLICABLE, THE GRAND JURY
EXHIBITS; AND (IV) ANY RECORDS AND ANY OTHER EVIDENCE IN THE POSSESSION,
CUSTODY, AND CONTROL OF THE DISTRICT ATTORNEY, INCLUDING BUT NOT LIMITED
TO POLICE REPORTS, PHOTOGRAPHS,  SCIENTIFIC  REPORTS,  AUDIO  AND  VIDEO
RECORDINGS, AND PHYSICAL EVIDENCE.
  3. IF THE INDEPENDENT SPECIAL COUNSEL, AFTER A REVIEW OF ALL EVIDENTI-
ARY  AND  GRAND  JURY MATERIALS AS DESCRIBED IN THIS SECTION, DETERMINES
THAT THERE WERE: (A) SUBSTANTIAL ERRORS OF  SUCH  MAGNITUDE  THAT  THERE
EXISTS  A  REASONABLE PROBABILITY THAT AN INDICTMENT WOULD HAVE RESULTED
BUT FOR THESE ERRORS, AND THAT THE PRESUMPTION OF REGULARITY AFFORDED TO
SUCH PROCEEDINGS CAN NO LONGER APPLY; OR (B) THERE EXISTS NEWLY  DISCOV-
ERED EVIDENCE OF SUCH MAGNITUDE THAT THERE EXISTS A REASONABLE PROBABIL-
ITY  THAT HAD SUCH EVIDENCE BEEN PRESENTED TO THE GRAND JURY, AN INDICT-
MENT WOULD HAVE RESULTED, THEN HE OR SHE  SHALL  REFER  THE  MATTER  FOR
CONSIDERATION  OF APPOINTMENT OF A SPECIAL DISTRICT ATTORNEY AS PROVIDED
IN SECTION SEVEN HUNDRED-ONE-A OF THE COUNTY LAW.
  4. THE EVIDENTIARY AND GRAND JURY MATERIALS PROVIDED TO THE  INDEPEND-
ENT  SPECIAL COUNSEL AS DESCRIBED IN THIS SECTION SHALL REMAIN CONFIDEN-
TIAL AND SHALL NOT BE SUBJECT TO DISCLOSURE UNDER  ARTICLE  SIX  OF  THE
PUBLIC  OFFICERS  LAW  AND, FOR PURPOSES OF THIS ARTICLE, THE RELEASE OF
EVIDENTIARY MATERIALS AND GRAND JURY MATERIALS BY THE DISTRICT  ATTORNEY
TO THE INDEPENDENT SPECIAL COUNSEL SHALL BE CONSIDERED ACTING WITHIN THE
SCOPE OF THE LAWFUL DISCHARGE OF THE DISTRICT ATTORNEY'S DUTIES PURSUANT
TO  PARAGRAPH  (A) OF SUBDIVISION FOUR OF SECTION 190.25 OF THE CRIMINAL
PROCEDURE LAW, AND  THEREFORE  NOT  UNLAWFUL  DISCLOSURE  UNDER  SECTION
215.70 OF THE PENAL LAW.
  5.  FOR  PURPOSES  OF THIS ARTICLE AND PURSUANT TO SUBDIVISION FOUR OF
SECTION 190.25 OF THE CRIMINAL PROCEDURE LAW, THE GRAND  JURY  MATERIALS
PROVIDED  TO THE INDEPENDENT SPECIAL COUNSEL SHALL REMAIN SECRET, EXCEPT
THAT THE INDEPENDENT  SPECIAL  COUNSEL  IS  PERMITTED  TO  DISCLOSE  THE
EVIDENTIARY AND GRAND JURY MATERIALS TO THE GOVERNOR, OR HIS DESIGNEE AS
PART  OF  A  RECOMMENDATION  MADE  PURSUANT TO SUBDIVISION THREE OF THIS
SECTION AND SUCH DISCLOSURE SHALL NOT BE AN UNLAWFUL GRAND JURY  DISCLO-
SURE UNDER SECTION 215.70 OF THE PENAL LAW.
  6.  EXCEPT  AS  OTHERWISE  PROVIDED  IN  THIS SECTION, THE INDEPENDENT
SPECIAL COUNSEL, THE GOVERNOR, AND MEMBERS OF THE GOVERNOR'S  STAFF  MAY
NOT  FURTHER  DISCLOSE  ANY  OF THE GRAND JURY MATERIALS AS DESCRIBED IN
THIS SECTION WITH THE EXCEPTION OF THE GRAND JURY INSTRUCTIONS  PROVIDED
TO THE GRAND JURY, UNLESS AUTHORIZED BY COURT ORDER ISSUED UPON APPLICA-
TION,  PURSUANT  TO  SUBDIVISION  FOUR OF SECTION 190.25 OF THE CRIMINAL
PROCEDURE LAW. FOR THE LIMITED AND  EXCLUSIVE  PURPOSE  OF  MAKING  SUCH
APPLICATION  TO  DISCLOSE  GRAND  JURY MATERIAL, THE INDEPENDENT SPECIAL
COUNSEL SHALL BE DEEMED A "DISTRICT ATTORNEY."

S. 6405                             5                            A. 9005

  S 2. Subdivision 1 of section 190.85 of the criminal procedure law  is
amended by adding a new paragraph (d) to read as follows:
  (D)  STATING ITS FINDINGS AFTER INVESTIGATION OF AN INCIDENT INVOLVING
THE USE OF DEADLY PHYSICAL FORCE BY  A  POLICE  OFFICER  AS  DEFINED  IN
SUBDIVISION THIRTY-FOUR OF SECTION 1.20 OF THE CRIMINAL PROCEDURE LAW OR
A  PEACE  OFFICER AS DEFINED IN SUBDIVISION THIRTY-THREE OF SECTION 1.20
OF THE CRIMINAL PROCEDURE LAW, ACTING WITHIN HIS OR HER OFFICIAL POWERS,
DUTIES, FUNCTIONS, OR CAPACITY, AND WHERE  SUCH  DEADLY  PHYSICAL  FORCE
RESULTED  IN THE DEATH OF AN UNARMED PERSON. THE REPORT CREATED PURSUANT
TO THIS PARAGRAPH SHALL INCLUDE, BUT NOT  BE  LIMITED  TO,  THE  CHARGES
PRESENTED,  THE  LEGAL  INSTRUCTIONS,  AND  A  SUMMARY  OF  THE EVIDENCE
PRESENTED, PROVIDED THAT  ALL  NAMES  AND  IDENTIFYING  INFORMATION  ARE
REDACTED FROM SUCH REPORT.
  S  3.  The  criminal  procedure law is amended by adding a new section
190.86 to read as follows:
S 190.86 DISTRICT ATTORNEY LETTER.
  1. AFTER AN INVESTIGATION OF AN INCIDENT INVOLVING A POLICE OFFICER AS
DEFINED IN SUBDIVISION THIRTY-FOUR OF SECTION 1.20 OF THIS CHAPTER OR  A
PEACE  OFFICER AS DEFINED IN SUBDIVISION THIRTY-THREE OF SECTION 1.20 OF
THIS CHAPTER, ACTING WITHIN HIS OR HER OFFICIAL  POWERS,  DUTIES,  FUNC-
TIONS,  OR CAPACITY CONCERNING ACTS THAT INCLUDE THE USE OF DEADLY PHYS-
ICAL FORCE AGAINST AN UNARMED PERSON, AND SUCH ENCOUNTER RESULTED IN THE
DEATH OF SUCH UNARMED PERSON, AND WHEN A GRAND JURY DECLINES  TO  RETURN
AN  INDICTMENT  ON  ANY  CHARGES  AGAINST  SUCH  POLICE OR PEACE OFFICER
REGARDING SUCH DEATH, IN LIEU OF THE ISSUANCE OF A GRAND JURY REPORT  AS
SET  FORTH IN PARAGRAPH (D) OF SUBDIVISION ONE OF SECTION 190.85 OF THIS
ARTICLE, THE DISTRICT ATTORNEY MAY ISSUE A LETTER TO THE PUBLIC, WITH  A
COPY  TO THE GOVERNOR, AND TO THE COMMISSIONER, CHIEF, OR THE EQUIVALENT
COMMANDING OFFICER OF THE DEPARTMENT OR AGENCY EMPLOYING THE  POLICE  OR
PEACE  OFFICERS  INVOLVED.  IN  SUCH  LETTER,  THE DISTRICT ATTORNEY MAY
EXPLAIN THE FACTS OF THE CASE AND MAY ALSO  MAKE  RECOMMENDATIONS  BASED
UPON THE RESULTS OF THE GRAND JURY'S INVESTIGATION.
  2.  WHEN  THE DISTRICT ATTORNEY ELECTS NOT TO PRESENT SUCH A MATTER AS
DESCRIBED IN SUBDIVISION ONE OF  THIS  SECTION  TO  A  GRAND  JURY,  THE
DISTRICT  ATTORNEY  MAY ISSUE A LETTER TO THE PUBLIC, WITH A COPY TO THE
GOVERNOR, AND TO THE COMMISSIONER, CHIEF, OR THE  EQUIVALENT  COMMANDING
OFFICER  OF THE DEPARTMENT OR AGENCY EMPLOYING THE POLICE OR PEACE OFFI-
CERS INVOLVED. IN SUCH LETTER, THE DISTRICT  ATTORNEY  MAY  EXPLAIN  THE
FACTS  OF THE CASE, THE REASONING FOR NOT PRESENTING THE CASE TO A GRAND
JURY, AND MAY ALSO MAKE APPROPRIATE RECOMMENDATIONS.
  3. FOR PURPOSES OF THIS ARTICLE, THE RELEASE OF SUCH A LETTER  BY  THE
DISTRICT  ATTORNEY  IN  LIEU  OF A GRAND JURY REPORT SHALL BE CONSIDERED
ACTING WITHIN THE DISTRICT ATTORNEY'S OFFICIAL DUTIES AND THEREFORE  NOT
UNLAWFUL DISCLOSURE UNDER SECTION 215.70 OF THE PENAL LAW.
  S  4. Subdivision 4 of section 190.25 of the criminal procedure law is
amended by adding two new paragraphs (c) and (d) to read as follows:
  (C) AFTER PRESENTATION OF EVIDENCE TO A GRAND JURY INVOLVING  THE  USE
OF  DEADLY  PHYSICAL FORCE BY A POLICE OFFICER AS DEFINED IN SUBDIVISION
THIRTY-FOUR OF SECTION 1.20 OF THE CRIMINAL PROCEDURE  LAW  OR  A  PEACE
OFFICER  AS  DEFINED  IN SUBDIVISION THIRTY-THREE OF SECTION 1.20 OF THE
CRIMINAL PROCEDURE LAW,  ACTING  WITHIN  HIS  OR  HER  OFFICIAL  POWERS,
DUTIES,  FUNCTIONS,  OR  CAPACITY,  AND WHERE SUCH DEADLY PHYSICAL FORCE
RESULTED IN THE DEATH OF AN UNARMED PERSON, AND SUCH GRAND JURY DECLINES
TO RETURN AN INDICTMENT TO ANY CHARGES AGAINST SUCH  ON-DUTY  POLICE  OR
PEACE OFFICER WITH RESPECT TO SUCH DEATH, A DISTRICT ATTORNEY IS AUTHOR-
IZED  TO  PROVIDE GRAND JURY TESTIMONY, EVIDENCE, EXHIBITS AND THE LEGAL

S. 6405                             6                            A. 9005

INSTRUCTIONS TO THE INDEPENDENT SPECIAL COUNSEL, AS DEFINED  IN  SECTION
SIX-A  OF  THE EXECUTIVE LAW, WITHIN SIXTY DAYS OF THE COMPLETION OF ALL
GRAND JURY ACTION IN SUCH MATTER, INCLUDING THE ISSUANCE OF A GRAND JURY
REPORT PURSUANT TO PARAGRAPH (D) OF SUBDIVISION ONE OF SECTION 190.85 OF
THIS ARTICLE.
  (D) THE GRAND JURY MATERIALS PROVIDED TO THE INDEPENDENT SPECIAL COUN-
SEL, PURSUANT TO PARAGRAPH (C) OF THIS SUBDIVISION, SHALL REMAIN SECRET,
PURSUANT  TO THE PROVISIONS OF THIS SECTION, EXCEPT THAT THE INDEPENDENT
SPECIAL COUNSEL IS PERMITTED TO DISCLOSE THE GRAND JURY MATERIALS TO THE
GOVERNOR AND THE GOVERNOR'S STAFF  AS  PART  OF  A  RECOMMENDATION  MADE
PURSUANT  TO  SECTION  SIX-A  OF  THE  EXECUTIVE LAW AND THEREFORE, SUCH
DISCLOSURE SHALL NOT BE AN UNLAWFUL GRAND JURY DISCLOSURE UNDER  SECTION
215.70  OF THE PENAL LAW. THE INDEPENDENT SPECIAL COUNSEL, THE GOVERNOR,
AND MEMBERS OF THE GOVERNOR'S STAFF MAY  NOT  DISCLOSE  ANY  GRAND  JURY
MATERIAL,  EXCEPT  AS  AUTHORIZED BY COURT ORDER ISSUED UPON APPLICATION
PURSUANT TO THIS SECTION, WITH THE EXCEPTION OF THE  LEGAL  INSTRUCTIONS
PROVIDED TO THE GRAND JURY WHICH HEARD EVIDENCE, AS PROVIDED IN SUBDIVI-
SION  SIX  OF SECTION SIX-A OF THE EXECUTIVE LAW. THE LEGAL INSTRUCTIONS
MAY BE MADE PUBLIC PROVIDED THAT ALL NAMES AND  IDENTIFYING  INFORMATION
ARE  REDACTED.  FOR  THE  LIMITED  AND  EXCLUSIVE PURPOSE OF MAKING SUCH
APPLICATION, THE INDEPENDENT SPECIAL COUNSEL SHALL BE DEEMED A "DISTRICT
ATTORNEY." GRAND JURY MATERIAL PROVIDED TO THE INDEPENDENT SPECIAL COUN-
SEL SHALL REMAIN CONFIDENTIAL AND SHALL NOT  BE  SUBJECT  TO  DISCLOSURE
UNDER ARTICLE SIX OF THE PUBLIC OFFICERS LAW.
  S  5.  The county law is amended by adding a new section 701-a to read
as follows:
  S 701-A. SPECIAL DISTRICT ATTORNEY. NOTWITHSTANDING ANY OTHER  LAW  TO
THE  CONTRARY,  WHENEVER CREDIBLE ALLEGATIONS OF THE USE OF DEADLY PHYS-
ICAL FORCE BY A POLICE OFFICER AS DEFINED IN SUBDIVISION THIRTY-FOUR  OF
SECTION 1.20 OF THE CRIMINAL PROCEDURE LAW OR A PEACE OFFICER AS DEFINED
IN  SUBDIVISION  THIRTY-THREE  OF SECTION 1.20 OF THE CRIMINAL PROCEDURE
LAW, ACTING WITHIN HIS OR HER OFFICIAL  POWERS,  DUTIES,  FUNCTIONS,  OR
CAPACITY,  AND WHERE SUCH DEADLY PHYSICAL FORCE RESULTED IN THE DEATH OF
AN UNARMED PERSON, ARE RECEIVED BY THE GOVERNOR, OR HIS DESIGNEE  PURSU-
ANT  TO  SECTION SIX-A OF THE EXECUTIVE LAW, THE GOVERNOR SHALL HAVE THE
AUTHORITY TO APPOINT A SPECIAL  DISTRICT  ATTORNEY  TO  INVESTIGATE  THE
ALLEGATIONS  AND,  WHERE  APPROPRIATE,  PROSECUTE THE CASE. SUCH SPECIAL
DISTRICT ATTORNEY SHALL BE AN ATTORNEY AT LAW RESIDING WITHIN THE STATE.
  2. THE SPECIAL DISTRICT ATTORNEY SHALL POSSESS AND  EXERCISE  ALL  THE
POWERS  AND  PERFORM  ALL  THE  DUTIES  IN  RESPECT  OF  SUCH ACTIONS OR
PROCEEDINGS, WHICH THE DISTRICT ATTORNEY IS AUTHORIZED  OR  REQUIRED  TO
EXERCISE  OR PERFORM. THE SPECIAL DISTRICT ATTORNEY SHALL BE PROVIDED BY
THE DISTRICT ATTORNEY AND/OR THE SPECIAL INDEPENDENT COUNSEL AS  DEFINED
IN  SUBDIVISION ONE OF SECTION SIX-A OF THE EXECUTIVE LAW, ALL EVIDENTI-
ARY MATERIALS AS SET FORTH IN SUBDIVISION TWO OF SECTION  SIX-A  OF  THE
EXECUTIVE LAW.
  S 6. Section 230.20 of the criminal procedure law is amended by adding
a new subdivision 5 to read as follows:
  5.  ANY PARTY AGGRIEVED BY AN ORDER OF THE APPELLATE DIVISION CONCERN-
ING A MOTION MADE PURSUANT TO SUBDIVISION TWO OF THIS SECTION  MAY  SEEK
LEAVE  TO  APPEAL  FROM  SUCH ORDER TO THE COURT OF APPEALS, PURSUANT TO
SUBDIVISION THREE OF SECTION 450.90 OF THIS CHAPTER.
  S 7. Section 450.90 of the criminal procedure law is amended by adding
a new subdivision 3 to read as follows:
  3. PROVIDED THAT A CERTIFICATE GRANTING  LEAVE  TO  APPEAL  IS  ISSUED
PURSUANT  TO SECTION 460.20 OF THIS TITLE, AN APPEAL MAY BE TAKEN TO THE

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COURT OF APPEALS BY ANY PARTY AGGRIEVED BY AN  ORDER  OF  THE  APPELLATE
DIVISION CONCERNING A MOTION MADE PURSUANT TO SUBDIVISION TWO OF SECTION
230.20  OF  THIS  CHAPTER. UPON THE REQUEST OF EITHER PARTY, THE HEARING
AND  DETERMINATION  OF  AN  APPEAL  GRANTED PURSUANT TO THIS SUBDIVISION
SHALL BE CONDUCTED IN AN EXPEDITIOUS MANNER. THE CHIEF ADMINISTRATOR  OF
THE  COURTS,  WITH THE ADVICE AND CONSENT OF THE ADMINISTRATIVE BOARD OF
THE COURTS, SHALL ADOPT RULES FOR THE EXPEDITIOUS BRIEFING, HEARING  AND
DETERMINATION OF SUCH APPEALS.
  S 8. Section 215.70 of the penal law, as amended by chapter 843 of the
laws of 1980, is amended to read as follows:
S 215.70 Unlawful grand jury disclosure.
  A  person  is  guilty  of unlawful grand jury disclosure when, being a
grand juror, a public prosecutor, a grand  jury  stenographer,  a  grand
jury interpreter, a police officer or a peace officer guarding a witness
in  a  grand  jury  proceeding,  or  a clerk, attendant, warden or other
public servant having official duties in or about a grand jury  room  or
proceeding,  or  a  public  officer  or  public employee, OR INDEPENDENT
SPECIAL COUNSEL, AS DEFINED IN SUBDIVISION ONE OF SECTION SIX-A  OF  THE
EXECUTIVE  LAW,  OR  ANYONE  TO  WHOM  THE  INDEPENDENT  SPECIAL COUNSEL
DISCLOSES GRAND JURY MATERIAL PURSUANT TO PARAGRAPH (D)  OF  SUBDIVISION
FOUR  OF  SECTION 190.25 OF THE CRIMINAL PROCEDURE LAW, he OR SHE inten-
tionally discloses to another the nature or substance of any grand  jury
testimony,  or  any  decision,  result or other matter attending a grand
jury proceeding which is required by law to be kept  secret,  except  in
the proper discharge of his OR HER official duties or upon written order
of  the  court.   Nothing contained herein shall prohibit a witness from
disclosing his OR HER own testimony.
  Unlawful grand jury disclosure is a class E felony.
  S 9. Subdivision 4 of section 840 of the executive law is  amended  by
adding a new paragraph (c) to read as follows:
  (C) AS APPROPRIATE, REVIEW AND UPDATE ITS MODEL LAW ENFORCEMENT USE OF
FORCE  POLICY  SUITABLE  FOR  ADOPTION  BY  ANY  LAW  ENFORCEMENT AGENCY
THROUGHOUT THE STATE.  THE MOST CURRENT VERSION OF SUCH POLICY SHALL  BE
FILED  WITH  THE  DIVISION  OF CRIMINAL JUSTICE SERVICES.   THE CHIEF OF
EVERY LOCAL POLICE DEPARTMENT, EACH COUNTY SHERIFF, AND THE  SUPERINTEN-
DENT  OF  STATE  POLICE MUST IMPLEMENT A USE OF FORCE POLICY. THE USE OF
FORCE POLICY SHALL PROVIDE COMPREHENSIVE  GUIDANCE  TO  LAW  ENFORCEMENT
OFFICERS  ON THE PROPER USE OF FORCE, CONSISTENT WITH CURRENT LAW, AS IT
RELATES TO THE USE OF FORCE WHILE ACTING  WITHIN  HIS  OR  HER  OFFICIAL
POWERS,  DUTIES OR FUNCTIONS. THE USE OF FORCE POLICY SHOULD BE CONSIST-
ENT WITH THE MODEL LAW ENFORCEMENT POLICY AS REQUIRED  BY  THIS  SECTION
EXCEPT  THAT  A  DEPARTMENT  SHALL  NOT BE LIMITED FROM IMPOSING FURTHER
RESTRICTIONS OR ADDITIONAL GUIDANCE ON THE PROPER USE OF FORCE.
  S 10. The executive law is amended by adding a new  section  837-s  to
read as follows:
  S  837-S. REPORTING DUTIES OF LAW ENFORCEMENT DEPARTMENTS WITH RESPECT
TO ENFORCEMENT OF CERTAIN VIOLATIONS AND MISDEMEANORS.  1. THE CHIEF  OF
EVERY  POLICE DEPARTMENT, EACH COUNTY SHERIFF, AND THE SUPERINTENDENT OF
STATE POLICE SHALL REPORT, ANNUALLY, TO THE DIVISION THE TOTAL NUMBER OF
ARRESTS MADE OR APPEARANCE TICKETS OR SUMMONSES ISSUED BY A LAW ENFORCE-
MENT OFFICER FOR OFFENSES WHICH DO NOT REQUIRE  THE  TAKING  OF  FINGER-
PRINTS  PURSUANT  TO  SUBDIVISION  ONE OF SECTION 160.10 OF THE CRIMINAL
PROCEDURE LAW. SUCH REPORTS SHALL BE IN THE FORM AND  MANNER  PRESCRIBED
BY THE DIVISION AND SHALL CONTAIN SUCH INFORMATION AS THE DIVISION DEEMS
NECESSARY INCLUDING, BUT NOT LIMITED TO, THE AGE, SEX, RACE AND ETHNICI-
TY OF THE PERSON ARRESTED OR TO WHOM AN APPEARANCE TICKET WAS ISSUED.

S. 6405                             8                            A. 9005

  2.  THE CHIEF OF EVERY POLICE DEPARTMENT, EACH COUNTY SHERIFF, AND THE
SUPERINTENDENT OF STATE POLICE SHALL REPORT TO THE DIVISION ANY  ARREST-
RELATED  DEATH  IN  THE  FORM  AND MANNER PRESCRIBED BY THE DIVISION. AN
ARREST-RELATED DEATH IS A DEATH  WHICH  OCCURS  DURING  LAW  ENFORCEMENT
CUSTODY  OR  AN  ATTEMPT TO ESTABLISH CUSTODY INCLUDING, BUT NOT LIMITED
TO, DEATHS CAUSED BY ANY USE OF FORCE.
  S 11. Subdivision 3 of section 690.35 of the criminal procedure law is
amended by adding a new paragraph (f) to read as follows:
  (F) A STATEMENT WHETHER THE  APPLICATION  FOR  THE  WARRANT  HAD  BEEN
PREVIOUSLY  SUBMITTED  TO  ANOTHER  JUDGE, AND IF SO, THE STATEMENT MUST
INCLUDE THE NAME OF THE JUDGE OR JUDGES  TO  WHOM  THE  APPLICATION  WAS
PREVIOUSLY  SUBMITTED,  THE  RESULT OF SUCH APPLICATION OR APPLICATIONS,
AND WHEN SUCH APPLICATION OR APPLICATIONS WERE MADE.
  S 12. Severability clause. If any clause, sentence, paragraph,  subdi-
vision,  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 13. This act shall take effect on the thirtieth day after  it  shall
have become a law and shall apply only to acts that occurred on or after
such effective date, except that section one of this act shall remain in
effect  until  the expiration of the term of the fifty-sixth governor of
New York State and that section eleven of this act shall take effect  on
the one hundred eightieth day after it shall have become a law.

                                 PART B

  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 25 of part B of chapter 55 of the laws of 2015,  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, [2016] 2017, 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, 2016.

                                 PART C

  Section 1. Paragraph (b) of subdivision 6 of section 186-f of the  tax
law,  as  amended  by  section  1 of part D of chapter 55 of the laws of
2014, is amended to read as follows:
  (b) The sum of one million  five  hundred  thousand  dollars  must  be
deposited into the New York state emergency services revolving loan fund
annually;  provided,  however, that such sums shall not be deposited for
state fiscal years two thousand eleven--two thousand twelve,  two  thou-
sand  twelve--two thousand thirteen, two thousand fourteen--two thousand
fifteen [and], two thousand fifteen--two thousand sixteen, TWO  THOUSAND
SIXTEEN--TWO THOUSAND SEVENTEEN AND TWO THOUSAND SEVENTEEN--TWO THOUSAND
EIGHTEEN;
  S 2. This act shall take effect immediately.

S. 6405                             9                            A. 9005

                                 PART D

  Section  1.  Notwithstanding any law to the contrary, the responsibil-
ities, duties and functions, pursuant to subdivision 2 of section 70  of
the  civil  service  law,  of  the intelligence and analysis unit of the
office of counterterrorism within the division of homeland security  and
emergency services shall be transferred to the division of state police.
  S  2.  Paragraphs  (f)  and (g) of subdivision 2 of section 709 of the
executive law, as amended by section 14 of part B of chapter 56  of  the
laws of 2010, are amended to read as follows:
  (f)  coordinate  state  resources  for  the collection and analysis of
information relating to [terrorist threats and terrorist activities  and
other]  natural  and  man-made disasters throughout the state subject to
any applicable laws, rules, or regulations;
  (g) coordinate and facilitate information sharing among local,  state,
and  federal  [law  enforcement] agencies to ensure appropriate intelli-
gence to assist in the early identification of and response  to  [poten-
tial  terrorist  activities  and  other] natural and man-made disasters,
subject to any applicable laws,  rules,  or  regulations  governing  the
release, disclosure or sharing of any such information;
  S  3.  Section 709-a of the executive law, as added by section 15-a of
part B of chapter 56 of the laws of 2010, is amended to read as follows:
  S 709-a. Office of counterterrorism. The  office  of  counterterrorism
shall develop and analyze the state's policies, protocols and strategies
relating to the prevention and detection of terrorist acts and terrorist
threats. The office shall also be responsible for [the collection, anal-
ysis  and  sharing  of  information  relating  to  terrorist threats and
terrorist activities throughout  the  state;]  coordinating  strategies,
protocols  and  first  responder equipment needs to detect a biological,
chemical or radiological terrorist act or threat; working  with  private
entities and local, state and federal agencies to conduct assessments of
the  vulnerability  of  critical infrastructure to terrorist attack; and
consulting with appropriate state  and  local  governments  and  private
entities  to  facilitate  and  foster  cooperation to better prepare the
state to prevent and detect threats and acts of terrorism.
  S 4. 1. Transfer of records. Upon the transfer of functions,  pursuant
to section 1 of this act, the division of homeland security and emergen-
cy services shall deliver to the division of state police, all pertinent
books, papers, records and property.
  2. Existing rights and remedies preserved. No existing right or remedy
of  any  character shall be lost, impaired or affected by reason of this
act.
  3. Pending actions and proceedings. No action or proceeding pending at
the time when this act shall take effect,  brought  by  or  against  the
division  of  homeland  security  and emergency services relating to the
function, power or duty transferred to or devolved upon the division  of
state  police  shall be affected by this act, but the same may be prose-
cuted or defended in the name of the division of state police  and  upon
the  application  to  the  court,  the division of state police shall be
substituted as a party.
  4. Completion of unfinished business. Any  business  or  other  matter
undertaken  or  commenced by the division of homeland security and emer-
gency services pertaining to or connected with  the  functions,  powers,
obligations and duties transferred and assigned to the division of state
police,  pending on the effective date of this act, may be conducted and
completed by the division of state police in the same manner  and  under

S. 6405                            10                            A. 9005

the  same  terms and conditions and with the same effect as if conducted
and completed  by  the  division  of  homeland  security  and  emergency
services.
  S 5. This act shall take effect immediately.

                                 PART E

  Section  1. Section 5 of chapter 268 of the laws of 1996, amending the
education law and the state finance law relating to providing a recruit-
ment incentive and retention program for certain active members  of  the
New  York army national guard, New York air national guard, and New York
naval militia, as amended by section 24 of part A of chapter 57  of  the
laws of 2011, is amended to read as follows:
  S  5.  This act shall take effect January 1, 1997 and shall expire and
be deemed repealed September 1, [2016] 2021; provided  that  any  person
who  has  begun to receive the benefits of this act prior to its expira-
tion and repeal shall be entitled to continue to receive the benefits of
this act after its expiration and repeal until completion of a baccalau-
reate degree or cessation of  status  as  an  active  member,  whichever
occurs first.
  S 2. This act shall take effect immediately.

                                 PART F

  Section  1. Subdivision 5 of section 362 of the chapter 83 of the laws
of 1995 amending the state finance law and other laws relating to bonds,
notes and revenues, as amended by section 37 of part L of chapter 55  of
the laws of 2012, is amended to read as follows:
  5. Sections thirty-one through forty-two of this act shall take effect
on  the  thirtieth  day  after  it  shall have become a law and shall be
deemed to have been in full force and  effect  on  and  after  April  1,
1995[;  provided  that section 163 of the state finance law, as added by
section thirty-three of this act shall remain in full force  and  effect
until  June  30,  2016  at  which  time  it  shall  expire and be deemed
repealed. Contracts executed prior to the expiration of such section 163
shall remain in full force and effect until the expiration of  any  such
contract  notwithstanding  the  expiration of certain provisions of this
act].
  S 2. Section 16 of chapter 1 of the laws of 2005, amending  the  state
finance  law relating to restricting contacts in the procurement process
and the recording of contacts relating thereto, as amended by chapter 62
of the laws of 2014, is amended to read as follows:
  S 16. This act shall take effect immediately; provided, however,  that
sections  one,  six,  eight,  nine,  ten, eleven and fifteen of this act
shall take effect January 1, 2006; and provided, however, the amendments
to paragraph f of subdivision 9 of section 163 of the state finance  law
made  by section fifteen of this act shall not affect the repeal of such
section and shall be deemed repealed therewith; provided, further,  that
the  amendments to article 1-A of the legislative law, made by this act,
shall not affect the repeal of such article pursuant to chapter 2 of the
laws of 1999, as  amended,  and  shall  be  deemed  repealed  therewith;
provided, further, that sections thirteen and fourteen of this act shall
take  effect  January  1,  2006  [and  shall be deemed repealed July 31,
2016]; provided, further, that effective immediately, the advisory coun-
cil on procurement lobbying created pursuant to section twelve  of  this
act  shall  be constituted no later than sixty days following the effec-

S. 6405                            11                            A. 9005

tive date of this act, provided that effective sixty days following  the
effective date of this act, the advisory council on procurement lobbying
shall  be  authorized  to  establish  model guidelines and to add, amend
and/or  repeal any rules or regulations necessary for the implementation
of its duties under sections twelve and thirteen of this  act,  and  the
advisory  council  authorized to make and complete such model guidelines
on or before the  effective  date  of  section  thirteen  of  this  act;
provided,  further,  that  procurement contracts for which bid solicita-
tions have been issued prior to the effective date of this act shall  be
awarded pursuant to the provisions of law in effect at the time of issu-
ance.
  S  3.  This  act  shall take effect immediately and shall be deemed to
have been in full force and effect on and after April 1, 2016.

                                 PART G

  Section 1. Section 13-b of the workers' compensation law,  as  amended
by  chapter  1068  of the laws of 1960, the section heading and subdivi-
sions 1 and 2 as amended by chapter 473 of the laws of 2000, and  subdi-
vision 3 as amended by section 85 of part A of chapter 58 of the laws of
2010, is amended to read as follows:
  S  13-b.  Authorization of [physicians] PROVIDERS, medical bureaus and
laboratories by the chair. 1. [Upon the recommendation  of  the  medical
society of the county in which the physician's office is located or of a
board  designated by such county society or of a board representing duly
licensed physicians of any other school  of  medical  practice  in  such
county, the chair may authorize physicians licensed to practice medicine
in  the  state of New York to render medical care under this chapter and
to perform independent medical examinations in accordance with  subdivi-
sion  four  of section thirteen-a of this article. If, within sixty days
after the chair requests such recommendations  the  medical  society  of
such  county  or  board  fails to act, or if there is no such society in
such county, the chair shall designate  a  board  of  three  outstanding
physicians, who shall make the requisite recommendations.
  No such authorization shall be made in the absence of a recommendation
of the appropriate society or board or of a review and recommendation by
the medical appeals unit. No person shall render medical care or conduct
independent medical examinations under this chapter without such author-
ization  by  the  chair,  provided,  that:] AS USED IN THIS CHAPTER, THE
FOLLOWING DEFINITIONS SHALL HAVE THE  FOLLOWING  MEANINGS  UNLESS  THEIR
CONTEXT REQUIRES OTHERWISE:
  (A)  "ACUPUNCTURIST"  SHALL MEAN LICENSED AS HAVING COMPLETED A FORMAL
COURSE OF STUDY AND HAVING PASSED AN EXAMINATION IN ACCORDANCE WITH  THE
EDUCATION LAW, THE REGULATIONS OF THE COMMISSIONER OF EDUCATION, AND THE
REQUIREMENTS OF THE BOARD OF REGENTS. ACUPUNCTURISTS ARE REQUIRED BY THE
EDUCATION  LAW  TO  ADVISE,  IN WRITING, EACH PATIENT OF THE REQUIREMENT
THAT HE OR SHE CONSULT WITH A PHYSICIAN FOR THE CONDITION OR  CONDITIONS
NECESSITATING ACUPUNCTURE CARE, AS PRESCRIBED BY SUCH LAW.
  (B)  "AUTHORIZATION  AGREEMENT"  SHALL  MEAN  AN AGREEMENT BETWEEN THE
CHAIR AND THE PROVIDER SIGNED BY  THE  PROVIDER  DESIROUS  OF  RENDERING
MEDICAL  CARE AND/OR TREATMENT TO A CLAIMANT OR CLAIMANTS INJURED IN THE
COURSE OF THEIR EMPLOYMENT AND/OR TO CONDUCT INDEPENDENT  MEDICAL  EXAM-
INATIONS.
  (C)  "CHAIR"  OF  THE BOARD SHALL MEAN EITHER THE CHAIR OR THE CHAIR'S
DESIGNEE.

S. 6405                            12                            A. 9005

  (D) "CHIROPRACTOR" SHALL MEAN LICENSED AND HAVING COMPLETED TWO  YEARS
OF  PREPROFESSIONAL  COLLEGE  STUDY  AND A FOUR-YEAR RESIDENT PROGRAM IN
CHIROPRACTIC IN ACCORDANCE WITH THE EDUCATION LAW, AND  CONSISTENT  WITH
THE LICENSING REQUIREMENTS OF THE COMMISSIONER OF EDUCATION.
  (E)  "NURSE  PRACTITIONER"  SHALL  MEAN  A LICENSED PROFESSIONAL NURSE
CERTIFIED BY A NATIONAL CERTIFYING BODY AS HAVING COMPLETED THE REQUIRED
EDUCATIONAL PROGRAM IN ACCORDANCE WITH THE EDUCATION LAW AND  THE  REGU-
LATIONS OF THE COMMISSIONER OF EDUCATION.
  (F)  "OCCUPATIONAL  THERAPIST"  SHALL  MEAN LICENSED AS HAVING A BACH-
ELOR'S OR MASTER'S DEGREE IN  OCCUPATIONAL  THERAPY  FROM  A  REGISTERED
PROGRAM  WITH THE EDUCATION DEPARTMENT OR RECEIPT OF A DIPLOMA OR DEGREE
RESULTING FROM COMPLETION OF NOT LESS THAN FOUR YEARS  OF  POSTSECONDARY
STUDY,  WHICH INCLUDES THE PROFESSIONAL STUDY OF OCCUPATIONAL THERAPY IN
ACCORDANCE WITH THE EDUCATION LAW AND THE REGULATIONS OF THE COMMISSION-
ER OF EDUCATION.
  (G) "PHYSICAL THERAPIST" SHALL MEAN LICENSED  AS  HAVING  COMPLETED  A
MASTER'S  DEGREE  OR  HIGHER  IN PHYSICAL THERAPY IN ACCORDANCE WITH THE
EDUCATION LAW AND THE LICENSING  REQUIREMENTS  OF  THE  COMMISSIONER  OF
EDUCATION.
  (H)  "PHYSICIAN"  SHALL MEAN LICENSED WITH A DEGREE OF DOCTOR OF MEDI-
CINE, M.D., OR DOCTOR OF OSTEOPATHY, D.O., OR AN  EQUIVALENT  DEGREE  IN
ACCORDANCE  WITH THE EDUCATION LAW AND THE LICENSING REQUIREMENTS OF THE
STATE BOARD OF MEDICINE AND  THE  REGULATIONS  OF  THE  COMMISSIONER  OF
EDUCATION.
  (I)  "PHYSICIANS'  ASSISTANT"  SHALL  MEAN A LICENSED PROVIDER WHO HAS
GRADUATED FROM A TWO-TO-FOUR YEAR STATE-APPROVED  PHYSICIANS'  ASSISTANT
PROGRAM,  HAS  PASSED  A  LICENSING  EXAMINATION,  AND WHOSE ACTIONS AND
DUTIES ARE WITHIN THE SCOPE OF PRACTICE OF THE SUPERVISING PHYSICIAN, IN
ACCORDANCE WITH THE EDUCATION LAW AND THE REGULATIONS OF THE COMMISSION-
ER OF EDUCATION.
  (J) "PODIATRIST" SHALL MEAN LICENSED AS  HAVING  RECEIVED  A  DOCTORAL
DEGREE IN PODIATRY IN ACCORDANCE WITH THE REGULATIONS OF THE COMMISSION-
ER  OF EDUCATION AND THE EDUCATION LAW, AND MUST SATISFACTORILY MEET ALL
OTHER REQUIREMENTS OF THE STATE BOARD FOR PODIATRY.
  (K) "PROVIDER" SHALL MEAN A DULY LICENSED ACUPUNCTURIST, CHIROPRACTOR,
INDEPENDENT MEDICAL EXAMINER, NURSE  PRACTITIONER,  PHYSICAL  THERAPIST,
PHYSICIAN,  PHYSICIANS'  ASSISTANT,  PODIATRIST, PSYCHOLOGIST, OR SOCIAL
WORKER SUBJECT TO AN AUTHORIZATION AGREEMENT.
  (L) "PSYCHOLOGIST" SHALL MEAN LICENSED AS HAVING RECEIVED  A  DOCTORAL
DEGREE  IN  PSYCHOLOGY  FROM A PROGRAM OF PSYCHOLOGY REGISTERED WITH THE
DEPARTMENT OF EDUCATION OR THE SUBSTANTIAL EQUIVALENT THEREOF IN ACCORD-
ANCE WITH THE EDUCATION LAW, THE REQUIREMENTS OF  THE  STATE  BOARD  FOR
PSYCHOLOGY, AND THE REGULATIONS OF THE COMMISSIONER OF EDUCATION.
  (M)  "SOCIAL  WORKER"  SHALL  MEAN  LICENSED CLINICAL SOCIAL WORKER. A
LICENSED CLINICAL SOCIAL WORKER HAS COMPLETED A MASTER'S OF SOCIAL  WORK
THAT  INCLUDES COMPLETION OF A CORE CURRICULUM OF AT LEAST TWELVE CREDIT
HOURS OF CLINICAL  COURSES  OR  THE  EQUIVALENT  POST-GRADUATE  CLINICAL
COURSEWORK, IN ACCORDANCE WITH THE EDUCATION LAW AND THE COMMISSIONER OF
EDUCATION.
  [(a)]  2.  Any  [physician]  PROVIDER  licensed [to practice medicine]
PURSUANT TO THE EDUCATION LAW TO PROVIDE MEDICAL CARE AND  TREATMENT  in
the  state of New York may render emergency [medical] care AND TREATMENT
IN AN EMERGENCY HOSPITAL OR  URGENT  CARE  SETTING  PROVIDING  EMERGENCY
TREATMENT  under  this  chapter without authorization by the chair under
this section; [and]

S. 6405                            13                            A. 9005

  [(b) A] (A) SUCH licensed [physician] PROVIDER AS  IDENTIFIED  IN  THE
OPENING  PARAGRAPH OF THIS SUBDIVISION who is [a member of a constituted
medical staff of any hospital] ON STAFF AT ANY HOSPITAL OR  URGENT  CARE
CENTER  PROVIDING EMERGENCY TREATMENT may [render] CONTINUE SUCH medical
care  under  this chapter while an injured employee remains a patient in
such hospital OR URGENT CARE SETTING; and
  [(c)] (B) Under the [active and personal]  DIRECT  supervision  of  an
authorized  [physician]  PROVIDER,  medical  care  may  be rendered by a
registered nurse or other person trained  in  laboratory  or  diagnostic
techniques  within  the  scope of such person's specialized training and
qualifications. This supervision shall be evidenced by signed records of
instructions for treatment and signed records of the patient's condition
and progress. Reports of such treatment and supervision shall be made by
such [physician] PROVIDER to the chair on such forms and at  such  times
as the chair may require.
  [(d)  Upon  the  referral which may be directive as to treatment of an
authorized physician physical therapy care may be  rendered  by  a  duly
licensed  physical  therapist.  Where  physical therapy care is rendered
records of the patient's condition and progress, together  with  records
of  instruction  for treatment, if any, shall be maintained by the phys-
ical therapist and physician. Said records shall  be  submitted  to  the
chair on such forms and at such times as the chair may require.
  (e) Upon the prescription or referral of an authorized physician occu-
pational  therapy  care  may be rendered by a duly licensed occupational
therapist. Where occupational therapy care is rendered  records  of  the
patient's  condition  and progress, together with records of instruction
for treatment, if any shall be maintained by the occupational  therapist
and physician. Said records shall be submitted to the chair on forms and
at such times as the chair may require.
  (f)] (C) Where it would place an unreasonable burden upon the employer
or carrier to arrange for, or for the claimant to attend, an independent
medical  examination by an authorized [physician] PROVIDER, the employer
or carrier shall arrange for such examination to be performed by a qual-
ified [physician] PROVIDER in  a  medical  facility  convenient  to  the
claimant.
  (D) UPON THE PRESCRIPTION OR REFERRAL OF AN AUTHORIZED PHYSICIAN, CARE
OR  TREATMENT  MAY  BE  RENDERED TO AN INJURED EMPLOYEE BY AN AUTHORIZED
PHYSICAL THERAPIST, OCCUPATIONAL THERAPIST OR ACUPUNCTURIST PROVIDED THE
CONDITIONS AND THE TREATMENT PERFORMED ARE AMONG THE CONDITIONS THAT THE
PHYSICAL THERAPIST, OCCUPATIONAL THERAPIST OR ACUPUNCTURIST  IS  AUTHOR-
IZED  TO  TREAT  PURSUANT TO THE EDUCATION LAW OR THE REGULATIONS OF THE
COMMISSIONER OF  EDUCATION.    WHERE  ANY  SUCH  CARE  OR  TREATMENT  IS
RENDERED, RECORDS OF THE PATIENT'S CONDITION AND PROGRESS, TOGETHER WITH
RECORDS OF INSTRUCTION FOR TREATMENT, IF ANY, SHALL BE MAINTAINED BY THE
PHYSICAL  THERAPIST,  OCCUPATIONAL  THERAPIST,  ACUPUNCTURIST  RENDERING
TREATMENT AND BY THE REFERRING PHYSICIAN. SAID RECORDS SHALL BE  SUBMIT-
TED TO THE CHAIR ON FORMS AND AT SUCH TIMES AS THE CHAIR MAY REQUIRE.
  (E)  A RECORD, REPORT OR OPINION OF A PHYSICAL THERAPIST, OCCUPATIONAL
THERAPIST, ACUPUNCTURIST OR PHYSICIAN'S ASSISTANT SHALL NOT  BE  CONSID-
ERED  AS  EVIDENCE OF (1) THE CAUSAL RELATIONSHIP OF ANY CONDITION TO AN
ACCIDENT OR OCCUPATIONAL DISEASE UNDER THIS CHAPTER OR (2) DISABILITY OR
THE DEGREE THEREOF, NOR MAY ANY SUCH  PROVIDER  PERFORM  AN  INDEPENDENT
MEDICAL EXAMINATION CONCERNING A CLAIM UNDER THIS CHAPTER.
  [2] 3.  A [physician licensed to practice medicine in the state of New
York  who  is]  PROVIDER  PROPERLY LICENSED OR CERTIFIED PURSUANT TO THE
REGULATIONS OF THE COMMISSIONER OF EDUCATION AND THE REQUIREMENTS OF THE

S. 6405                            14                            A. 9005

EDUCATION LAW desirous of being authorized to render medical care  under
this  chapter  and/or  to  conduct  independent  medical examinations in
accordance with paragraph (b) of subdivision four of section  thirteen-a
and  section  one  hundred  thirty-seven  of this chapter shall [file an
application for authorization under this chapter with the medical socie-
ty in the county in which his or her office is located, or with a  board
designated  by  such society, or with a board designated by the chair as
provided in this section. In such application the applicant shall  state
his  or her training and qualifications, and shall agree to limit his or
her professional activities under this chapter to such medical care  and
independent  medical examinations, as his or her experience and training
qualify him or her to render] SIGN AN  AUTHORIZATION  AGREEMENT.    [The
applicant  shall  further agree to refrain] THE PROVIDER AGREES TO ABIDE
BY THE TERMS, CONDITIONS, AND LIMITATIONS OUTLINED IN THE  AUTHORIZATION
AGREEMENT,  INCLUDING,  BUT  NOT LIMITED TO REFRAINING from subsequently
treating for remuneration, as a  private  patient,  any  person  seeking
medical  treatment, or submitting to an independent medical examination,
in connection with, or as a result of, any injury compensable under this
chapter, if he or she has been removed from  the  list  of  [physicians]
PROVIDERS  authorized  to  render medical care or to conduct independent
medical examinations under this chapter, or if the person  seeking  such
treatment, or submitting to an independent medical examination, has been
transferred  from  his  or her care in accordance with the provisions of
this chapter. This agreement shall run to the  benefit  of  the  injured
person so treated or examined, and shall be available to him or her as a
defense  in  any  action  by  such  [physician] PROVIDER for payment for
treatment rendered by a [physician] PROVIDER after he or  she  has  been
removed  from  the  list  of [physicians] PROVIDERS authorized to render
medical care or to conduct independent medical examinations  under  this
chapter,  or  after  the  injured person was transferred from his or her
care in accordance with the provisions of  this  chapter.  [The  medical
society  or  the  board  designated  by  it,  or  the board as otherwise
provided under this section, if it deems such  licensed  physician  duly
qualified,  shall  recommend to the chair that such physician be author-
ized to render medical care and/or conduct independent medical  examina-
tions  under  this  chapter,  and  such recommendation and authorization
shall specify the character of the medical care or  independent  medical
examination  which  such physician is qualified and authorized to render
under this chapter. Such recommendations shall be advisory to the  chair
only  and  shall  not  be  binding  or  conclusive  upon him or her. The
licensed  physician  may  present  to  the  medical  society  or  board,
evidences  of additional qualifications at any time subsequent to his or
her original application. If the  medical  society  or  board  fails  to
recommend  to the chair that a physician be authorized to render medical
care and/or to conduct independent medical examinations under this chap-
ter, the physician may appeal to the medical appeals unit.  The  medical
society  or  the  board  designated  by  it,  or  the board as otherwise
provided under this section, may upon its own initiative, or shall  upon
request  of  the  chair,  review  at  any time the qualifications of any
physician as to the character of the medical care or independent medical
examinations which such physician has  theretofore  been  authorized  to
render  under  this  chapter  and  may  recommend to the chair that such
physician be authorized to render medical care or to conduct independent
medical examinations thereafter of the character which such physician is
then qualified to render. On such advisory recommendation the chair  may
review  and  after reasonable investigation may revise the authorization

S. 6405                            15                            A. 9005

of a physician in respect to the character of  medical  care  and/or  to
conduct  independent  medical examinations which he or she is authorized
to render. If the medical society or board recommends to the chair  that
a physician be authorized to render medical care and/or to conduct inde-
pendent medical examinations under this chapter of a character different
from  the  character of medical care or independent medical examinations
he or she has been theretofore authorized to render, such physician  may
appeal from such recommendation to the medical appeals unit.
  3]  4.   Laboratories and bureaus engaged in x-ray diagnosis or treat-
ment or in physiotherapy  or  other  therapeutic  procedures  and  which
participate in the diagnosis or treatment of injured [workmen] CLAIMANTS
under  this chapter shall be operated or supervised by [qualified physi-
cians duly authorized] AUTHORIZED PROVIDERS under this chapter and shall
be subject to the provisions of section thirteen-c of this article.  The
person  in  charge of diagnostic clinical laboratories [duly] authorized
under this chapter shall possess the qualifications established  by  the
public  health  and  health  planning  council for approval by the state
commissioner of health or, in the city of New York,  the  qualifications
approved  by  the  board  of  health of said city and shall maintain the
standards of work required for such approval.
  S 2. Section 13-d of the workers'  compensation  law,  as  amended  by
chapter  459 of the laws of 1944, the section heading and subdivisions 1
and 2 as amended by chapter 473 of the laws of 2000, paragraphs (a)  and
(b)  of subdivision 2 as amended and subdivision 5 as added by chapter 6
of the laws of 2007 and subdivision 4 as amended by chapter 1068 of  the
laws of 1960, is amended to read as follows:
  S  13-d. Removal of [physicians] PROVIDERS from lists of those author-
ized to render medical care or to conduct independent  medical  examina-
tions.  1.  [The  medical society of the county in which the physician's
office is located at the time or a board designated by such county soci-
ety or a board representing duly licensed physicians of any other school
of medical practice in such county  shall  investigate,  hear  and  make
findings with respect to all charges as to professional or other miscon-
duct  of  any  authorized  physician  as herein provided under rules and
procedure to be prescribed by the medical appeals unit, and shall report
evidence of such misconduct, with their findings and recommendation with
respect thereto, to the chair. Failure to  commence  such  investigation
within  sixty days from the date the charges are referred to the society
by the chair or submit findings  and  recommendations  relating  to  the
charges  within  one  hundred  eighty days from the date the charges are
referred shall empower the chair to appoint, as  a  hearing  officer,  a
member  of  the  board,  employee, or other qualified hearing officer to
hear and report on the charges to the chair. A qualified  hearing  offi-
cer,  who is neither a member of the board, or employee thereof shall be
paid at a reasonable per diem rate to be fixed by the chair.
  Such investigation, hearing, findings, recommendation and  report  may
be  made by the society or board of an adjoining county upon the request
of the medical society of the county in which the alleged misconduct  or
infraction  of  this  chapter  occurred,  subject  to the time limit and
conditions set forth herein. The medical appeals unit shall  review  the
findings and recommendation of such medical society or board, or hearing
officer appointed by the chair upon application of the accused physician
and  may  reopen  the matter and receive further evidence. The findings,
decision and recommendation of such society, board  or  hearing  officer
appointed  by the chair or medical appeals unit shall be advisory to the
chair only, and shall not be binding or conclusive upon him or her.

S. 6405                            16                            A. 9005

  2.] The chair shall [remove from the list of physicians authorized to]
TEMPORARILY SUSPEND, REVOKE, OR OTHERWISE LIMIT THE AUTHORIZATION OF ANY
PROVIDER TO render medical care under this chapter, or to conduct  inde-
pendent  medical examinations in accordance with paragraph (b) of subdi-
vision  four  of  section  thirteen-a  of this article, [the name of any
physician who he or she shall find] SHOULD HE OR SHE FIND, after reason-
able investigation [is disqualified because such physician:], THAT  SUCH
PROVIDER  HAS  FAILED  TO  RENDER  COMPETENT,  PROFESSIONAL,  OR QUALITY
MEDICAL CARE AND TREATMENT UNDER THIS CHAPTER.
  2. A PROVIDER'S FAILURE TO PROVIDE THE STANDARD OF CARE OR HIS OR  HER
BREACH  OF  THE  DUTY  TO  PROVIDE  COMPETENT,  PROFESSIONAL, OR QUALITY
MEDICAL CARE AND TREATMENT UNDER  THIS  CHAPTER  CAN  BE  FOUND  IN  THE
FOLLOWING ACTS OF MISCONDUCT:
  (a)  has  [been  guilty  of] COMMITTED professional, MEDICAL, or other
misconduct or incompetency in connection with rendering medical services
under the law OR HAS VIOLATED ANY OF THE SPECIFIED GROUNDS FOR UNPROFES-
SIONAL CONDUCT AS MORE FULLY SET FORTH IN  THE  EDUCATION  LAW,  SPECIF-
ICALLY  THE RULES OF THE BOARD OF REGENTS, THE OFFICE OF PROFESSIONS, OR
THE REGULATIONS OF THE COMMISSIONER OF EDUCATION; or
  (b) has exceeded the limits of his or her professional  competence  in
rendering medical care or in conducting independent medical examinations
under  the law[,] or has made materially false statements [regarding his
or her qualifications in his or her application for  the  recommendation
of  the  medical  society  or board as provided in section thirteen-b of
this article] IN CONNECTION WITH THE AUTHORIZATION AGREEMENT; or
  (c) has failed to transmit copies of  medical  reports  to  claimant's
attorney  or  licensed  representative as provided in subdivision (f) of
section thirteen of this article; or  has  failed  to  submit  full  and
truthful medical reports of all his or her findings to the employer, and
directly  to  the  chair or the board within the time limits provided in
subdivision four of section thirteen-a of this article with  the  excep-
tion  of  injuries which do not require (1) more than ordinary first aid
or more than two treatments by a physician  or  person  rendering  first
aid, or (2) loss of time from regular duties of one day beyond the work-
ing day or shift; or
  (d) knowingly made a false statement or representation as to a materi-
al fact in any medical report made pursuant to this chapter or in testi-
fying  or otherwise providing information for the purposes of this chap-
ter; or
  (e) has solicited, or has employed another to solicit for  himself  or
herself  or  for another, professional treatment, examination or care of
an injured employee in connection with any claim under this chapter; or
  (f) has refused to appear before, to testify, to submit to  a  deposi-
tion,  or  to answer upon request of, the chair, board, [medical appeals
unit] or any duly authorized officer of the state, any  legal  question,
or  to produce any relevant book [or], paper, OR RESPONSE concerning his
or her conduct under any authorization [granted to him or her under this
chapter] OR AUTHORIZATION AGREEMENT; or
  (g) has directly or indirectly [requested, received or participated in
the division, transference, assignment, rebating, splitting or refunding
of a fee for, or has directly or indirectly requested, received or prof-
ited by means of a credit or other valuable consideration as  a  commis-
sion,  discount or gratuity in connection with the furnishing of medical
or surgical care,  an  independent  medical  examination,  diagnosis  or
treatment  or service, including X-ray examination and treatment, or for
or in connection with the sale, rental, supplying or furnishing of clin-

S. 6405                            17                            A. 9005

ical laboratory services  or  supplies,  X-ray  laboratory  services  or
supplies,  inhalation  therapy  service or equipment, ambulance service,
hospital or medical supplies, physiotherapy or other therapeutic service
or  equipment,  artificial  limbs, teeth or eyes, orthopedic or surgical
appliances or  supplies,  optical  appliances,  supplies  or  equipment,
devices  for  aid  of hearing, drugs, medication or medical supplies, or
any other goods, services or supplies prescribed for medical  diagnosis,
care  or  treatment, under this chapter; except that reasonable payment,
not exceeding the technical component fee permitted in the  medical  fee
schedule, established under this chapter for X-ray examinations, diagno-
sis or treatment, may be made by a physician duly authorized as a roent-
genologist  to any hospital furnishing facilities and equipment for such
examination, diagnosis or treatment, provided  such  hospital  does  not
also  submit  a  charge for the same services. Nothing contained in this
paragraph shall prohibit such physicians who practice  as  partners,  in
groups or as a professional corporation or as a university faculty prac-
tice  corporation  from  pooling fees and moneys received, either by the
partnership,  professional  corporation,  university  faculty   practice
corporation or group by the individual members thereof, for professional
services furnished by any individual professional member, or employee of
such  partnership,  corporation  or  group,  nor shall the professionals
constituting the partnerships, corporations,  or  groups  be  prohibited
from  sharing,  dividing or apportioning the fees and moneys received by
them or by the partnership, corporation or group in  accordance  with  a
partnership  or other agreement], WHILE TEMPORARILY SUSPENDED, BENEFITED
FROM THE SPLITTING OR POOLING OF FEES BY MANAGING OR DIRECTING A MEDICAL
PRACTICE EMPLOYING OR HIRING OTHER AUTHORIZED PROVIDERS TO RENDER TREAT-
MENT UNDER THIS CHAPTER, SUPERVISED CARE AND TREATMENT UNDER THIS  CHAP-
TER,  OR  SUBMITTED  FOR REIMBURSEMENT BOARD FORMS FOR SERVICES RENDERED
UNDER THIS CHAPTER; OR
  (H) HAS VIOLATED ANY OF THE PROVISIONS OUTLINED IN SECTION THIRTEEN OF
THIS ARTICLE, THE RULES, POLICIES, AND REGULATIONS  PROMULGATED  BY  THE
BOARD,  THE  PROVIDER'S  MEDICAL LICENSE REQUIREMENTS, AS MORE FULLY SET
FORTH IN THE PUBLIC HEALTH LAW AND THE EDUCATION LAW,  OR  THE  REQUIRE-
MENTS SET FORTH IN THE AUTHORIZATION AGREEMENT; OR
  (I)  HAS  BEEN  SUBJECT  TO A CONDITION, LIMITATION, OR FINDING BY THE
DEPARTMENT OF HEALTH IN A REPORT, DETERMINATION, OR ANY  TYPE  OF  ORDER
RESULTING FROM ALLEGATIONS OF MISCONDUCT.
  3. [Any person who violates or attempts to violate, and any person who
aids  another  to  violate  or  attempts  to  induce  him to violate the
provisions of paragraph (g) of subdivision two of this section shall  be
guilty  of a misdemeanor] ONCE SUSPENDED, REVOKED, OR LIMITED, A SURGEON
MAY PROVIDE ONLY REQUIRED AND NECESSARY POST-SURGICAL CARE AND TREATMENT
TO A WORKERS' COMPENSATION PATIENT RECOVERING FROM A SURGICAL  PROCEDURE
PERFORMED  WITHIN A REASONABLE TIME FRAME PRIOR TO THE EFFECTIVE DATE OF
THE PROVIDER'S AUTHORIZATION SUSPENSION OR REVOCATION.
  4. [Nothing] IN ADDITION TO THE POWER OR DUTY OF THE CHAIR  TO  TEMPO-
RARILY  SUSPEND,  REVOKE,  OR  OTHERWISE  LIMIT  THE  AUTHORIZATION OF A
PROVIDER IN THE EVENT THAT ONE OF THE ACTS OF PROFESSIONAL, MEDICAL,  OR
OTHER  MISCONDUCT  IS  FOUND  TO EXIST, NOTHING in this section shall be
construed as limiting in any respect the [power or duty of the chairman]
CHAIR'S AUTHORITY to [investigate instances of misconduct, either before
or after investigation by a medical society or board as herein provided,
or to temporarily suspend the authorization of any physician that he may
believe to be guilty of such misconduct] IMPOSE A  FINE  NOT  TO  EXCEED
FIVE THOUSAND DOLLARS.

S. 6405                            18                            A. 9005

  [5.  Whenever  the department of health shall conduct an investigation
with respect to charges of professional or other misconduct by a  physi-
cian  which  results  in  a  report, determination or consent order that
includes a finding of professional or other misconduct  or  incompetency
by  such  physician,  the  chair  shall have full power and authority to
temporarily suspend, revoke or otherwise limit the  authorization  under
this  chapter  of  any  physician upon such finding by the department of
health that the physician has  been  guilty  of  professional  or  other
misconduct.  The  recommendations  of  the department of health shall be
advisory to the chair only and shall not be binding or  conclusive  upon
the chair.]
  S  3.  Subdivision 2 of section 13-k of the workers' compensation law,
as amended by chapter 473 of the laws of 2000, is  amended  to  read  as
follows:
  2.  An  employee  injured  under  circumstances which make such injury
compensable under this article, when care is required for an  injury  to
the  foot  which injury or resultant condition therefrom may lawfully be
treated by a duly registered and licensed podiatrist of the state of New
York, may select to treat him or her any podiatrist  authorized  by  the
chair to render podiatry care, as hereinafter provided. If the injury or
condition is one which is without the limits prescribed by the education
law  for  podiatry  care  and treatment, or the injuries involved affect
other parts of the body in addition to the  foot,  the  said  podiatrist
must  so  advise  the  said  injured employee and instruct him or her to
consult a physician of said employee's choice for appropriate  care  and
treatment.  Such physician shall thenceforth have overall supervision of
the treatment of said patient  including  the  future  treatment  to  be
administered  to the patient by the podiatrist. If for any reason during
the period when podiatry treatment and care is  required,  the  employee
wishes  to  transfer his or her treatment and care to another authorized
podiatrist he or she may do so, in accordance with rules  prescribed  by
the  chair,  provided  however that the employer shall be liable for the
proper fees of the original podiatrist for the care and treatment he  or
she  shall have rendered. [A podiatrist licensed and registered to prac-
tice podiatry in the state of New York who is desirous of being  author-
ized  to render podiatry care under this section and/or to conduct inde-
pendent  medical  examinations  in  accordance  with  paragraph  (b)  of
subdivision three of this section shall file an application for authori-
zation under this section with the podiatry practice committee.  In such
application  he or she shall agree to refrain from subsequently treating
for remuneration, as a private  patient,  any  person  seeking  podiatry
treatment,  or  submitting  to  an  independent  medical examination, in
connection with, or as a result of, any injury  compensable  under  this
chapter,  if  he  or  she  has been removed from the list of podiatrists
authorized to render podiatry care or  to  conduct  independent  medical
examinations under this chapter, or if the person seeking such treatment
has  been  transferred  from  his  or  her  care  in accordance with the
provisions of this section. This agreement shall run to the  benefit  of
the injured person so treated or examined, and shall be available to him
or  her  as  a  defense in any action by such podiatrist for payment for
treatment rendered by a podiatrist after he or she has been removed from
the list of podiatrists authorized to render podiatry care or to conduct
independent medical  examinations  under  this  section,  or  after  the
injured  person  was transferred from his or her care in accordance with
the provisions of this section. The podiatry practice  committee  if  it
deems  such  licensed  podiatrist  duly qualified shall recommend to the

S. 6405                            19                            A. 9005

chair that such podiatrist be authorized to render podiatry care  and/or
to  conduct  independent  medical  examinations under this section. Such
recommendation shall be advisory to the chair  only  and  shall  not  be
binding  or  conclusive  upon  him  or her.] The chair shall prepare and
establish a schedule for the state,  or  schedules  limited  to  defined
localities,  of  charges and fees for podiatry treatment and care, to be
determined in accordance with and to be subject to  change  pursuant  to
rules  promulgated  by the chair. Before preparing such schedule for the
state or schedules for limited localities the chair  shall  request  the
podiatry  practice  committee  to  submit  to him or her a report on the
amount of remuneration deemed by such committee to be fair and  adequate
for  the  types  of podiatry care to be rendered under this chapter, but
consideration shall be given to the view of  other  interested  parties.
The  amounts  payable  by  the  employer for such treatment and services
shall be the fees and charges established by such schedule.
  S 4. Subdivision 2 of section 13-l of the workers'  compensation  law,
as  amended  by  chapter  473 of the laws of 2000, is amended to read as
follows:
  2. An employee injured under  circumstances  which  make  such  injury
compensable  under  this  article,  when  care is required for an injury
which consists solely of a condition which may lawfully be treated by  a
chiropractor  as  defined in section sixty-five hundred fifty-one of the
education law may select to treat him or her, any  duly  registered  and
licensed  chiropractor of the state of New York, authorized by the chair
to render chiropractic care as hereinafter provided. If  the  injury  or
condition is one which is outside the limits prescribed by the education
law  for  chiropractic care and treatment, the said chiropractor must so
advise the said injured employee and instruct him or her  to  consult  a
physician  of said employee's choice for appropriate care and treatment.
Such physician shall thenceforth have supervision of  the  treatment  of
said  condition including the future treatment to be administered to the
patient by the chiropractor. [A chiropractor licensed and registered  to
practice chiropractic in the state of New York, who is desirous of being
authorized  to  render  chiropractic  care  under this section and/or to
conduct independent medical examinations in  accordance  with  paragraph
(b)  of  subdivision three of this section shall file an application for
authorization under this section with the chiropractic practice  commit-
tee.  In  such  application he or she shall agree to refrain from subse-
quently treating for remuneration, as  a  private  patient,  any  person
seeking  chiropractic treatment, or submitting to an independent medical
examination, in connection with, or as a result of, any injury compensa-
ble under this chapter, if he or she has been removed from the  list  of
chiropractors authorized to render chiropractic care or to conduct inde-
pendent  medical examinations under this chapter, or if the person seek-
ing such treatment has been transferred from his or her care in  accord-
ance  with  the  provisions of this section. This agreement shall run to
the benefit of the injured person so treated, or examined, and shall  be
available  to him or her as a defense in any action by such chiropractor
for payment rendered by a chiropractor after he or she has been  removed
from the list of chiropractors authorized to render chiropractic care or
to conduct independent medical examinations under this section, or after
the  injured  person  was transferred from his or her care in accordance
with the provisions of this section. The chiropractic practice committee
if it deems such licensed chiropractor duly qualified shall recommend to
the chair that such be authorized to render chiropractic care and/or  to
conduct independent medical examinations under this section. Such recom-

S. 6405                            20                            A. 9005

mendations  shall be advisory to the chair only and shall not be binding
or conclusive upon him or her.] The chair shall prepare and establish  a
schedule  for  the  state, or schedules limited to defined localities of
charges  and  fees for chiropractic treatment and care, to be determined
in accordance with and to be subject to change pursuant to rules promul-
gated by the chair.  Before preparing such schedule  for  the  state  or
schedules  for limited localities the chair shall request the chiroprac-
tic practice committee to submit to him or her a report on the amount of
remuneration deemed by such committee to be fair and  adequate  for  the
types  of  chiropractic  care  to  be  rendered  under this chapter, but
consideration shall be given to the view of  other  interested  parties,
the  amounts  payable  by  the  employer for such treatment and services
shall be the fees and charges established by such schedule.
  S 5. Subdivisions 2 and 3  and  paragraph  (b)  of  subdivision  4  of
section 13-m of the workers' compensation law, subdivision 2 as added by
chapter  589  of the laws of 1989 and subdivision 3 and paragraph (b) of
subdivision 4 as amended by chapter 473 of the laws of 2000, are amended
to read as follows:
  2. (a) An injured employee, injured  under  circumstances  which  make
such  injury  compensable  under this article, may lawfully be treated[,
upon the referral of an authorized physician,] by a  psychologist,  duly
registered  and  licensed  by  the  state of New York, authorized by the
chairman to render psychological care pursuant to [this]  section  THIR-
TEEN-B OF THIS ARTICLE.  Such services shall be within the scope of such
psychologist's  specialized  training  and  qualifications as defined in
article one hundred fifty-three of the education law.
  (b) Medical bureaus, medical centers jointly  operated  by  labor  and
management  representatives,  hospitals and health maintenance organiza-
tions, authorized to provide medical care pursuant to section thirteen-c
of this chapter, may provide psychological services when required[, upon
the referral of an authorized physician, provided such care is  rendered
by  a duly registered, licensed and authorized psychologist, as required
by this section].
  (c) A psychologist rendering service pursuant to  this  section  shall
maintain records of the patient's psychological condition and treatment,
and  such  records or reports shall be submitted to the chairman on such
forms and at such times as the chairman may require.
  3. [A psychologist, licensed and registered to practice psychology  in
the  state  of  New  York, who is desirous of being authorized to render
psychological care under this  section  and/or  to  conduct  independent
medical  examinations  in  accordance  with paragraph (b) of subdivision
four of this section shall file an application for  authorization  under
this section with the psychology practice committee. The applicant shall
agree  to  refrain  from  subsequently  treating  for remuneration, as a
private patient, any person seeking psychological treatment, or  submit-
ting  to an independent medical examination, in connection with, or as a
result of, any injury compensable under this chapter, if he or  she  has
been removed from the list of psychologists authorized to render psycho-
logical care under this chapter. This agreement shall run to the benefit
of the injured person so treated, and shall be available as a defense in
any  action  by  such psychologist for payment for treatment rendered by
such psychologist after being removed from  the  list  of  psychologists
authorized  to  render  psychological  care  or  to  conduct independent
medical examinations under this section. The psychology practice commit-
tee if it deems such licensed psychologist duly qualified  shall  recom-
mend to the chair that such person be authorized to render psychological

S. 6405                            21                            A. 9005

care  and/or  to  conduct  independent  medical  examinations under this
section. Such recommendations shall be only advisory to  the  chair  and
shall  not be binding or conclusive.] The chair shall prepare and estab-
lish a schedule for the state or schedules limited to defined localities
of  charges  and fees for psychological treatment and care, to be deter-
mined in accordance with and be subject  to  change  pursuant  to  rules
promulgated  by  the chair. Before preparing such schedule for the state
or schedules for limited localities the chair shall request the psychol-
ogy practice committee to submit to such chair a report on the amount of
remuneration deemed by such committee to be fair and  adequate  for  the
types  of  psychological  care  to  be  rendered under this chapter, but
consideration shall be given to the view of  other  interested  parties.
The  amounts  payable  by  the  employer for such treatment and services
shall be the fees and charges established by such schedule.
  (b) Upon receipt of the notice provided for by paragraph (a)  of  this
subdivision,  the  employer, the carrier, and the claimant each shall be
entitled to have the claimant  examined  by  a  qualified  psychologist,
authorized  by  the chair in accordance with [subdivision three of this]
section THIRTEEN-B OF THIS ARTICLE and section one hundred  thirty-seven
of this chapter, at a medical facility convenient to the claimant and in
the presence of the claimant's psychologist, and refusal by the claimant
to  submit to such independent medical examination at such time or times
as may reasonably be necessary in the opinion of the board shall bar the
claimant from recovering compensation, for any period during which he or
she has refused to submit to such examination.
  S 6. Section 14 of the workers' compensation law, as amended by  chap-
ter  925 of the laws of 1937, subdivisions 1 and 2 as amended by chapter
94 of the laws of 1946, subdivision 3 as amended by chapter 277  of  the
laws  of  1941,  subdivision  5 as amended by chapter 730 of the laws of
1978, subdivision 6 as amended by chapter 6 of  the  laws  of  2007  and
subdivision  7 as amended by chapter 169 of the laws of 2007, is amended
to read as follows:
  S 14. Weekly wages basis of compensation. Except as otherwise provided
in this chapter, the average weekly wages of the injured employee at the
time of the injury shall be taken as the basis  upon  which  to  compute
compensation or death benefits, and shall be determined as follows:
  1.  [If  the  injured  employee shall have worked in the employment in
which he was working at the time of the accident, whether for  the  same
employer  or not, during substantially the whole of the year immediately
preceding his injury, his average annual earnings shall consist of three
hundred times the average daily wage or salary for a six-day worker, and
two hundred sixty times the average daily wage or salary for a  five-day
worker,  which  he  shall have earned in such employment during the days
when so employed;
  2. If the injured employee shall not have worked  in  such  employment
during  substantially  the  whole of such year, his average annual earn-
ings, if a six-day worker, shall consist  of  three  hundred  times  the
average daily wage or salary, and, if a five-day worker, two hundred and
sixty  times  the average daily wage or salary, which an employee of the
same class working substantially the whole of such immediately preceding
year in the same or in a similar employment in the same or a neighboring
place shall have earned in such  employment  during  the  days  when  so
employed;
  3.  If either of the foregoing methods of arriving at the annual aver-
age earnings of an injured employee  cannot  reasonably  and  fairly  be
applied,  such  annual  average  earnings  shall  be such sum as, having

S. 6405                            22                            A. 9005

regard to the previous earnings of the injured  employee  and  of  other
employees of the same or most similar class, working in the same or most
similar  employment,  or other employment as defined in this chapter, in
the  same or neighboring locality, shall reasonably represent the annual
earning capacity of the injured employee in the employment in  which  he
was  working at the time of the accident, provided, however, his average
annual earnings shall consist of not less than  two  hundred  times  the
average  daily wage or salary which he shall have earned in such employ-
ment during the days when so employed, further provided,  however,  that
if the injured employee shall have been in the military or naval service
of  the  United  States or of the state of New York within twelve months
prior to his injury, and his average annual earnings  cannot  be  fairly
determined under subdivisions one and two, then the average annual earn-
ings  shall  be  determined by multiplying his average daily wage during
the days so employed by not less than two hundred and forty;
  4. The average weekly wages of an employee shall  be  one-fifty-second
part  of  his average annual earnings;] THE AVERAGE WEEKLY WAGE SHALL BE
DETERMINED BY COMPUTING THE TOTAL WAGES PAID TO THE EMPLOYEE DURING  THE
THIRTEEN  WEEKS IMMEDIATELY PRECEDING THE DATE OF INJURY AND DIVIDING BY
THIRTEEN, PROVIDED THAT:
  A. IF THE EMPLOYEE WORKED LESS THAN THIRTEEN WEEKS IN  THE  EMPLOYMENT
IN  WHICH  THE  EMPLOYEE  WAS  INJURED, THE AVERAGE WEEKLY WAGE SHALL BE
BASED UPON THE TOTAL WAGE EARNED BY THE EMPLOYEE IN  THE  EMPLOYMENT  IN
WHICH  THE  EMPLOYEE  WAS  INJURED, DIVIDED BY THE TOTAL NUMBER OF WEEKS
ACTUALLY WORKED IN THAT EMPLOYMENT;
  B. IF THE  INJURED  EMPLOYEE  SUSTAINS  A  COMPENSABLE  INJURY  BEFORE
COMPLETING  HIS  OR HER FIRST WORK WEEK, OR IF THE INJURED EMPLOYEE IS A
SEASONAL EMPLOYEE, OR IF THE EARNINGS ARE AT AN IRREGULAR RATE, SUCH  AS
PIECEWORK,  OR  ON A COMMISSION BASIS, OR ARE SPECIFIED TO BE BI-WEEKLY,
MONTHLY, OR OTHER PERIOD, THEN THE AVERAGE WEEKLY WAGE SHALL BE TAKEN AS
THE ACTUAL WEEKLY EARNINGS AVERAGED FOR THIS PERIOD OF TIME, NOT EXCEED-
ING ONE YEAR;
  C. IF THERE IS INSUFFICIENT EVIDENCE AVAILABLE TO DETERMINE THE  EARN-
INGS  OF THE EMPLOYEE UNDER THE FOREGOING METHODS, OR IF THE PAY HAS NOT
BEEN DESIGNATED FOR THE WORK REQUIRED, THE AVERAGE WEEKLY WAGE SHALL  BE
BASED  UPON  THE  PREVIOUS EARNINGS OF THE INJURED EMPLOYEE AND OF OTHER
EMPLOYEES OF THE SAME OR MOST SIMILAR CLASS, WORKING IN THE SAME OR MOST
SIMILAR EMPLOYMENT, OR OTHER EMPLOYMENT AS DEFINED IN THIS  CHAPTER,  IN
THE  SAME  OR  NEIGHBORING LOCALITY, THAT SHALL REASONABLY REPRESENT THE
ANNUAL EARNING CAPACITY OF THE INJURED EMPLOYEE  IN  THE  EMPLOYMENT  IN
WHICH  HE OR SHE WAS WORKING AT THE TIME OF THE ACCIDENT FOR A PERIOD OF
THIRTEEN WEEKS PRIOR TO THE INJURY OR, IF THAT METHOD DOES  NOT  CONSTI-
TUTE SUFFICIENT EVIDENCE OF THE AVERAGE WEEKLY WAGE, EARNINGS DATA FOR A
PERIOD NOT EXCEEDING ONE YEAR PRIOR TO THE INJURY;
  D.  PROVIDED,  FURTHER,  HOWEVER, THAT ONLY IN THE EVENT THAT THERE IS
INSUFFICIENT EVIDENCE ASCERTAINED UNDER THE FOREGOING METHODS OF COMPUT-
ING THE AVERAGE WEEKLY WAGE OF THE EMPLOYEE BY REASON OF THE  NATURE  OF
THE EMPLOYMENT OR WHERE FOR ANY OTHER REASON THE METHODS WILL NOT FAIRLY
AND ACCURATELY COMPUTE THE AVERAGE WEEKLY WAGE, COMPUTATION OF THE AVER-
AGE WEEKLY WAGE MAY BE DETERMINED BY SUCH OTHER MANNER AND BY SUCH OTHER
METHOD  AS  WILL  BE  BASED UPON THE FACTS PRESENTED TO FAIRLY DETERMINE
SUCH EMPLOYEE'S AVERAGE WEEKLY WAGE;
  E. IF A CLAIM IS ESTABLISHED AS AN OCCUPATIONAL DISEASE,  THE  AVERAGE
WEEKLY WAGE SHALL BE BASED ON EARNINGS AS OF THE DATE OF DISABLEMENT.
  [5.]  2.  If it be established that the injured employee was under the
age of twenty-five when injured, and that under  normal  conditions  his

S. 6405                            23                            A. 9005

wages  would  be  expected  to  increase, that fact may be considered in
arriving at his average weekly wages.
  [6.]  3.  If the injured employee is concurrently engaged in more than
one employment at the time of  injury,  the  employee's  average  weekly
wages  shall  be  calculated  upon  the  basis  of wages earned from all
concurrent employments covered under this chapter. The employer in whose
employment the employee was injured shall be  liable  for  the  benefits
that  would  have  been payable if the employee had had no other employ-
ment. [Any additional benefits resulting from the  increase  in  average
weekly wages due to the employee's concurrent employments shall be paya-
ble  in  the  first  instance  by  the  employer in whose employment the
employee was injured and shall be reimbursed by the  special  disability
fund created under subdivision eight of section fifteen of this article,
but  only if such claim is presented in accordance with subparagraph two
of paragraph (h) of subdivision eight of section fifteen of  this  arti-
cle.] The employer in whose employment the employee was injured shall be
liable for all medical costs.
  [7.]  4.  The  average  weekly wages of a jockey, apprentice jockey or
exercise person licensed under article two or four of the racing,  pari-
mutuel wagering and breeding law shall be computed based upon all of the
earnings of such jockey, apprentice jockey or exercise person, including
those derived from outside of the state.
  S  7. Subdivision 1 of section 20 of the workers' compensation law, as
amended by chapter 635 of the laws  of  1996,  is  amended  to  read  as
follows:
  1.   At any time after the expiration of the first seven days of disa-
bility on the part of an injured employee, or  at  any  time  after  the
employee's  death,  a  claim  for  compensation  may be presented to the
employer or to the chair.  The board shall have full power and authority
to determine  all  questions  in  relation  to  the  payment  of  claims
presented  to  it for compensation under the provisions of this chapter.
The chair or board shall make or cause to be made such investigation  as
it  deems necessary, and upon application of either party, shall order a
hearing, and within thirty  days  after  a  claim  for  compensation  is
submitted under this section, or such hearing closed, shall make or deny
an  award, determining such claim for compensation, and file the same in
the office of the chair. Immediately after such filing the  chair  shall
send  to the parties a copy of the decision.  Upon a hearing pursuant to
this section either party may present evidence  and  be  represented  by
counsel.    The decision of the board shall be final as to all questions
of fact, and, except as provided in section twenty-three of  this  arti-
cle,  as to all questions of law.  Except as provided in section twenty-
seven of this article, all awards of the board shall draw simple  inter-
est  from  thirty  days after the making thereof at the rate provided in
section five thousand four of the civil practice law and rules.  Whenev-
er a hearing or proceeding for the determination of a claim for  compen-
sation  is  begun  before  a referee, pursuant to the provisions of this
chapter, such hearing or proceeding or any  adjourned  hearing  [thereon
shall], INCLUDING A REFERRAL FOR DECISION, MAY continue before [the same
referee  until  a  final determination awarding or denying compensation,
except in the absence, inability or  disqualification  to  act  of  such
referee,  or  for  other  good  cause,  in  which  event such hearing or
proceeding may be continued before another referee by order of the chair
or board] ANY REFEREE AS DETERMINED BY THE BOARD.

S. 6405                            24                            A. 9005

  S 8. Section 23 of  the  workers'  compensation  law,  as  amended  by
section  10  of part GG of chapter 57 of the laws of 2013, 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 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. 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  determination  in the same manner as herein
above provided for an award or decision of a referee.   If the  decision
or  determination  was  that of a unanimous 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 impartial specialist, the board may in
its sole discretion review and affirm, modify or rescind  such  decision
or  determination  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-

S. 6405                            25                            A. 9005

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
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. WHENEVER AN APPLICA-
TION IS MADE TO THE BOARD BY THE EMPLOYER OR  INSURANCE  CARRIER  FOR  A
MODIFICATION  OR  RESCISSION  OR REVIEW OF AN AWARD OR DECISION, AND THE
BOARD SHALL FIND THAT SUCH APPLICATION WAS MADE FOR THE PURPOSE OF DELAY
AND UPON FRIVOLOUS GROUNDS, THE BOARD MAY IMPOSE A PENALTY  PURSUANT  TO
PARAGRAPH  (F) OF SUBDIVISION THREE OF SECTION TWENTY-FIVE OF THIS ARTI-
CLE.  UPON A FINDING THAT AN APPLICATION HAS BEEN MADE TO THE BOARD  FOR
THE  PURPOSE  OF  DELAY  AND UPON FRIVOLOUS GROUNDS, AND THE EMPLOYER OR
CARRIER HAS MADE PAYMENT TO THE  CLAIMANT  OF  ALL  COMPENSATION  AS  IT
BECOMES  DUE DURING THE PENDENCY OF THE APPLICATION, NO PENALTY PURSUANT
TO PARAGRAPH (F) OF SUBDIVISION THREE OF  SECTION  TWENTY-FIVE  OF  THIS
ARTICLE  SHALL  BE  IMPOSED.  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  subdivi-
sion  five of section fifty-two of this chapter 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 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 9. Paragraph (f) of subdivision 3 of  section  25  of  the  workers'
compensation  law,  as  amended  by  chapter 316 of the laws of 1991, is
amended to read as follows:
  (f) If the employer or  its  insurance  carrier  shall  fail  to  make
payments  of compensation according to the terms of the award within ten
days or the uninsured employers' fund shall fail  to  make  payments  of

S. 6405                            26                            A. 9005

compensation  according  to  the  terms  of the award within thirty days
after such ten day period except in case of an application to the  board
for  a  modification, rescission or review of such award, there shall be
imposed  a  penalty  equal  to twenty percent of the unpaid compensation
which shall be paid to the injured worker or his or her dependents,  and
there  shall also be imposed an assessment of fifty dollars, which shall
be paid into the state treasury.  WHENEVER AN APPLICATION IS MADE TO THE
BOARD BY THE EMPLOYER OR INSURANCE CARRIER FOR A MODIFICATION OR RESCIS-
SION OR REVIEW OF AN AWARD OR DECISION IN ACCORDANCE WITH SECTION  TWEN-
TY-THREE OF THIS ARTICLE, AND THE BOARD SHALL FIND THAT SUCH APPLICATION
WAS  MADE FOR THE PURPOSE OF DELAY AND UPON FRIVOLOUS GROUNDS, THE BOARD
MAY IMPOSE A PENALTY EQUAL TO TWENTY PERCENT OF THE UNPAID  COMPENSATION
WHICH  SHALL BE PAID TO THE INJURED WORKER OR HIS OR HER DEPENDENTS, AND
THERE SHALL ALSO BE IMPOSED AN ASSESSMENT OF FIFTY DOLLARS, WHICH  SHALL
BE PAID INTO THE STATE TREASURY.
  S  10.  The  closing  paragraph  of  paragraph (a) of subdivision 2 of
section 25 of the workers' compensation law, as amended by  chapter  635
of the laws of 1996, is amended to read as follows:
  If  the  insurance carrier shall fail either to file notice of contro-
versy or begin payment of compensation within the prescribed  period  or
within  ten  days  after  receipt  of  a  copy of the notice required in
section one hundred ten of this chapter, whichever period is the  great-
er,  the board may[, after a hearing,] impose a penalty in the amount of
three hundred dollars, which shall be in addition to all other penalties
provided for in this chapter and shall be paid  to  the  claimant.  Such
penalty shall be collected in like manner as an award of compensation.
  S 11.  Subdivisions 1 and 7 of section 27 of the workers' compensation
law, subdivision 1 as amended by chapter 192 of the laws of 1949, subdi-
vision 7 as amended by chapter 62 of the laws of 1989, the closing para-
graph  of  subdivision 7 as amended by chapter 6 of the laws of 2007 and
as further amended by section 104 of part A of chapter 62 of the laws of
2011, are 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 SIXTEEN  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 SIXTEEN 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.
  7. [For the purpose of securing the solvency of  the  aggregate  trust
fund,  there shall be required, in addition to the payments hereinbefore
provided for, a payment on each award, as follows:
  (a) In the mandatory type cases based on an accident occurring  on  or
subsequent to July first, nineteen hundred forty-one up to and including
June  thirtieth, nineteen hundred forty-three an amount equal to six per
centum of the present value of each such case paid into such fund;

S. 6405                            27                            A. 9005

  (b) In the mandatory type cases based on an accident occurring  on  or
subsequent  to  July first, nineteen hundred forty-three an amount equal
to ten per centum of the present value of each such case paid into  such
fund;
  (c)  In the discretionary type cases based on an accident occurring up
to and including June thirtieth, nineteen hundred thirty-nine an  amount
equal  to sixteen per centum of the present value of each such case paid
into such fund;
  (d) In the discretionary type cases based on an accident occurring  on
or  subsequent  to  July  first,  nineteen hundred thirty-nine an amount
equal to ten per centum of the present value of each such case paid into
such fund.
  Such additional payments shall be required until the  surplus  of  the
fund  equals  or  exceeds  one  per centum of the total outstanding loss
reserves as shown by three successive annual reports of the fund to  the
superintendent  of  financial services and such additional payment shall
be required as a payment upon each award based on an accident  occurring
prior  to  July  first next succeeding the third such annual report, but
not as a payment upon any award based on an  accident  occurring  on  or
after  said  July first; provided, however, that if and when the surplus
of the fund as shown by any annual report thereafter shall be less  than
one  per  centum  of the total outstanding loss reserves, then the addi-
tional payments as provided in paragraphs (a), (b), (c) and (d) of  this
subdivision  shall  be resumed and shall be payable upon any award based
on an accident occurring on or after  July  first  next  succeeding  the
close  of the year for which such annual report is made. Thereafter, the
suspension or resumption of additional  payments  as  required  by  this
subdivision  shall  be  governed  by the foregoing provisions. Such loss
reserves shall be computed based upon the tables specified  in  subdivi-
sion five of this section and interest at a standard to be determined by
the  superintendent  of  financial  services  by  regulation.]  FOR  THE
PURPOSES OF INSURING THE SOLVENCY OF THE AGGREGATE TRUST FUND SUBSEQUENT
TO THE FIRST DAY OF JANUARY, TWO THOUSAND SIXTEEN, THE SUPERINTENDENT OF
FINANCIAL SERVICES, IN ACCORDANCE WITH SUBDIVISION TWO  OF  SECTION  ONE
HUNDRED  EIGHT  OF THIS CHAPTER, MAY DIRECT CARRIERS TO DEPOSIT NOT MORE
THAN TWO PERCENT OF WRITTEN  PREMIUMS  INTO  THE  WORKERS'  COMPENSATION
GUARANTEE  FUND ESTABLISHED BY ARTICLE SIX OF THIS CHAPTER TO ENABLE THE
AGGREGATE TRUST FUND TO MEET ITS OBLIGATIONS UNDER THIS  SECTION  FOR  A
PERIOD  OF  TIME  NOT TO EXTEND TEN YEARS FROM THE EFFECTIVE DATE OF THE
CHAPTER OF THE LAWS OF TWO THOUSAND SIXTEEN WHICH AMENDED THIS  SUBDIVI-
SION.  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  12.  Subdivisions  3  and 4 of section 25-a of the workers' compen-
sation law, subdivision 3 as amended by section 13 of part GG of chapter
57 of the laws of 2013, subdivision 4 as amended by chapter 395  of  the
laws  of  1964,  and  the  closing paragraph of subdivision 4 as further
amended by section 104 of part A of chapter 62 of the laws of 2011,  are
amended to read as follows:
  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

S. 6405                            28                            A. 9005

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
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, and

S. 6405                            29                            A. 9005

(4) a reserve equal to ten per cent of the sum of items (1), (2) and (3)
of this paragraph. Annually, as soon as practicable after January  first
in  each  year,  the chair shall ascertain the condition of the fund and
[whenever  the  assets shall fall below the prescribed minimum as herein
provided the chair] shall collect:  (A) DEBT SERVICE  AMOUNT  SUFFICIENT
TO  COVER DEBT SERVICE AND ASSOCIATED COSTS TO BE PAID DURING THE CALEN-
DAR YEAR BY THE DORMITORY AUTHORITY, AS CALCULATED  IN  ACCORDANCE  WITH
SUBDIVISION  FOUR  OF  THIS  SECTION AND (B) WHENEVER THE VALUE OF OTHER
ASSETS FALL BELOW THE PRESCRIBED MINIMUM  TO  BE  MAINTAINED  AS  HEREIN
PROVIDED,  an  amount  sufficient  to restore the fund to the prescribed
minimum.   SUCH ASSESSMENTS SHALL BE 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. 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
INCLUDING, WITHOUT LIMITATION, BY OBTAINING AN "ASSUMPTION  OF  WORKERS'
COMPENSATION  LIABILITY  INSURANCE POLICY" AS DEFINED IN SECTION SIXTEEN
HUNDRED EIGHTY-L OF THE PUBLIC AUTHORITIES LAW.  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.
  4.  THE CHAIR AND THE COMMISSIONER OF TAXATION AND FINANCE ARE AUTHOR-
IZED AND DIRECTED TO ENTER INTO A FINANCING AGREEMENT WITH THE DORMITORY
AUTHORITY, TO BE KNOWN AS THE "FUND FOR REOPENED CASES FINANCING  AGREE-
MENT".  SUCH  AGREEMENT  SHALL SET FORTH THE PROCESS FOR CALCULATING THE
ANNUAL DEBT SERVICE OF THE BONDS ISSUED BY THE DORMITORY  AUTHORITY  AND
ANY  OTHER  ASSOCIATED  COSTS  IN  CONNECTION WITH THE FUND FOR REOPENED
CASES, AS SET FORTH IN SECTION SIXTEEN HUNDRED EIGHTY-L  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 FUND
FOR REOPENED CASES 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

S. 6405                            30                            A. 9005

AUTHORITY IN DEBT SERVICE AND ASSOCIATED COSTS FOR PURPOSES OF CALCULAT-
ING  THE  DEBT  SERVICE  ASSESSMENT AS SET FORTH IN SUBDIVISION THREE OF
THIS SECTION. ALL MONIES RECEIVED ON ACCOUNT  OF  ANY  ASSESSMENT  UNDER
SUBDIVISION  THREE OF THIS SECTION AND THIS SUBDIVISION SHALL BE APPLIED
IN ACCORDANCE WITH THIS SUBDIVISION AND IN ACCORDANCE WITH THE FUND  FOR
REOPENED  CASES  FINANCING  AGREEMENT UNTIL THE FINANCIAL OBLIGATIONS OF
THE DORMITORY AUTHORITY IN RESPECT TO ITS CONTRACT WITH ITS  BONDHOLDERS
ARE MET AND ALL ASSOCIATED COSTS PAYABLE TO OR BY THE DORMITORY AUTHORI-
TY 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  BONDHOLD-
ERS.
  THE FUND FOR REOPENED CASES FINANCING AGREEMENT MAY RESTRICT DISBURSE-
MENTS,  INVESTMENTS,  OR REBATES, AND MAY PRESCRIBE A SYSTEM OF ACCOUNTS
APPLICABLE TO THE  FUND  FOR  REOPENED  CASES  AS  CONSISTENT  WITH  THE
PROVISIONS  OF  THIS  SECTION  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
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.
  (A) The commissioner of taxation and finance shall be the custodian of
such  [special]  fund  for reopened cases and, UNLESS OTHERWISE PROVIDED
FOR IN THE FUND FOR REOPENED CASES FINANCING AGREEMENT, shall invest any
surplus OR RESERVE monies thereof in securities which  constitute  legal
investments for savings banks under the laws of this state and in inter-
est  bearing  certificates of deposit of a bank or trust company located
and authorized 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 securi-
ties or certificates of deposit in  which  such  fund  is  invested,  if
necessary  for the proper administration or in the best interest of such
fund. Disbursements from such fund for  compensation  provided  by  this
section  shall  be paid by the commissioner of taxation and finance upon
vouchers signed by the [chairman] CHAIR OF THE BOARD UNLESS THE  FINANC-
ING  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 [chairman] CHAIR OF THE WORKERS' COMPENSATION BOARD a  statement  of
the fund, setting forth the balance of monies in the said fund as of the
beginning of the year, the income of the fund, a summary of payments out
of  the fund on account of compensation ordered to be paid by the board,
medical and other expense, 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 [chairman] CHAIR, and a copy thereof shall be trans-
mitted by the  [chairman]  CHAIR  to  the  superintendent  of  financial
services.  The superintendent of financial services may examine into the
condition of such fund at any time on his OR HER own  initiative  or  on
request of the [chairman] CHAIR or representative of the fund. He OR SHE
shall  verify  the  receipts  and  disbursements  of the fund, and shall
ascertain the liability of the fund upon all cases in  which  awards  of
compensation  have  been  made  and  charged against said fund and shall
render a report of such facts to the  [chairman]  CHAIR.    Such  report

S. 6405                            31                            A. 9005

shall  also be open to public inspection in the office of the [chairman]
CHAIR.  THE CHAIR, NOT LESS THAN NINETY DAYS AFTER THE ISSUANCE  OF  THE
DORMITORY  AUTHORITY'S  ANNUAL  AUDIT, SHALL FURNISH TO THE PRESIDENT OF
THE  SENATE AND THE SPEAKER OF THE ASSEMBLY THE FOLLOWING REPORTS ON THE
FUND FOR REOPENED CASES: A REVENUE AND OPERATING  EXPENSE  STATEMENT;  A
FINANCING  PLAN;  A  REPORT  CONCERNING  THE ASSETS AND LIABILITIES; THE
NUMBER OF AGREEMENTS TO PROCURE MANAGEMENT OF SUCH CLAIMS; THE NUMBER OF
ASSUMPTION  OF  WORKERS'  COMPENSATION  LIABILITY   INSURANCE   POLICIES
EXECUTED  SELLING  SUCH CLAIMS; THE NUMBER OF CLAIMANTS REMAINING IN THE
FUND; THE ESTIMATED CURRENT UNFUNDED LIABILITY OF THE FUND WITH  RESPECT
TO  SUCH CLAIMS; AND A DEBT ISSUANCE REPORT INCLUDING BUT NOT LIMITED TO
(I) PLEDGED ASSESSMENT REVENUE AND FINANCING COVERAGE, (II) DEBT SERVICE
MATURITIES, (III) INTEREST RATE EXCHANGE OR SIMILAR AGREEMENTS, AND (IV)
FINANCING AND ISSUANCE COSTS.
  THE COMMISSIONER OF TAXATION AND FINANCE MAY ESTABLISH WITHIN THE FUND
FOR REOPENED CASES 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  FUND  FOR
REOPENED CASES FINANCING AGREEMENT.
  S  13. Subdivision (i) of section 32 of the workers' compensation law,
as added by chapter 6 of the laws of 2007 and  paragraph  5  as  further
amended  by  section 104 of part A of chapter 62 of the laws of 2011, is
amended to read as follows:
  (i) (1) The waiver agreement management office may  contract  with  AN
INSURANCE  CARRIER,  SELF-INSURED  EMPLOYER, STATE INSURANCE FUND OR any
third party to ASSUME  LIABILITY  FOR,  manage,  administer,  or  settle
claims  on  its  behalf, so long as (A) such contract is approved by the
special disability fund advisory committee and (B)  such  [third]  party
shall  agree  to be subject to any guidelines or directives as the chair
may issue.
  (2) The chair MAY, with approval of the special disability fund  advi-
sory  committee  and  on  such terms as the committee deems appropriate,
[shall have discretion to] procure  one  or  more  private  entities  to
assume  the  liability for and [management, administration or settlement
of] MANAGE, ADMINISTER OR SETTLE all or a portion of the claims  in  the
special  disability fund INCLUDING, WITHOUT LIMITATION, BY OBTAINING "AN
ASSUMPTION OF  WORKERS'  COMPENSATION  LIABILITY  INSURANCE  POLICY"  AS
DEFINED  FOR  PURPOSES OF SECTION SIXTEEN HUNDRED EIGHTY-L OF THE PUBLIC
AUTHORITIES LAW. ANY SUCH POLICY SHALL EXPRESSLY PROVIDE  AND,  NOTWITH-
STANDING ANY OTHER PROVISION OF LAW, OPERATE TO RELEASE FROM ANY FURTHER
LIABILITY (1) THE SPECIAL DISABILITY FUND AND (2) THE INSURANCE CARRIER,
INCLUDING AS THE CASE MAY BE THE STATE INSURANCE FUND, ORIGINALLY LIABLE
FOR ANY CLAIM COVERED BY THE ASSUMPTION OF WORKERS' COMPENSATION LIABIL-
ITY INSURANCE POLICY SECURING SUCH FURTHER AND FUTURE CONTINGENT LIABIL-
ITY  AS  MAY  ARISE FOR ANY SUCH CLAIM, INCLUDING FROM PRIOR INJURIES TO
EMPLOYEES AND BE INCURRED BY REASON OF ANY CHANGE IN  THE  CONDITION  OF
SUCH  EMPLOYEES  FOR PAYMENT OF ADDITIONAL COMPENSATION. NOTWITHSTANDING
ANY OTHER PROVISIONS OF LAW, NO CONSULTATION OR APPROVAL OF ANY  EMPLOY-
ER, INSURANCE CARRIER, SELF-INSURER OR THE STATE INSURANCE FUND SHALL BE
REQUIRED  BEFORE  SUCH  OFFICE  MAY ENTER INTO ANY SUCH POLICY OR WAIVER
AGREEMENT, OR BEFORE THE BOARD MAY APPROVE SUCH WAIVER AGREEMENT.    Any
such  procurement  shall  be  conducted in accordance with state finance
law, except as otherwise set forth below. The chair shall not award  any
contract that has not been approved by the special disability fund advi-
sory committee. Notwithstanding the foregoing, the chair of the workers'

S. 6405                            32                            A. 9005

compensation board may, if approved by the special disability fund advi-
sory committee, and on such terms as the committee deems appropriate:
  (A)  waive  any  informality  in a bid, and either reject all bids and
again advertise for bids, or interview at least two  responsible  quali-
fied bidders and negotiate and enter into a contract with one or more of
such bidders; or
  (B)  group  claims  to  be assigned, in whole or in part, based on the
insurance carrier, self-insured employer or state insurance fund that is
receiving or will receive reimbursement on those claims from the  second
disability fund. Such grouping shall be permissible notwithstanding that
any  insurance carrier may have greater access to information, or may be
able to provide better terms, in regard to claims so grouped.
  (3) [Any such contract shall expressly provide that the special  disa-
bility  fund is no longer liable for the claims covered by the contract,
and require security of either cash, an indemnity policy, or such  secu-
rity as is otherwise sufficient to cover any losses incurred as a result
of  the  failure  or  default of the entity or entities awarded any such
contract, including as a result of the insolvency of  any  such  entity.
The  chair  may waive all or part of such security, and may impose other
reasonable methods of insuring payment, upon  approval  of  the  special
disability  fund  advisory  committee]  ANY POLICY EXECUTED BY THE CHAIR
PURSUANT TO THIS SECTION SHALL BE IN THE FORM OF AN ASSUMPTION OF  WORK-
ERS'  COMPENSATION  LIABILITY INSURANCE POLICY SECURING SUCH FURTHER AND
FUTURE CONTINGENT LIABILITY AS MAY ARISE FROM ANY CLAIM COVERED BY  SUCH
POLICY, INCLUDING PRIOR INJURIES TO WORKERS AND BE INCURRED BY REASON OF
ANY  CHANGE IN THE CONDITION OF SUCH WORKERS WARRANTING THE BOARD MAKING
SUBSEQUENT AWARDS FOR PAYMENT OF ADDITIONAL  COMPENSATION.  SUCH  POLICY
SHALL  BE IN A FORM APPROVED BY THE SUPERINTENDENT OF FINANCIAL SERVICES
AND ISSUED BY THE STATE INSURANCE FUND OR ANY INSURANCE COMPANY LICENSED
TO ISSUE THIS CLASS OF INSURANCE IN THIS STATE. IN THE EVENT  THAT  SUCH
POLICY  IS ISSUED BY AN INSURANCE COMPANY OTHER THAN THE STATE INSURANCE
FUND, THEN SAID POLICY SHALL BE DEEMED OF THE KIND  SPECIFIED  IN  PARA-
GRAPH  FIFTEEN  OF  SUBSECTION  (A)  OF SECTION ONE THOUSAND ONE HUNDRED
THIRTEEN OF THE INSURANCE LAW AND COVERED BY THE  WORKERS'  COMPENSATION
SECURITY  FUND AS CREATED AND GOVERNED BY ARTICLE SIX-A OF THIS CHAPTER.
SUCH POLICY SHALL ONLY BE ISSUED FOR A SINGLE COMPLETE PREMIUM  PAID  IN
ADVANCE  AND  IN AN AMOUNT DEEMED ACCEPTABLE BY THE CHAIR AND THE SUPER-
INTENDENT OF FINANCIAL  SERVICES.  WHEN  ISSUED  SUCH  POLICY  SHALL  BE
NON-CANCELLABLE WITHOUT RECOURSE FOR ANY CAUSE DURING THE CONTINUANCE OF
THE LIABILITY SECURED AND SO COVERED.
  (4)  Notwithstanding  any  other provision of this article, the waiver
agreement management office may request in writing any information rele-
vant to its entry into or management of waiver agreements from  (A)  any
insurance carrier, employer, or the state insurance fund, if that entity
has submitted a claim for reimbursement from the special disability fund
as  to  the claimant to whom the information relates; or (B) the special
funds conservation committee. The party to  whom  the  request  is  made
shall  provide  the  requested  information  within fourteen days of the
request, unless before that date it files an objection with the board to
any information which is subject to  a  recognized  privilege  or  whose
production is otherwise barred by law. The objecting party shall provide
the  requested  information  within  five  business  days of the board's
rejection of its objection.
  (5) No carrier, self-insured employer  or  the  state  insurance  fund
shall assume the liability for, or management, administration or settle-
ment of any claims under this section on which it holds reserves, beyond

S. 6405                            33                            A. 9005

such  reserves  as  are permitted by regulation of the superintendent of
financial services for purposes of this provision. No carrier may assume
liability for any claims in the special disability fund under this para-
graph  unless  the  carrier  maintains, on a stand alone basis, separate
from its parent or any affiliated  entities,  an  interactive  financial
strength  rating  from a nationally recognized statistical rating organ-
ization that is considered secure or deemed acceptable  by  the  special
disability fund advisory committee.
  (6)  The  director of the budget shall notify in writing the chairs of
the senate finance committee and the assembly ways and  means  committee
of  any  plans  to  transfer all or a portion of the portfolio of claims
determined to be eligible for reimbursement from the special  disability
fund  or  to [contract with any party to take responsibility in whole or
in part for the administration of a  material  portion  of  the  claims,
including  the procurement process to be used to select parties involved
in such transfer or contract]  ENTER  INTO  AN  ASSUMPTION  OF  WORKERS'
COMPENSATION  LIABILITY  INSURANCE POLICY, not less than forty-five days
prior to the commencement of such process.  At  any  time  borrowing  is
anticipated  to settle claims, the chief executive officer of the dormi-
tory authority of the state of New York and the director of  the  budget
shall provide a report to the chairs of the senate finance committee and
the  assembly  ways  and  means  committee on a planned bond sale of the
authority and such report shall include, but not be limited to: (A)  the
maximum  amount  of  bonds  expected  to  be  sold  by  the authority in
connection with a sale agreement; (B) the expected maximum interest rate
and maturity date of such bonds; (C) the expected amount  of  the  bonds
that  will  be  fixed  and/or  variable interest rate; (D) the estimated
costs of issuance; (E) the estimated level or levels of reserve fund  or
funds,  if any; (F) the estimated cost of bond issuance, if any; (G) the
anticipated use or uses of the proceeds; (H) the  maximum  expected  net
proceeds  that  will be paid to the state as a result of the issuance of
such bonds; and (I) the process to be used  to  select  parties  to  the
transaction. Any such expectations and estimates in the report shall not
be  deemed  a  substantive  limitation on the authority of the dormitory
authority of the state of New York.
  S 14. Subdivisions 1 and 8 of section 151 of the workers' compensation
law, as added by section 22 of part GG of chapter  57  of  the  laws  of
2013, are amended to read as follows:
  1.  The  annual  expenses  necessary  for  the board to administer the
provisions of this chapter, the  volunteer  ambulance  workers'  benefit
law,  the  volunteer  firefighters' benefit law, the disability benefits
law, and the workmen's compensation act  for  civil  defense  volunteers
shall  be  borne  by  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
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 AGGREGATE assessment amount
described in subdivision three of section twenty-five-a of this  chapter
for the fund for reopened cases IN ACCORDANCE WITH EACH FINANCING AGREE-
MENT  DESCRIBED IN SUCH SECTION, and (d) the assessment amount described

S. 6405                            34                            A. 9005

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 AGGREGATE amount
described in subparagraph four of paragraph (h) of subdivision eight  of
section  fifteen  of  this chapter PURSUANT TO A SPECIAL DISABILITY FUND
FINANCING AGREEMENT ENTERED INTO BY THE  DORMITORY  AUTHORITY  PRIOR  TO
MARCH  THIRTY-FIRST,  TWO  THOUSAND THIRTEEN PURSUANT TO SECTION SIXTEEN
HUNDRED EIGHTY-L OF THE PUBLIC AUTHORITIES LAW, and then to  fully  fund
the  AGGREGATE amount described in SUBPARAGRAPH FOUR OF PARAGRAPH (H) OF
SUBDIVISION EIGHT OF SECTION FIFTEEN AND IN SUBDIVISION THREE OF SECTION
TWENTY-FIVE-A OF THIS CHAPTER, AND IN section fifty-c of this chapter in
accordance with  each  SUCH  then  applicable  SPECIAL  DISABILITY  FUND
FINANCING AGREEMENT ENTERED INTO BY THE DORMITORY AUTHORITY ON OR SUBSE-
QUENT  TO MARCH THIRTY-FIRST, TWO THOUSAND THIRTEEN, PURSUANT TO SECTION
SIXTEEN HUNDRED EIGHTY-L OF THE PUBLIC AUTHORITIES LAW, WITH  EACH  SUCH
THEN APPLICABLE FUND FOR REOPENED CASES FINANCING AGREEMENT ENTERED INTO
BY  THE DORMITORY AUTHORITY PURSUANT TO SUCH PROVISION OR WITH EACH THEN
APPLICABLE SELF-INSURED  BOND  financing  agreement  [pursuant  to  such
provisions]  ENTERED INTO BY THE DORMITORY AUTHORITY PURSUANT TO SECTION
SIXTEEN HUNDRED EIGHTY-L OF THE PUBLIC  AUTHORITIES  LAW,  RESPECTIVELY,
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.
  8.  The  foregoing and every other [prevision] PROVISION of law to the
contrary notwithstanding, all moneys received on account of the  assess-
ment authorized by this section shall be deposited upon receipt into the
administrative clearing account held by the commissioner of taxation and
finance  and  applied,  as  pledged assessments for purposes of sections
sixteen hundred eighty-l and sixteen  hundred  eighty-q  of  the  public
authorities law and prior to any other application: first, in accordance
with any other provision of any special disability fund financing agree-
ment entered into prior to March thirty-first, two thousand thirteen, to
the  extent  required to fully fund the then current payment and reserve
requirements under such financing agreement WITH RESPECT  TO  THE  BONDS
ISSUED  BY  THE  DORMITORY AUTHORITY PURSUANT TO SECTION SIXTEEN HUNDRED
EIGHTY-L OF THE PUBLIC AUTHORITIES LAW PRIOR TO SUCH DATE;  and  second,
in  accordance  with  each  special  disability fund financing agreement
ENTERED INTO ON OR SUBSEQUENT TO MARCH THIRTY-FIRST, TWO THOUSAND  THIR-
TEEN, EACH FUND FOR REOPENED CASES FINANCING AGREEMENT and each self-in-
sured bond financing agreement, to the extent required to fully fund the
then  current payment and reserve requirements under each such financing
agreement [entered into after March thirty-first, two thousand thirteen]
with respect to bonds issued by  the  dormitory  authority  pursuant  to
either  section  sixteen  hundred  eighty-l  or  section sixteen hundred
eighty-q of the public authorities law, on a pari  passu  basis  without
preference or priority among all such other bonds. Such monies shall not
be  commingled with any other monies in the commissioner's custody prior
to the completion of such application and shall not be deemed to be part
of the state treasury or of any funds under management of the  state  OR
BE  DEEMED  MONEY OF THE STATE OR MONEY UNDER CONTROL OF THE STATE. This
section shall not be deemed  to  authorize  any  infringement  upon  the
rights  of  holders  of  such  bonds  issued  or to be issued under such
sections of the public authorities law. The provisions of  this  section
may  be  included  by  the  dormitory authority in any contract with the

S. 6405                            35                            A. 9005

holders of any such bonds. The operation of this section and the  appli-
cation  of  the  receipts  of  the assessment authorized by this section
shall be subject to the provisions of each financing  agreement  author-
ized pursuant to subparagraph four of paragraph (h) of subdivision eight
of  section  fifteen  [or  to]  OF THIS CHAPTER, section fifty-c of this
chapter, OR SUBDIVISION THREE OF SECTION TWENTY-FIVE-A 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.
  S 15. Subdivision 3 of section 25 of the workers' compensation law  is
amended by adding a new paragraph (g) to read as follows:
  (G) NOTWITHSTANDING ANY OTHER PROVISION IN THIS CHAPTER, THE CHAIR MAY
BY  REGULATION  ELECT TO ESTABLISH A PERFORMANCE STANDARD CONCERNING THE
SUBJECT OF ANY PENALTY OR ASSESSMENT PROVISION APPLICABLE TO  AN  INSUR-
ANCE  CARRIER OR SELF-INSURED EMPLOYER, WHERE SUCH PENALTY OR ASSESSMENT
IS REMITTABLE TO THE NEW YORK STATE  TREASURY,  OR  CHAIR,  BUT  NOT  TO
CLAIMANTS  OR  ANY  OTHER  PAYEE OR FUND, AND IMPOSE A SINGLE PENALTY OR
ASSESSMENT UPON THE FAILURE TO  MEET  THAT  PROMULGATED  STANDARD,  WITH
NOTICE  TO  THE CARRIER OR SELF-INSURED EMPLOYER. THE PENALTY OR ASSESS-
MENT IMPOSED IN THE AGGREGATE SHALL BE PAYABLE TO THE CHAIR. SUCH AGGRE-
GATE PENALTY OR ASSESSMENT IMPOSED IN THE AGGREGATE SHALL BE PAYABLE  TO
THE CHAIR.  SUCH AGGREGATE PENALTY OR ASSESSMENT SHALL BE BASED UPON THE
NUMBER  OF  VIOLATIONS  AS  MULTIPLIED AGAINST THE APPLICABLE PENALTY OR
ASSESSMENT, BUT MAY BE NEGOTIATED BY THE CHAIR'S DESIGNEE IN FULL SATIS-
FACTION OF THE PENALTY OR ASSESSMENT.  A  FINAL  AGREEMENT  BETWEEN  THE
CHAIR'S DESIGNEE AND THE CARRIER OR SELF-INSURED EMPLOYER MAY BE SUBMIT-
TED  AND APPROVED SUBJECT TO SECTION THIRTY-TWO OF THIS ARTICLE, WITHOUT
NOTICE TO ANY CLAIMANT. ANY AGGREGATE PENALTY OR  ASSESSMENT  ISSUED  IN
THIS  SECTION  SHALL  BE  ISSUED ADMINISTRATIVELY, AND THE CHAIR MAY, BY
REGULATION, SPECIFY THE METHOD OF REVIEW  OR  REDETERMINATION,  AND  THE
PRESENTMENT  OF  EVIDENCE  AND  OBJECTIONS  SHALL  OCCUR SOLELY UPON THE
DOCUMENTATION. THE CARRIER OR SELF-INSURED EMPLOYER SHALL RECEIVE CREDIT
FOR ANY INSTANCES IN WHICH THE AGGREGATE PENALTY OR ASSESSMENT IS INCLU-
SIVE OF A PENALTY OR ASSESSMENT PREVIOUSLY ISSUED AND PAID IN  AN  INDI-
VIDUAL  CLAIM  OR PROCEEDING. A FINAL DETERMINATION IS SUBJECT TO REVIEW
UNDER SECTION TWENTY-THREE OF THIS  ARTICLE,  EXCEPT  THAT  NO  STAY  IN
PAYMENT  OF THE PENALTY OR ASSESSMENT SHALL APPLY PENDING THE OUTCOME OF
THE APPLICATION FOR ADMINISTRATIVE REVIEW. FAILURE TO  PAY  THE  FINALLY
DETERMINED  PENALTY  OR  ASSESSMENT, OR THE PENALTY OR ASSESSMENT AGREED
UPON PURSUANT TO SECTION THIRTY-TWO OF THIS ARTICLE, WITHIN TEN DAYS  OF
FILING,  SHALL  RESULT  IN  THE  IMPOSITION OF A TWENTY PERCENT PENALTY,
PAYABLE TO THE CHAIR. IN  THE  EVENT  OF  THE  CARRIER  OR  SELF-INSURED
EMPLOYER  INSTITUTING OR CONTINUING AN ISSUE WITHOUT REASONABLE GROUNDS,
THE PROVISIONS OF SUBDIVISION THREE OF SECTION ONE HUNDRED FOURTEEN-A OF
THIS CHAPTER SHALL BE APPLICABLE.
  S 16.  Subparagraph (c) of paragraph 7 of subdivision 3-a  of  section
50  of  the workers' compensation law, as amended by section 4 of part R
of chapter 56 of the laws of 2010, is amended to read as follows:
  (c) Upon the assumption of the assets and liabilities of a group self-
insurer by the chair or his or her designee pursuant  to  regulation  of
the chair, all records, documents and files of whatever nature, pertain-
ing to the group self-insurer, INCLUDING BUT NOT LIMITED TO ANY PROCURE-
MENT  RECORDS OF THE GROUP SELF-INSURER WITH RESPECT TO AN ASSUMPTION OF
WORKERS'  COMPENSATION  LIABILITY  INSURANCE  POLICY,  be  they  in  the
possession of the group self-insurer or a third party, and all remaining
assets  of  the  group  self-insurer,  shall  become the property of the

S. 6405                            36                            A. 9005

chair. All custodians of such records and/or funds shall  turn  over  to
the chair or his designee all such original records upon demand.
  S 17. Subdivision 3 of section 50 of the workers' compensation law, as
amended by section 3 of part G of chapter 57 of the laws of 2011 and the
closing paragraph as further amended by section 104 of part A of chapter
62 of the laws of 2011, is amended to read as follows:
  3.  By  furnishing  satisfactory  proof  to the chair of his financial
ability to pay such compensation for himself, [or to  pay  such  compen-
sation  on behalf of a group of employers in accordance with subdivision
ten of this section, in which case the chair shall require the] IN WHICH
CASE ALL ELIGIBLE INDIVIDUAL SELF-INSURED EMPLOYERS  SHALL  COLLECTIVELY
SECURE  THEIR  LIABILITY  FOR THE PAYMENT OF WORKERS' COMPENSATION OBLI-
GATIONS THROUGH PARTICIPATION  IN  THE  POOLED  INDIVIDUAL  SELF-INSURED
EMPLOYER  FUND. NOTWITHSTANDING ANY OTHER PROVISION OF THIS SECTION, THE
CHAIR SHALL, BY REGULATION, SET  MINIMUM  CREDIT,  FINANCIAL,  OR  OTHER
CONDITIONS  THAT  AN INDIVIDUAL SELF-INSURED EMPLOYER MUST MEET IN ORDER
TO PARTICIPATE IN THE POOLED SECURITY SYSTEM. IN THE EVENT ANY  EXISTING
INDIVIDUAL SELF-INSURED EMPLOYER IS UNABLE TO MEET THE CONDITIONS SET BY
THE  CHAIR,  THE  EXISTING  INDIVIDUAL  SELF-INSURED  EMPLOYER  SHALL BE
EXCLUDED  FROM  PARTICIPATION  IN  THE  POOLED  INDIVIDUAL  SELF-INSURED
EMPLOYER  FUND  AND  THE EXISTING INDIVIDUAL SELF-INSURED EMPLOYER SHALL
POST A SEPARATE SECURITY DEPOSIT IN THE MANNER PROVIDED BY PARAGRAPH (H)
OF THIS SUBDIVISION. THE CHAIR SHALL  PROMULGATE  REGULATIONS  REQUIRING
THE  CHAIR  TO  SET AN AGGREGATE SECURITY REQUIREMENT FOR ALL INDIVIDUAL
SELF-INSURED EMPLOYERS PARTICIPATING IN THE POOLED  INDIVIDUAL  SELF-IN-
SURED  EMPLOYER  FUND  BASED ON A REVIEW OF ALL PARTICIPATING INDIVIDUAL
SELF-INSURED EMPLOYERS ANNUAL REPORTS AND ANY OTHER INFORMATION  AS  MAY
BE  SPECIFIED  BY THE CHAIR. THE CHAIR SHALL PROCURE AND MAINTAIN IN THE
POOLED INDIVIDUAL SELF-INSURED EMPLOYER FUND A COMBINATION OF  CASH  AND
INVESTMENT  SECURITIES  SATISFACTORY  TO  PROVIDE  ADEQUATE  SECURITY TO
SECURE THE PAYMENT OF THE AGGREGATE WORKERS' COMPENSATION OBLIGATIONS OF
ALL INDIVIDUAL SELF-INSURED EMPLOYERS PARTICIPATING IN THE FUND AS  WELL
AS ANY AMOUNTS AS MAY BE REASONABLY NECESSARY TO PAY FOR THE ADMINISTRA-
TIVE AND OTHER ACTIVITIES OF THE FUND. THIS AMOUNT SHALL BE KNOWN AS THE
AGGREGATE POOLED SECURITY AMOUNT. EACH PARTICIPATING INDIVIDUAL SELF-IN-
SURED  EMPLOYER  SHALL  PAY THE INITIAL ENTRY FEE REQUIRED HEREIN DURING
THEIR FIRST YEAR OF PARTICIPATION IN THE  FUND.  THIS  AMOUNT  SHALL  BE
KNOWN AS THE POOL DEPOSIT FEE. THEREAFTER, ON AN ANNUAL BASIS, THE CHAIR
SHALL  EVALUATE  THE  CONDITION  AND SUFFICIENCY OF THE AGGREGATE POOLED
SECURITY AMOUNT. WHERE NECESSARY, THE CHAIR SHALL REQUIRE  EACH  PARTIC-
IPATING  INDIVIDUAL SELF-INSURED EMPLOYER TO PAY A PARTICIPATION FEE, ON
A PRO RATA BASIS, SUFFICIENT TO BRING THE POOLED INDIVIDUAL SELF-INSURED
EMPLOYER FUND UP TO THE AGGREGATE POOLED SECURITY  AMOUNT.  THIS  AMOUNT
SHALL BE KNOWN AS THE POOL PARTICIPATION FEE. A PARTICIPATING INDIVIDUAL
SELF-INSURED EMPLOYER'S OBLIGATION TO PAY EITHER THE POOL DEPOSIT FEE OR
SUBSEQUENT  POOL  PARTICIPATION  FEES  SHALL CONTINUE, REGARDLESS OF THE
INDIVIDUAL SELF-INSURED EMPLOYER'S CESSATION  OF  PARTICIPATION  IN  THE
POOLED  INDIVIDUAL SELF-INSURED EMPLOYER FUND, FOR SO LONG AS THE FORMER
SELF-INSURED EMPLOYER SHALL CONTINUE TO HAVE WORKERS' COMPENSATION OBLI-
GATIONS ATTRIBUTABLE TO ITS PERIOD OF PARTICIPATION IN THE POOLED  INDI-
VIDUAL SELF-INSURED EMPLOYER FUND.
  (A) IN ORDER TO PROVIDE FOR THE AGGREGATE POOLED SECURITY AMOUNT, EACH
PARTICIPATING  INDIVIDUAL  SELF-INSURED  EMPLOYER SHALL PAY TO THE CHAIR
ITS POOL DEPOSIT FEE AND ANY ANNUAL POOL PARTICIPATION FEE WITHIN THIRTY
DAYS OF DEMAND BY THE CHAIR. THE AMOUNT OF THE POOL DEPOSIT FEE AND POOL
PARTICIPATION FEE PAID BY  EACH  PARTICIPATING  INDIVIDUAL  SELF-INSURED

S. 6405                            37                            A. 9005

EMPLOYER  SHALL  BE  SET  BY  THE  CHAIR, BASED ON HIS OR HER REASONABLE
CONSIDERATION, OF ALL THE FOLLOWING FACTORS:
  (I)  THE  TOTAL  AMOUNT  NEEDED TO PROVIDE THE POOLED SECURITY DEPOSIT
AMOUNT;
  (II) THE INDIVIDUAL SELF-INSURED EMPLOYER'S PAID OR  INCURRED  LIABIL-
ITIES AS REFLECTED IN ITS ANNUAL REPORT;
  (III)  THE  FINANCIAL  STRENGTH AND CREDITWORTHINESS OF THE INDIVIDUAL
SELF-INSURED EMPLOYER;
  (IV) ANY OTHER REASONABLE FACTORS AS MAY BE AUTHORIZED BY REGULATION.
  (B) WITHIN THIRTY (30) BUSINESS DAYS OF THE  PARTICIPATING  INDIVIDUAL
SELF-INSURED  EMPLOYER  PAYING  ITS  POOL  DEPOSIT  FEE, THE CHAIR SHALL
RELEASE THE SECURITY DEPOSIT POSTED BY  THE  SELF-INSURED  EMPLOYER  AND
HELD  BY  THE  CHAIR  PURSUANT  TO  PARAGRAPH  (H) OF THIS SECTION. UPON
PAYMENT OF THE POOL DEPOSIT FEE AND ANY  SUBSEQUENT  POOL  PARTICIPATION
FEES, AND EXCEPT AS PROVIDED HEREIN, THE INDIVIDUAL SELF-INSURED EMPLOY-
ER LOSES ALL RIGHT, TITLE, AND INTEREST IN THE POOL DEPOSIT FEE AND POOL
PARTICIPATION  FEE.  TO THE EXTENT THAT IN ANY ONE YEAR THE POOL DEPOSIT
FEE OR POOL PARTICIPATION  FEE  PAID  BY  ALL  PARTICIPATING  INDIVIDUAL
SELF-INSURERS  IS NOT EXHAUSTED IN THE PURCHASE OF INVESTMENT SECURITIES
OBTAINED BY THE CHAIR AS PART OF THE AGGREGATE POOLED  SECURITY  AMOUNT,
THE  SURPLUS  SHALL REMAIN WITH THE CHAIR AND THE PRINCIPAL AND INTEREST
EARNED ON THAT SURPLUS SHALL BE USED TO REDUCE ANY FUTURE POOL  FEES  IN
SUBSEQUENT YEARS.
  (C)  IF  ANY PARTICIPATING INDIVIDUAL SELF-INSURED EMPLOYER OBJECTS TO
THE CALCULATION, POSTING, OR ANY OTHER ASPECT OF  ITS  POOL  FEES,  UPON
PAYMENT  OF  THE  POOL FEE IN THE TIME PROVIDED, THE EMPLOYER SHALL HAVE
THE RIGHT TO APPEAL THE POOL FEE TO THE CHAIR, WHO SHALL HAVE  EXCLUSIVE
JURISDICTION OVER THIS DISPUTE. IF ANY PARTICIPATING INDIVIDUAL SELF-IN-
SURED  EMPLOYER FAILS TO PAY EITHER ITS POOL DEPOSIT FEE OR POOL PARTIC-
IPATION FEE IN THE TIME PROVIDED, THE EMPLOYER  SHALL:  (I)  BE  REMOVED
FROM  THE  POOLED  INDIVIDUAL SELF-INSURED EMPLOYER FUND; AND (II) PAY A
PENALTY OF NOT LESS THAN TEN (10) PERCENT  NOR  MORE  THAN  THIRTY  (30)
PERCENT  OF  ITS  POOL  FEE.  THE  PENALTY SHALL BE PAID DIRECTLY TO THE
POOLED INDIVIDUAL SELF-INSURED EMPLOYER FUND.  IN  THE  EVENT  THAT  THE
SELF-INSURED EMPLOYER FAILS OR NEGLECTS TO PAY THE PENALTY WITHIN THIRTY
DAYS,  THE EMPLOYER SHALL BE DEEMED IN DEFAULT IN THE PAYMENT OF COMPEN-
SATION TO ITS EMPLOYEES AND THE CHAIR MAY FILE A  JUDGMENT  AGAINST  THE
SELF-INSURED  EMPLOYER, PURSUANT TO THE PROVISIONS OF SECTION TWENTY-SIX
OF THIS CHAPTER, IN THE AMOUNT OF THE UNPAID PENALTY. THE CHAIR MAY ALSO
REVOKE THE AUTHORIZATION TO SELF-INSURE OF ANY  INDIVIDUAL  SELF-INSURED
EMPLOYER  WHO FAILS TO PAY A POOL FEE IN THE TIME PROVIDED IN WHICH CASE
THE EMPLOYER MUST INSURE THE PAYMENT OF SUCH COMPENSATION IN  THE  STATE
FUND  OR  WITH  ANY  STOCK CORPORATION, MUTUAL CORPORATION OR RECIPROCAL
INSURER AUTHORIZED TO TRANSACT THE  BUSINESS  OF  WORKERS'  COMPENSATION
INSURANCE  IN  THIS  STATE THROUGH A POLICY ISSUED UNDER THE LAW OF THIS
STATE WITHIN THIRTY DAYS.
  (D) UPON THE CHAIR'S POSTING OF THE AGGREGATE POOLED  SECURITY  AMOUNT
IN THE POOLED INDIVIDUAL SELF-INSURED EMPLOYER FUND, SAID SECURITY SHALL
BE  HELD  UNTIL  THE  CHAIR  DETERMINES  THAT A PARTICIPATING INDIVIDUAL
SELF-INSURED EMPLOYER HAS FAILED  OR  NEGLECTED  TO  MEET  ITS  WORKERS'
COMPENSATION  OBLIGATIONS  AS  REQUIRED  BY  THIS CHAPTER, AND THE CHAIR
ORDERS THE POOLED INDIVIDUAL  SELF-INSURED  EMPLOYER  FUND  TO  COMMENCE
PAYMENT  OF  SUCH  UNMET  SELF-INSURANCE  OBLIGATIONS. UPON ORDERING THE
POOLED INDIVIDUAL SELF-INSURED EMPLOYER FUND TO  COMMENCE  PAYMENT,  THE
CHAIR  SHALL  UTILIZE  THE AGGREGATE POOLED SECURITY AMOUNT NECESSARY TO
MEET THE WORKERS' COMPENSATION OBLIGATIONS OF THE DEFAULTING PARTICIPAT-

S. 6405                            38                            A. 9005

ING INDIVIDUAL SELF-INSURED EMPLOYER. IN THE EVENT ADDITIONAL FUNDS  ARE
NEEDED  IN FUTURE YEARS TO MEET THE WORKERS' COMPENSATION OBLIGATIONS OF
ANY FORMER PARTICIPATING INDIVIDUAL SELF-INSURED EMPLOYER, WHO THEREAFT-
ER  DEFAULTS  WITH RESPECT TO ITS OBLIGATIONS INCURRED DURING ITS PERIOD
OF PARTICIPATION IN THE POOLED INDIVIDUAL  SELF-INSURED  EMPLOYER  FUND,
THE  CHAIR  SHALL  MAKE  AVAILABLE TO THE POOLED INDIVIDUAL SELF-INSURED
EMPLOYER FUND ANY PORTIONS OF THE AGGREGATE POOLED  SECURITY  AMOUNT  AS
MAY  BE NEEDED TO PAY THOSE BENEFITS. IN THE DISCRETION OF THE CHAIR, IN
THE EVENT THAT THE OBLIGATIONS ASSOCIATED WITH THE  DEFAULT  OF  PARTIC-
IPATING  INDIVIDUAL SELF-INSURED EMPLOYERS ARE SUCH THAT THEY JEOPARDIZE
THE SOLVENCY OF THE POOLED INDIVIDUAL SELF-INSURED  EMPLOYER  FUND,  THE
CHAIR  MAY ISSUE BONDS, CONSISTENT WITH SECTION SIXTEEN HUNDRED EIGHTY-Q
OF THE PUBLIC  AUTHORITIES  LAW,  TO  MEET  SUCH  UNMET  OBLIGATIONS  OF
SELF-INSURED EMPLOYERS.
  (E)  THE CASH PORTION OF THE AGGREGATE POOLED SECURITY AMOUNT SHALL BE
SEGREGATED FROM ALL OTHER FUNDS HELD BY THE CHAIR, AND SHALL BE INVESTED
BY THE CHAIR FOR THE SOLE BENEFIT OF THE POOLED INDIVIDUAL  SELF-INSURED
EMPLOYER  FUND,  AND MAY NOT BE USED FOR ANY OTHER PURPOSE BY THE STATE.
THE COMMISSIONER OF TAX AND FINANCE SHALL BE THE CUSTODIAN OF THE POOLED
INDIVIDUAL SELF-INSURED EMPLOYER FUND.
  (F) THE CHAIR SHALL IMPLEMENT THE PROVISIONS OF  THIS  SUBDIVISION  BY
PROMULGATING  RULES  AND  REGULATIONS  BUT  NO SUCH RULES OR REGULATIONS
SHALL BE NECESSARY FOR ANY PROVISION OF THIS SUBDIVISION  TO  BE  EFFEC-
TIVE.
  (G) FOR THOSE INDIVIDUAL EMPLOYERS SELF-INSURING PURSUANT TO PARAGRAPH
(H)  OF THIS SUBDIVISION, SAID EMPLOYERS SHALL ALSO PAY AN ANNUAL FEE TO
THE CHAIR FOR DEPOSIT INTO THE POOLED  INDIVIDUAL  SELF-INSURANCE  FUND.
THE  CHAIR  SHALL  CALCULATE  THIS ANNUAL FEE IN THE SAME MANNER AS POOL
FEES SET FORTH ABOVE.
  (H) FOR THOSE EMPLOYERS WHO SELF-INSURED INDIVIDUALLY AS OF THE EFFEC-
TIVE DATE OF THE POOLED INDIVIDUAL SELF-INSURED EMPLOYER FUND BUT  WHICH
DO  NOT MEET THE QUALIFICATIONS FOR PARTICIPATION THEREIN, SUCH INDIVID-
UAL SELF-INSURED EMPLOYER SHALL deposit with the chair of  such  securi-
ties  as the chair may deem necessary of the kind prescribed in subdivi-
sions one, two, three, four and five, and subparagraph (a) of  paragraph
three  of  subdivision  seven  of section two hundred thirty-five of the
banking law, or the deposit  of  cash,  or  the  filing  of  irrevocable
letters  of  credit issued by a qualified banking institution as defined
by rules promulgated by the chair or the filing of a bond  of  a  surety
company  authorized  to transact business in this state, in an amount to
be determined by the chair, or the posting and filing as aforesaid of  a
combination  of such securities, cash, irrevocable letters of credit and
surety bond in an amount to be determined by the chair,  to  secure  his
liability  to  pay  the  compensation provided in this chapter. Any such
surety bond must be approved as to form by the chair. If an employer [or
group of employers] posts and files a combination of  securities,  cash,
irrevocable  letters  of  credit and surety bond as aforesaid, and if it
becomes necessary to use the same to pay the  compensation  provided  in
this chapter, the chair shall first use such securities or cash or irre-
vocable  letters  of  credit  and, when the full amount thereof has been
exhausted, he shall then require the surety  to  pay  forthwith  to  the
chair all or any part of the penal sum of the bond for that purpose. The
chair  may  also  require  an  agreement on the part of the employer [or
group of employers] to pay any awards commuted under section twenty-sev-
en of this chapter, into the special fund of the state fund, as a condi-
tion of his being allowed to remain [uninsured] SELF-INSURED pursuant to

S. 6405                            39                            A. 9005

this section. The chair shall have the authority to deny the application
of an employer [or group of employers]  to  pay  such  compensation  for
himself  or  to  revoke his consent furnished, under this section at any
time,  for  good  cause shown. [The] AN INDIVIDUAL employer [or group of
employers] qualifying under this subdivision shall be known  as  [a]  AN
INDIVIDUAL self-insurer.
  If  for  any  reason the status of an employer [or group of employers]
under this subdivision is terminated, the securities or the surety bond,
or the securities, cash, or irrevocable letters  of  credit  and  surety
bond,  on  deposit referred to herein shall remain in the custody of the
chair for such time as the chair may deem proper and warranted under the
circumstances. In lieu thereof, and at the discretion of the chair,  the
employer, his or her heirs or assigns or others carrying on or liquidat-
ing  such  business,  may execute an assumption of workers' compensation
liability insurance policy securing such further and  future  contingent
liability as may arise from prior injuries to workers and be incurred by
reason  of  any change in condition of such workers warranting the board
making subsequent awards for payment of  additional  compensation.  Such
policy  shall  be  in a form approved by the superintendent of financial
services and issued by the state fund or any insurance company  licensed
to  issue  this class of insurance in this state. In the event that such
policy is issued by an insurance company other than the state fund, then
said policy shall be deemed of the kind specified in  paragraph  fifteen
of  subsection  (a)  of section one thousand one hundred thirteen of the
insurance law and covered by the workers' compensation security fund  as
created  and governed by article six-A of this chapter. It shall only be
issued for a single complete premium payment in advance by the  employer
[or  group of employers] and in an amount deemed acceptable by the chair
and the superintendent of financial services.  In lieu of the applicable
premium charge ordinarily required to be  imposed  by  a  carrier,  said
premium  shall  include a surcharge in an amount to be determined by the
chair to: (i) satisfy all assessment liability  due  and  owing  to  the
board  and/or  the chair under this chapter; and (ii) satisfy all future
assessment liability under this section[, and which surcharge  shall  be
adjusted  from  time to time to reflect any changes to the assessment of
group self-insured employers, including any changes enacted by the chap-
ter of the laws of two thousand eleven amending sections fifteen and one
hundred fifty-one of this chapter]. Said surcharge shall be  payable  to
the  board  simultaneous  to the execution of the assumption of workers'
compensation liability insurance policy. However, the  payment  of  said
surcharge does not relieve the carrier from any other liability, includ-
ing  liability owed to the superintendent of financial services pursuant
to article six-A of this chapter. When issued such policy shall be  non-
cancellable without recourse for any cause during the continuance of the
liability secured and so covered.
  (I) THERE IS ESTABLISHED AN ADVISORY COMMITTEE FOR THE POOLED EMPLOYER
FUND WHOSE MEMBERSHIP SHALL CONSIST OF THE CHAIR OR HIS OR HER DESIGNEE,
FOUR  REPRESENTATIVES  OF  INDIVIDUAL SELF-INSURERS NOMINATED BY THE NEW
YORK STATE SELF-INSURANCE ASSOCIATION AND APPROVED  BY  THE  CHAIR,  AND
FOUR  MEMBERS TO BE APPOINTED BY THE GOVERNOR AS FOLLOWS: ONE UPON NOMI-
NATION OF THE SPEAKER OF THE ASSEMBLY, ONE UPON NOMINATION OF THE PRESI-
DENT OF THE SENATE, AND TWO  OTHERS  WITHOUT  LIMITATION.  THE  ADVISORY
COMMITTEE  SHALL  MEET  NO LESS THAN ANNUALLY AND SHALL PREPARE A REPORT
AVAILABLE TO THE PUBLIC FOR INSPECTION ON OR BEFORE FEBRUARY  FIRST,  OF
EACH YEAR MAKING RECOMMENDATIONS CONCERNING:
  (I) THE STANDARDS FOR PARTICIPATION IN THE POOL;

S. 6405                            40                            A. 9005

  (II) THE ADEQUACY OF THE FUNDING OF THE POOL;
  (III) PAYMENT OF CLAIMS INSURED BY DEFAULTED POOL PARTICIPANTS;
  (IV) THE LONG TERM VIABILITY OF THE POOL; AND
  (V)  SUCH  OTHER  TOPICS RELATED TO THE POOL AS THE ADVISORY COMMITTEE
MAY DEEM NECESSARY.
  S 18. Paragraphs c, f, and g of subdivision 5 of  section  50  of  the
workers'  compensation  law,  as  amended  by chapter 139 of the laws of
2008, are amended to read as follows:
  c. (1) The chair and the department of audit and control  as  soon  as
practicable after May first, nineteen hundred sixty, and annually there-
after, as soon as practicable after April first in each succeeding year,
shall ascertain the total amount of net expenses, including (a) adminis-
trative  expenses,  which  shall  include  the  direct costs of personal
services, 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, and (b) all direct or indirect costs
incurred by the board during the preceding fiscal year in  carrying  out
the  provisions  of subdivision three and three-a of this section EXCEPT
THOSE  EXPENSES  ASSOCIATED  WITH  THE  POOLED  INDIVIDUAL  SELF-INSURED
EMPLOYERS  FUND.    Such expenses shall be adjusted quarterly to reflect
any change in circumstances, and shall be assessed against  all  private
self-insured employers, including for this purpose active and terminated
group self-insurers, active individual self-insured employers, and indi-
vidual  self-insured employers who have ceased to exercise the privilege
of self-insurance  INCLUDING  THOSE  INDIVIDUAL  SELF-INSURED  EMPLOYERS
PARTICIPATING IN THE POOLED INDIVIDUAL SELF-INSURED EMPLOYERS FUND.
  (2)  Such expenses shall be assessed against all self-insurers includ-
ing for this purpose employers who have ceased to exercise the privilege
of self-insurance. The basis of apportionment of the assessment  against
each  self-insurer shall be a sum equal to that proportion of the amount
which the indemnity payment for each  self-insurer  bore  to  the  total
indemnity  payments  for  all  self-insurers for the calendar year which
ended within the preceding state fiscal year. All such assessments  when
collected  shall  be  deposited into a fund which shall be used to reim-
burse the appropriations theretofore made by the state for  the  payment
of the expenses of administering this chapter.
  [(3)  Pure  premium  for  assessments made prior to January first, two
thousand nine against individual and group self-insurers who  ceased  to
self-insure  shall  be  based  on  payroll at the time the individual or
group self-insurer has  ceased  to  self-insure,  reduced  by  a  factor
reflecting the reduction in the group or individual self-insurer's self-
insurance liabilities since ceasing to self-insure.]
  f.  Whenever the chair shall determine that the compensation and bene-
fits provided by this chapter may be unpaid by reason of the default  of
an  insolvent  private  self-insured employer, including a private group
self-insurer, EXCEPT AN INDIVIDUAL SELF-INSURED  EMPLOYER  PARTICIPATING
IN  THE  POOLED  INDIVIDUAL SELF-INSURED EMPLOYERS FUND, the chair shall
pay such compensation  and  benefits  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. Such
payments shall be considered expenses of administration. The chair shall
be reimbursed therefor from the surety bond, cash or securities held or,
if such surety bond, securities or cash is insufficient, by the  employ-
er,  its  receiver,  liquidator, rehabilitator or trustee in bankruptcy.
All moneys reimbursed to the chair or  recovered  by  the  chair  in  an

S. 6405                            41                            A. 9005

action  or  proceeding  to  secure such reimbursement shall forthwith be
applied as a credit against the expenses on which the assessment  levied
upon all private self-insured employers, in accordance with paragraphs c
and e of this subdivision, is calculated.
  g.  Whenever the chair shall determine that the compensation and bene-
fits provided by this chapter may be unpaid by reason of the default  of
an  insolvent  private  self-insured employer, including a private group
self-insurer, EXCEPT AN INDIVIDUAL SELF-INSURED  EMPLOYER  PARTICIPATING
IN  THE  POOLED  INDIVIDUAL SELF-INSURED EMPLOYERS FUND, the chair shall
levy an assessment against all private self-insured employers, including
private group self-insurers, in accordance with paragraphs c  and  e  of
this subdivision to assure prompt payment of such compensation and bene-
fits.  Whenever  compensation  and benefits are unpaid by reason of such
default, the chair shall promptly pay  such  compensation  and  benefits
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. Nothing in this paragraph shall preclude
the  chair from recovering the moneys it expends from its administrative
expenses against the defaulted individual self-insurer, or  the  members
of  the  defaulted  group  self-insurer,  as otherwise permitted by this
chapter.
  S 19. Section 134 of the  workers'  compensation  law  is  amended  by
adding a new subdivision 5 to read as follows:
  5.  IN  ACCORDANCE  WITH  RULES  ADOPTED BY THE DEPARTMENT OF LABOR IN
CONSULTATION WITH THE DEPARTMENT OF FINANCIAL SERVICES AND THE  WORKERS'
COMPENSATION  BOARD  AND  UPON  RECEIPT  OF THE WRITTEN NOTIFICATION SET
FORTH IN SUBDIVISION TWO OF THIS SECTION, THE EMPLOYER'S NAME AND  OTHER
RELEVANT INFORMATION SHALL BE ADDED TO A PUBLISHED LIST OF ALL EMPLOYERS
WHOSE  MOST RECENT ANNUAL PAYROLL IS IN EXCESS OF EIGHT HUNDRED THOUSAND
DOLLARS AND WHOSE MOST RECENT EXPERIENCE RATING  EXCEEDS  THE  LEVEL  OF
1.2.  NO EMPLOYER SHALL BE REMOVED FROM SUCH LIST UNTIL SUCH TIME AS THE
EMPLOYER SUBMITS  TO  THE  DEPARTMENT  OF  LABOR  THE  CERTIFICATION  OF
COMPLETION   OF   THE  WORKPLACE  SAFETY  AND  LOSS  PREVENTION  PROGRAM
PRESCRIBED HEREIN. INSURERS THAT ISSUE  WORKERS'  COMPENSATION  COVERAGE
SHALL CONSULT SUCH LIST PRIOR TO ISSUING A POLICY AND SHALL, IF APPLICA-
BLE,  IMPOSE  THE  SURCHARGE  OF  THE  EMPLOYER'S MANUAL RATE PREMIUM IN
ACCORDANCE WITH SUBDIVISION THREE OF THIS SECTION MEASURED FROM THE DATE
OF WRITTEN NOTIFICATION IN SUBDIVISION TWO OF THIS SECTION.
  S 20. Section 140 of the workers'  compensation  law,  as  amended  by
chapter 57 of the laws of 1951, is amended to read as follows:
  S  140. [Workmen's] WORKERS' compensation board. The [workmen's] WORK-
ERS' compensation board in the department of labor is hereby  continued.
Such  board  shall  consist of [thirteen] SEVEN members, at least [four]
THREE of whom shall be attorneys and counsellors-at-law duly admitted to
practice in this state. The members of the board shall be  appointed  by
the  governor,  by  and  with  the advice and consent of the senate. The
members of the board in office, together with the additional members and
the members appointed to fill  vacancies,  if  any,  at  the  time  this
section takes effect, shall continue, notwithstanding the appointment of
any  of  the  members  for  a term expiring on a different date, to hold
office for terms to be assigned by the governor by and with  the  advice
and  consent  of the senate[; two such terms to expire on December thir-
ty-first, nineteen hundred fifty; two  to  expire  on  December  thirty-
first,  nineteen  hundred  fifty-one;  two to expire on December thirty-
first,  nineteen  hundred  fifty-two;  two   to   expire   on   December
thirty-first,  nineteen  hundred  fifty-three; two to expire on December

S. 6405                            42                            A. 9005

thirty-first, nineteen hundred fifty-four; two  to  expire  on  December
thirty-first, nineteen hundred fifty-five; and one to expire on December
thirty-first, nineteen hundred fifty-six. The]. UPON THE EXPIRATION OF A
SEVEN  YEAR  TERM,  THE members next appointed, except to fill a vacancy
created otherwise than by expiration of term,  shall  be  appointed  for
terms of seven years. The governor shall designate one of the members of
the board as chairman and another as vice-chairman.
  S  21. Section 142 of the workers' compensation law, as added by chap-
ter 74 of the laws of 1945, subdivision 2 as amended by chapter  608  of
the  laws  of 1989, the opening paragraph of subdivision 2 as amended by
section 12 of part GG of chapter 57 of the laws of 2013,  section  5  as
amended  by  chapter  924 of the laws of 1990, subdivision 6 as added by
chapter 635 of the laws of 1996 and subdivision 7 as  added  by  chapter
452 of the laws of 2005, is amended to read as follows:
  S  142.  General powers and duties of the [workmen's] WORKERS' compen-
sation board. 1.  The [workmen's] WORKERS' compensation board shall have
power to hear and determine all claims for compensation or  benefits  or
relating  to special funds created under the provisions of this chapter,
in the manner provided by this chapter; to require medical  service  for
injured employees as provided by this chapter; to approve and fix attor-
ney's fees and claims for medical service to the extent provided in this
chapter;  to  excuse failure to give notice either of injury or death of
an employee, to approve agreements, to modify or rescind awards, to make
conclusions of fact and rulings of law,  to  certify  questions  to  the
appellate  division  of  the  supreme court, to enter orders in appealed
cases, to determine the time for the payment of compensation,  to  order
the  reimbursement  of  employers for amounts advanced, to assess penal-
ties, to commute awards, to compromise actions  for  the  collection  of
awards,  to  require or permit employers to deposit the present value of
awards in the aggregate trust fund of the state fund,  to  determine  by
rule  the assignment of a minor's right to sue a third party, to require
guardianship for minor dependents, to hear and  determine  claims  under
the  occupational  disease  act, to order physical examinations, to take
testimony by depositions; and to have and exercise all other powers  and
duties,   exclusive   of  purely  administrative  functions,  originally
conferred or imposed upon the [workmen's] WORKERS' compensation  commis-
sion  by  this  chapter,  or  by  any  other statute, and by chapter six
hundred and  seventy-four  of  the  laws  of  nineteen  hundred  fifteen
conferred  and  imposed  upon  the industrial commission, and by chapter
fifty of the laws of nineteen hundred twenty-one conferred  and  imposed
upon the industrial board. For the purpose of exercising such powers and
performing  such  duties,  the  [workmen's]  WORKERS' compensation board
shall be deemed to be a continuation of the  industrial  board  provided
for  by  the provisions of the labor law; and all proceedings under this
chapter pending before such board are hereby transferred to  the  [work-
men's]  WORKERS'  compensation  board without prejudice to the rights of
any party to such proceeding.
  The [workmen's] WORKERS' compensation board, subject to the provisions
of this chapter and of the  provisions  of  the  labor  law  as  to  the
distribution  of  functions,  shall  succeed  to all the rights, powers,
duties and obligations  of  the  department  of  labor,  the  industrial
commissioner  and  the  industrial  board,  in  so far as they relate to
[workmen's] WORKERS' compensation,  as  heretofore  constituted,  except
such  as  are  vested  in  the chairman of the board by this article and
except with respect to article six of this chapter.

S. 6405                            43                            A. 9005

  Whenever the term "industrial board" or the "chairman" or "vice-chair-
man" thereof appears in this chapter or in the provisions of  the  labor
law  after  the time this article takes effect, it shall be construed to
mean the [workmen's] WORKERS' compensation board or the chairman  there-
of,  as created by the provisions of this chapter, as may be required by
the context unless the contrary shall be indicated.
  2. [Any] EXCEPT AS SET FORTH IN SUBDIVISION THREE OF THIS SECTION, ANY
review, hearing, rehearing, inquiry or investigation required or author-
ized 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  determination  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 appli-
cation 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 pend-
ing 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 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 peri-
od or periods for the continuance thereof.
  3.  THE  CHAIR  OF  THE  BOARD, OR CHAIR'S DESIGNEE, MAY DESIGNATE ANY
BOARD EMPLOYEE WHO IS LICENSED TO PRACTICE LAW IN THE STATE OF NEW  YORK
OR  A SINGLE BOARD MEMBER TO CONDUCT AN APPELLATE REHEARING OR REVIEW OF
ANY ORDER, DECISION OR DETERMINATION WHICH RESOLVES  ANY  ISSUES,  OTHER
THAN  THE  DETERMINATION  OF  COMPENSABILITY IN A CONTROVERTED CLAIM AND
REVERSE, MODIFY OR AFFIRM SUCH ORDER, DECISION OR DETERMINATION. IN  THE
ABSENCE  OF  A  DESIGNATION,  AND  IN  THE  CASE  OF  THE DETERMINATIONS
MENTIONED ABOVE, THE REHEARING OR REVIEW SHALL BE CONDUCTED BY A  THREE-
MEMBER  PANEL  OF BOARD MEMBERS. DISCRETION AS TO DESIGNATIONS IS SOLELY
WITH THE CHAIR OR THE CHAIR'S DESIGNEE, AND SHALL NOT BE BASED UPON  THE
REQUEST  OF  ANY  PARTY,  NOR SHALL ANY DESIGNATION BE SUBJECT TO REVIEW
UNDER SECTION TWENTY-THREE OF THIS  CHAPTER.  THE  ORDER,  DECISION,  OR
DETERMINATION  ISSUED  BY  ANY  SUCH  DESIGNATED BOARD EMPLOYEE OR BOARD
MEMBER ON SUCH A CLAIM SHALL BE DEEMED THE ORDER, DECISION, OR  DETERMI-
NATION OF THE BOARD FROM THE DATE OF THE FILING THEREOF IN THE OFFICE OF
THE  SECRETARY  OF  THE  BOARD UNLESS THE BOARD, ON ITS OWN MOTION OR ON
APPLICATION DULY MADE TO IT, MODIFY OR RESCIND SUCH DECISION. THE  CHAIR
MAY  PROMULGATE  RULES,  OR  THE  BOARD MAY PROMULGATE A SUBJECT NUMBER,
REGARDING REHEARING AND REVIEW DESIGNATIONS UNDER THIS SUBDIVISION.
  Notwithstanding any provision in  this  section  to  the  contrary,  a
member  of  the board may be designated by the chair to act individually
in the hearing and determination of any claim  under  this  chapter,  or

S. 6405                            44                            A. 9005

conduct  any  investigation, hearing or inquiry hereunder, or review and
rescind any order, decision or determination upon any claim and  restore
such  claim  for  further  trial  hearing  and evidence or consideration
except  that  such member may not conduct any appellate rehearing of any
case or otherwise review any order, decision or determination  upon  any
claim  and  reverse,  modify  or affirm such order, decision or determi-
nation which by the provisions of  this  section  shall  be  reheard  or
reviewed by the board or a panel thereof.
  [3.]  4. The members of the [workmen's] WORKERS' compensation board, a
referee or any other officer or employee of the board if duly authorized
by the chairman, may administer oaths and  take  affidavits  in  matters
relating to the provisions of this chapter.
  The members of the [workmen's] WORKERS' compensation board, the refer-
ees and any other officer of the board designated by the chairman, shall
have power:
  a.  To  issue subpoenas for and compel the attendance of witnesses and
the  production  of  books,  contracts,  papers,  documents  and   other
evidence;
  b.  To  hear  testimony  and  take or cause to be taken depositions of
witnesses residing within or without this state in the manner prescribed
by law for like depositions in  civil  actions  in  the  supreme  court.
Subpoenas  and  commissions  to take testimony shall be issued under the
seal of the board.
  [4.] 5. Notwithstanding the provisions of any other law,  neither  the
industrial  commissioner nor any board or other agency of the department
of labor shall in any way direct, review, modify or reverse any decision
or finding of the board nor shall the  industrial  commissioner  or  any
board  or  other  agency of the department of labor supervise or control
the board or its members in  the  exercise  of  any  powers  or  in  the
performance of any duties under this chapter.
  [5.]  6. The workers' compensation board shall keep an accurate record
of all hearings held. Where the decision of a referee is affirmed by the
board upon review, OR WHERE THE DECISION IS MODIFIED  IN  PART,  BUT  IS
AFFIRMED  AS TO THE SUBSTANTIAL PORTION OF ISSUES RAISED UPON THE APPLI-
CATION FOR REVIEW OR IF REVIEW IS DENIED, the board shall assess against
each insurance carrier or employer seeking such review the  sum  of  one
hundred  fifty dollars and may assess against any other party the sum of
twenty dollars. The amount so secured from these  assessments  shall  be
paid into the state treasury.
  [6.] 7. The workers' compensation board shall not release any informa-
tion acquired pursuant to section five hundred thirty-seven of the labor
law  and  section  one  hundred  seventy-one-a of the tax law unless the
release of such information is required to further fraud control  activ-
ities  undertaken  by  the  workers' compensation board pursuant to this
chapter, in which case release of such information shall be  subject  to
the  restrictions  contained in section five hundred thirty-seven of the
labor law and section one hundred seventy-one-a of the tax law.
  [7.] 8. Where there has been a motor  vehicle  accident  which  caused
personal injury and there is a dispute as to whether the injury occurred
in  the  course  of  employment,  the workers' compensation board shall,
after notice to the  no-fault  carrier  and  the  workers'  compensation
carrier,  hold an expedited hearing on the issue of whether the accident
occurred during the course of employment.
  S 22. Subdivision 6 of section 151 of the workers' compensation law is
amended by adding a new paragraph (c) to read as follows:

S. 6405                            45                            A. 9005

  (C) EFFECTIVE IMMEDIATELY, NOTWITHSTANDING ANY LAW  TO  THE  CONTRARY,
PURSUANT  TO  THE  PROVISIONS  OF  THIS CHAPTER, THE ASSESSMENT RESERVES
REMITTED TO THE CHAIR PURSUANT TO THIS PARAGRAPH SHALL, AT  THE  REQUEST
OF THE DIRECTOR OF THE BUDGET, BE DISTRIBUTED AS FOLLOWS:
  (I)  EFFECTIVE  IMMEDIATELY,  THE  CHAIR  OF THE WORKERS' COMPENSATION
BOARD SHALL AUTHORIZE THE BOARD TO EXPEND UP TO SIXTY MILLION DOLLARS TO
IMPLEMENT INFRASTRUCTURE AND SYSTEM UPGRADES CONSISTENT WITH RECOMMENDA-
TIONS OF THE WORKERS'  COMPENSATION  BOARD  REDESIGN  AND  REENGINEERING
PROJECT.
  (II)  EFFECTIVE  IMMEDIATELY,  THE  CHAIR OF THE WORKERS' COMPENSATION
BOARD SHALL AUTHORIZE THE BOARD TO EXPEND UP TO  FIFTY  MILLION  DOLLARS
FOR:  (A)  TRANSFER INTO THE TRAINING AND EDUCATIONAL PROGRAM ON OCCUPA-
TIONAL SAFETY AND HEALTH FUND CREATED PURSUANT TO CHAPTER EIGHT  HUNDRED
EIGHTY-SIX OF THE LAWS OF NINETEEN HUNDRED EIGHTY-FIVE AND SECTION NINE-
TY-SEVEN-C OF THE STATE FINANCE LAW; (B) THE DEPARTMENT OF LABOR OCCUPA-
TIONAL  SAFETY  AND  HEALTH  PROGRAM;  (C)  TRANSFER  INTO THE UNINSURED
EMPLOYERS' FUND PURSUANT TO SUBDIVISION TWO OF SECTION  TWENTY-SIX-A  OF
THIS CHAPTER IN CONNECTION WITH PAYMENT OF CLAIMS MADE PURSUANT TO ARTI-
CLE  EIGHT-A  OF  THIS  CHAPTER;  (D)  A REDUCTION IN LIABILITIES OF THE
SPECIAL DISABILITY FUND PURSUANT TO SUBDIVISION EIGHT OF SECTION FIFTEEN
OF THIS CHAPTER AND/OR THE FUND FOR REOPENED CASES PURSUANT  TO  SECTION
TWENTY-FIVE-A  OF  THIS  CHAPTER;  AND/OR  (E) TRANSFER TO OR PAYMENT ON
BEHALF OF THE SUPERINTENDENT OF FINANCIAL SERVICES FOR COSTS  ASSOCIATED
WITH  THE IMPLEMENTATION OF THE PAID FAMILY LEAVE ACT OF ARTICLE NINE OF
THIS CHAPTER.
  (III) AS SOON AS PRACTICABLE ON OR AFTER  APRIL  FIRST,  TWO  THOUSAND
SIXTEEN, THE CHAIR OF THE WORKERS' COMPENSATION BOARD SHALL TRANSFER ONE
HUNDRED  FORTY  MILLION DOLLARS TO THE STATE INSURANCE FUND, FOR PARTIAL
PAYMENT AND PARTIAL SATISFACTION OF THE STATE'S OBLIGATIONS TO THE STATE
INSURANCE FUND UNDER WORKERS' COMPENSATION  LAW  SECTION  EIGHTY-EIGHT-C
FOR TWO THOUSAND SIXTEEN.
  (IV)  AS  SOON  AS  PRACTICABLE  ON OR AFTER APRIL FIRST, TWO THOUSAND
SEVENTEEN, THE CHAIR OF THE WORKERS' COMPENSATION BOARD  SHALL  TRANSFER
ONE  HUNDRED  MILLION  DOLLARS  TO THE STATE INSURANCE FUND, FOR PARTIAL
PAYMENT AND PARTIAL SATISFACTION OF THE STATE'S OBLIGATIONS TO THE STATE
INSURANCE FUND UNDER WORKERS' COMPENSATION  LAW  SECTION  EIGHTY-EIGHT-C
FOR TWO THOUSAND SEVENTEEN.
  (V) AS SOON AS PRACTICABLE ON OR AFTER APRIL FIRST, TWO THOUSAND EIGH-
TEEN,  THE  CHAIR  OF THE WORKERS' COMPENSATION BOARD SHALL TRANSFER ONE
HUNDRED MILLION DOLLARS TO THE STATE INSURANCE FUND, FOR PARTIAL PAYMENT
AND PARTIAL SATISFACTION OF THE STATE'S OBLIGATIONS TO THE STATE  INSUR-
ANCE FUND UNDER WORKERS' COMPENSATION LAW SECTION EIGHTY-EIGHT-C FOR TWO
THOUSAND EIGHTEEN.
  (VI)  AS  SOON  AS  PRACTICABLE  ON OR AFTER APRIL FIRST, TWO THOUSAND
NINETEEN, THE CHAIR OF THE WORKERS' COMPENSATION  BOARD  SHALL  TRANSFER
THIRTY-FIVE  MILLION  DOLLARS  TO  THE STATE INSURANCE FUND, FOR PARTIAL
PAYMENT AND PARTIAL SATISFACTION OF THE STATE'S OBLIGATIONS TO THE STATE
INSURANCE FUND UNDER WORKERS' COMPENSATION  LAW  SECTION  EIGHTY-EIGHT-C
FOR TWO THOUSAND NINETEEN.
  ANY  AND  ALL  FUNDS  REMAINING AFTER ACCOUNTING FOR THE TRANSFERS AND
EXPENDITURES 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 FOR THE PURPOSE OF REDUCING BUDGET GAPS.
  ANNUALLY, THE WORKERS' COMPENSATION BOARD WILL PROVIDE TO THE DIRECTOR
OF THE BUDGET, THE CHAIR OF THE SENATE FINANCE COMMITTEE, AND THE  CHAIR
OF  THE  ASSEMBLY  WAYS AND MEANS COMMITTEE, AN ACCOUNTING OF SUCH FUNDS

S. 6405                            46                            A. 9005

AND ALL ASSOCIATED INCOME RECEIVED. SUCH ACCOUNTING WILL CONTINUE  UNTIL
MARCH THIRTY-FIRST, TWO THOUSAND TWENTY.
  S  23. Section 167 of the workers' compensation law, as added by chap-
ter 446 of the laws of 2006, is amended to read as follows:
  S 167. Claims of volunteers. For persons  who  participated  in  World
Trade Center rescue, recovery and clean-up operations as volunteers, the
uninsured  employers' fund shall be deemed to be the employer [only] for
the purposes of administering and paying claims pursuant to  this  arti-
cle.  Benefits  under  this  chapter shall be payable to such volunteers
[only] IN THE FIRST INSTANCE AND to the extent that funds are  available
out of funds appropriated to the United States Department of Labor under
Public  Law  109-148  to reimburse the uninsured employer's fund for the
payment of such benefits AND THEREAFTER FROM  THE  UNINSURED  EMPLOYERS'
FUND.  THE  UNINSURED  EMPLOYERS'  FUND  SHALL  NOT  PAY FOR VOLUNTEERS'
MEDICAL TREATMENT UNLESS SUCH MEDICAL EXPENSES HAVE BEEN DENIED  BY  THE
WORLD TRADE CENTER HEALTH ORGANIZATION.
  S  24.  Subdivision 2 of section 354 of the workers' compensation law,
as added by chapter 635 of the laws of  1996,  is  amended  to  read  as
follows:
  2.  An  employee , NOT SUBJECT TO A COLLECTIVE BARGAINING AGREEMENT OR
SUBJECT TO A COLLECTIVE BARGAINING AGREEMENT DATED  ON  OR  AFTER  APRIL
FIRST, TWO THOUSAND SIXTEEN, may seek medical treatment from outside the
preferred  provider  organization  [thirty]  ONE HUNDRED AND TWENTY days
after his or her  first  visit  to  a  preferred  provider  organization
provider.  In  the  event  that  such  employee  seeks medical treatment
outside the preferred provider organization the employer may  require  a
second  opinion  from a provider within the preferred provider organiza-
tion.  FOR COLLECTIVE BARGAINING AGREEMENTS ENTERED  INTO  BEFORE  APRIL
FIRST,  TWO  THOUSAND  SIXTEEN,  THE EMPLOYEE MAY SEEK MEDICAL TREATMENT
FROM OUTSIDE A PREFERRED PROVIDER ORGANIZATION THIRTY DAYS AFTER HIS  OR
HER FIRST VISIT WITH THE PREFERRED PROVIDER ORGANIZATION.
  S 25. Paragraphs 1 and 2 and subparagraph (a) of paragraph 5 of subdi-
vision  3-a  of section 50 of the workers' compensation law, paragraph 1
and subparagraph (a) of paragraph 5 as amended by  chapter  139  of  the
laws  of 2008 and paragraph 2 as amended by section 4 of part G of chap-
ter 57 of the laws of 2011, are amended to read as follows:
  (1) Definitions. As used in this chapter the  term  "employers"  shall
include:  (a) employers with related activity in a given industry [which
shall include municipal corporations as that term is defined in sections
two and six-n of the  general  municipal  law,]  employing  persons  who
perform  work in connection with the given industry, (b) an incorporated
or unincorporated association or associations consisting exclusively  of
such  employers  provided  they  employ persons who perform such related
work in the given industry,  and  (c)  a  combination  of  employers  as
described  in subparagraph (a) hereof and an association or associations
of employers as described in subparagraph (b) hereof.
  (2) (a) Any group consisting exclusively of such employers may adopt a
plan for self-insurance, as a group, for  the  payment  of  compensation
under  this  chapter  to  their employees, except that no new groups may
adopt such a plan, and no group not composed solely of  public  entities
set forth in [paragraph a of] subdivision [four] THREE-F of this section
may insure any liabilities for any employers on and after January first,
two  thousand  twelve,  except  as provided for in paragraph ten of this
subdivision. Under such plan the group shall assume the liability of all
the employers within the group and pay all compensation  for  which  the
said  employers  are liable under this chapter[, except that in the case

S. 6405                            47                            A. 9005

of municipal corporations as herein defined no proof of financial abili-
ty or deposit of securities or cash need be made in compliance with this
subdivision]. The group qualifying under this subdivision shall be known
as  a  group  self-insurer  and  the employers participating therein and
covered thereby shall be known as members.
  (b) Where such plan is adopted the group self-insurer, EXCEPT A  GROUP
COMPOSED  SOLELY  OF PUBLIC ENTITIES SET FORTH IN SUBDIVISION THREE-F OF
THIS SECTION, shall furnish satisfactory  proof  to  the  chair  of  its
financial ability to pay such compensation for the members in the indus-
try  covered  by it, its revenues, their source and assurance of contin-
uance. The chair shall require the deposit with the chair of such  secu-
rities as may be deemed necessary of the kind prescribed in subdivisions
one,  two, three, four and five, and subparagraph (a) of paragraph three
of subdivision seven of section two hundred thirty-five of  the  banking
law or the deposit of cash or the filing of irrevocable letters of cred-
it issued by a qualified banking institution as defined by rules promul-
gated  by  the chair or the filing of a bond of a surety company author-
ized to transact business in this state, in an amount to  be  determined
to  secure  its  liability  to  pay the compensation of each employer as
above provided.  Such surety bond must be approved as  to  form  by  the
chair.  The chair shall require each group self-insurer to provide regu-
lar reports no less than annually, which shall include but not be limit-
ed to audited  financial  statements,  actuarial  opinions  and  payroll
information containing proof that it is fully funded. Such reports shall
also  include  a  contribution year analysis detailing contributions and
expenses associated with each specific contribution year.  For  purposes
of this paragraph, proof that a group self-insurer is fully funded shall
at  a minimum include proof of unrestricted cash and investments permit-
ted by regulation of the chair of at least one hundred  percent  of  the
total  liabilities,  including  the  estimate presented in the actuarial
opinion submitted by the group  self-insurer  in  accordance  with  this
chapter.  The  chair  by regulation, may set further financial standards
for group self-insurers. Any group self-insurer that fails to show  that
it  is  fully funded shall be deemed underfunded, and must submit a plan
for achieving fully funded status which may include a deficit assessment
on members of such group self-insurer which shall be subject to approval
or modification by the chair.
  (c) The chair shall evaluate, no less than once every three  years,  a
group  self-insurer's  compliance  with  the  financial  and  regulatory
requirements for self-insurance. The  chair  may  engage  any  qualified
person  or  organization  to  assist  with such evaluation and any costs
incurred by the chair shall be borne by  the  group  self-insurer  under
examination. Failure to submit to such independent review or to pay such
costs,  upon  demand of the chair, shall be sufficient grounds to termi-
nate coverage of the group self-insurer.
  (d) The chair may require reports to be prepared by an auditor,  actu-
ary  or  other  consultant,  selected  by  the  board or, at the chair's
discretion, by the group self-insurer from a list which shall be pre-ap-
proved by the chair to determine whether the  group  self-insurer  meets
the  financial  criteria  for  self-insurance. All actuaries so selected
shall be fellows or associates of the casualty actuarial society.
  (e) The chair may also require that any and all agreements,  contracts
and  other  pertinent  documents  relating  to  the  organization of the
members in the group self-insurer shall be filed with the chair.
  (f) The chair shall have the authority  to  revoke  consent  furnished
under this section at any time for good cause shown.

S. 6405                            48                            A. 9005

  (g)  Prior to the requested effective date of the participating agree-
ment, a group self-insurer shall notify the chair on a  prescribed  form
of a new group self-insurer member and file (1) a member application and
(2)  a  copy of the properly executed prescribed participation agreement
wherein  the  member acknowledges their joint and several obligation for
their period of membership. The board shall, on a  form  promulgated  by
the chair, provide notice of the member's rights and responsibilities as
a  group self-insurer member, including the member's assumption of joint
and several liability, and require the member to return a signed copy to
the chair as a condition of membership.
  (h) Any member terminating membership in a PRIVATE group  self-insurer
after  less  than four years in such PRIVATE group self-insurer, and any
member in a group self-insurer that has defaulted,  shall  be  precluded
from  obtaining prospective coverage from any PRIVATE group self-insurer
for a period of at least three years from the effective date  of  termi-
nation.
  (a) Each PRIVATE group self-insurer shall, AND EACH GROUP SELF-INSURER
MAY,  shall secure the services of a group administrator to be responsi-
ble  for  assisting  the  group  self-insurer  in  complying  with   the
provisions  of  this  section  and the rules and regulations promulgated
hereunder, and for coordinating services including but  not  limited  to
claims   processing,  loss  control,  legal,  accounting  and  actuarial
services. No person, firm or corporation shall coordinate such  services
or otherwise carry out the tasks of a group administrator as provided in
this subdivision or in the regulations issued pursuant thereto on behalf
of  a group self-insurer unless such person shall have obtained from the
chair a license authorizing it to act as a group  self-insurer  adminis-
trator,  which  license  may  be revoked for good cause. The chair shall
promulgate regulations setting forth any additional  qualifications  for
such  license,  governing the conduct and compensation of group self-in-
surer administrators, and setting a license fee in an  amount  not  less
than  five  thousand  dollars  per  year for such license for each group
self-insurer the administrator  administers.  Each  administrator  shall
post  a  bond  in  the  amount of five hundred thousand dollars for each
group self-insurer administered or such other amount as may  be  set  by
the  chair  based  on the cost and availability of such bond, from which
the chair may recover any recoveries or penalties against  the  adminis-
trator  under  this  section.  Nothing in this section shall relieve the
trustees of a group self-insurer of any fiduciary obligation  they  hold
to the other members of such group self-insurer.
  S 26. Section 50 of the workers' compensation law is amended by adding
a new subdivision 3-f to read as follows:
  3-F.  (1)  ANY GROUP CONSISTING EXCLUSIVELY OF MUNICIPAL CORPORATIONS,
PUBLIC CORPORATIONS AS THAT TERM IS DEFINED IN SECTION SIXTY-SIX OF  THE
GENERAL  CONSTRUCTION LAW, COUNTY SELF-INSURANCE PLANS ESTABLISHED UNDER
ARTICLE FIVE OF THIS CHAPTER, BOARDS OF COOPERATIVE EDUCATIONAL SERVICES
AND CONSORTIA ESTABLISHED BY BOARDS OF COOPERATIVE EDUCATIONAL  SERVICES
MAY  ADOPT  A  PLAN  FOR  SELF-INSURANCE, AS A GROUP, FOR THE PAYMENT OF
COMPENSATION UNDER THIS CHAPTER TO THEIR EMPLOYEES.  SUCH GROUP SHALL BE
KNOWN AS A "PUBLIC GROUP SELF-INSURER".  ALL  OTHER  GROUPS  ESTABLISHED
UNDER  THIS SECTION FIFTY ARE "PRIVATE GROUP SELF-INSURERS". A COUNTY OF
SELF-INSURANCE PLAN ESTABLISHED UNDER ARTICLE FIVE OF  THIS  CHAPTER  IS
NOT ITSELF A PUBLIC GROUP SELF-INSURER, AND IS NOT ITSELF SUBJECT TO THE
REQUIREMENTS  OF  THIS SECTION, BUT MAY JOIN A PUBLIC GROUP SELF-INSURER
AND, IF IT DOES SO, SHALL ASSUME ALL OF THE OBLIGATIONS OF  ITS  PARTIC-
IPANTS TO THE PUBLIC GROUP SELF-INSURER. NO ENTITY WHICH IS NOT A MUNIC-

S. 6405                            49                            A. 9005

IPAL CORPORATION AS DEFINED IN SECTION TWO OF THE GENERAL MUNICIPAL LAW,
OTHER  THAN  A COUNTY SELF-INSURANCE PLAN ESTABLISHED UNDER ARTICLE FIVE
OF THIS CHAPTER AND A CONSORTIUM ESTABLISHED BY A BOARD  OF  COOPERATIVE
EDUCATIONAL SERVICES, MAY JOIN A PUBLIC GROUP SELF-INSURER UNLESS IT MAY
LEVY  TAXES OR ITS OBLIGATIONS ARE GUARANTEED BY ANOTHER MEMBER WHICH IS
SUCH A MUNICIPAL CORPORATION. A PUBLIC GROUP SELF-INSURER  SHALL  COMPLY
WITH  ALL  OF  THE  REQUIREMENTS OF SUBDIVISION THREE-A OF THIS SECTION;
PROVIDED HOWEVER THAT NO PROOF OF FINANCIAL ABILITY TO PAY  THE  COMPEN-
SATION PROVIDED FOR BY THIS CHAPTER SHALL BE REQUIRED AND, IN LIEU THER-
EOF,  THE JOINT AND SEVERAL LIABILITY OF THE PUBLIC GROUP SELF-INSURER'S
PARTICIPANTS SHALL SERVE AS THE SECURITY REQUIRED UNDER PARAGRAPH TWO OF
SUBDIVISION THREE-A OF THIS  SECTION.  THE  CHAIR  SHALL  IMPLEMENT  THE
PROVISIONS OF THIS SUBDIVISION BY PROMULGATING RULES AND REGULATIONS BUT
NO  SUCH  RULES AND REGULATIONS SHALL BE NECESSARY FOR ANY PROVISIONS OF
THIS SUBDIVISION TO BE EFFECTIVE.
  (2) A PUBLIC GROUP SELF-INSURER AS DEFINED HEREIN MAY OFFER,  AS  PART
OF THE POLICY OR BY ENDORSEMENT, DEDUCTIBLES OPTIONAL TO THE POLICYHOLD-
ER  FOR  BENEFITS  PAYABLE  UNDER THE POLICY, SUBJECT TO APPROVAL BY THE
CHAIRMAN AND SUBJECT TO UNDERWRITING BY THE PUBLIC  GROUP  SELF-INSURER,
CONSISTENT WITH THE FOLLOWING STANDARDS OR FACTORS:
  (A)  CLAIMANTS'  RIGHTS ARE PROPERLY PROTECTED AND CLAIMANTS' BENEFITS
ARE PAID WITHOUT REGARD TO ANY SUCH DEDUCTIBLE;
  (B) APPROPRIATE PREMIUM REDUCTIONS REFLECT THE TYPE AND LEVEL  OF  ANY
DEDUCTIBLE APPROVED BY THE CHAIRMAN AND SELECTED BY THE MEMBER;
  (C)  PREMIUM REDUCTIONS FOR DEDUCTIBLES ARE DETERMINED BEFORE APPLICA-
TION OF ANY  EXPERIENCE  MODIFICATION,  PREMIUM  SURCHARGE,  OR  PREMIUM
DISCOUNT;
  (D)  RECOGNITION  IS  GIVEN TO MEMBER CHARACTERISTICS, INCLUDING SIZE,
FINANCIAL CAPABILITIES, NATURE OF ACTIVITIES, AND NUMBER OF EMPLOYEES;
  (E) IF THE MEMBER SELECTS A DEDUCTIBLE, THE MEMBER IS  LIABLE  TO  THE
PUBLIC  GROUP  SELF-INSURER FOR THE DEDUCTIBLE AMOUNT IN REGARD TO BENE-
FITS PAID FOR COMPENSABLE CLAIMS;
  (F) THE PUBLIC GROUP SELF-INSURER PAYS ALL OF THE  DEDUCTIBLE  AMOUNT,
APPLICABLE TO A COMPENSABLE CLAIM, TO THE PERSON OR PROVIDER ENTITLED TO
BENEFITS AND THEN SEEKS REIMBURSEMENT FROM THE MEMBER FOR THE APPLICABLE
DEDUCTIBLE AMOUNT; AND
  (G)  FAILURE  TO  REIMBURSE  DEDUCTIBLE  AMOUNTS  BY THE MEMBER TO THE
PUBLIC GROUP SELF-INSURER IS TREATED UNDER THE COVERAGE AGREEMENT IN THE
SAME MANNER AS NONPAYMENT OF CONTRIBUTIONS.
  (3) IF, IN THE DETERMINATION OF THE CHAIR, A PUBLIC GROUP SELF-INSURER
BECOMES INSOLVENT OR OTHERWISE DEFAULTS ON ITS OBLIGATIONS,  THE  INSOL-
VENT  GROUP  WILL  REQUIRE  EACH  MEMBER AND EACH FORMER MEMBER TO PAY A
SUPPLEMENTAL ASSESSMENT IN AN AMOUNT SUFFICIENT TO MAKE THE PUBLIC GROUP
SELF-INSURER SOLVENT BASED UPON A FORMULA TO BE ESTABLISHED BY THE CHAIR
IN REGULATIONS WHICH CONSIDERS THE  MEMBERS'  ANNUAL  CONTRIBUTIONS  AND
LOSS  EXPERIENCE.  IF AN ASSESSMENT IS NOT SUFFICIENT TO CURE THE INSOL-
VENCY OR DEFAULT, (I) EACH MEMBER AND ANY FORMER MEMBER WILL BE  JOINTLY
AND  SEVERALLY  LIABLE  FOR THE REMAINING DEFICIT; AND (II) WHENEVER THE
CHAIR SHALL DETERMINE THAT THE COMPENSATION  AND  BENEFITS  PROVIDED  BY
THIS  CHAPTER  MAY  BE UNPAID BY REASON OF THE DEFAULT OF A PUBLIC GROUP
SELF-INSURER, THE CHAIR SHALL PAY SUCH COMPENSATION  AND  BENEFITS  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.  SUCH PAYMENTS SHALL BE CONSIDERED EXPENSES OF
ADMINISTRATION. THE CHAIR SHALL BE REIMBURSED THEREFOR FROM  ANY  MEMBER
OF  THE  PUBLIC  GROUP  SELF-INSURER, FIRST PURSUANT TO THE SUPPLEMENTAL

S. 6405                            50                            A. 9005

ASSESSMENT FORMULA REFERENCED HEREIN, BUT IN ANY EVENT WHERE  NECESSARY,
ON A JOINT AND SEVERAL BASIS.
  S  27.  The  section heading and subdivisions 1, 2, 3 and 4 of section
1680-l of the public authorities law, as added by chapter 6 of the  laws
of 2007, are amended to read as follows:
  [The  special]  SPECIAL  disability  fund  AND FUND FOR REOPENED CASES
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.
  (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 subparagraph five of  para-
graph  (h)  of  subdivision  eight  of  section  fifteen 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 agreement" means [any agreement authorized pursuant to
subdivision four of this section between the chair and the  commissioner
of taxation and finance, and the authority] EACH OR ANY SPECIAL DISABIL-
ITY FUND FINANCING AGREEMENT OR FUND FOR REOPENED CASES FINANCING AGREE-
MENT, AS APPLICABLE.
  (k)  "Financing costs" means all costs of issuance, capitalized inter-
est, capitalized operating expenses of the authority  and,  pursuant  to
the  financing  agreement, the initial capitalized operating expenses of
the waiver agreement management office and debt service reserves,  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 limitation, any net original issue discount.
  (l)  "FUND  FOR REOPENED CASES FINANCING AGREEMENT" MEANS AN AGREEMENT
AUTHORIZED AND CREATED PURSUANT TO SUBDIVISION FOUR OF THIS SECTION  AND
TO  SUBDIVISION  FOUR  OF  SECTION TWENTY-FIVE-A OF THE WORKERS' COMPEN-
SATION LAW, AS SUCH AGREEMENT MAY BE AMENDED.
  (M) "Investment securities" means:  (i)  general  obligations  of,  or
obligations  guaranteed by, any state of the United States of America or
political subdivision thereof, or the District of Columbia or any agency
or instrumentality of any of them, receiving one of  the  three  highest
long-term unsecured debt rating categories available for such securities

S. 6405                            51                            A. 9005

of  at  least  one  independent  rating  agency, or (ii) certificates of
deposit,  savings  accounts,  time  deposits  or  other  obligations  or
accounts  of  banks  or  trust  companies  in the state, secured, if the
authority  shall  so  require,  in  such  manner as the authority may so
determine, or (iii) obligations in which the comptroller  is  authorized
to  invest  pursuant to either section ninety-eight or ninety-eight-a of
the state finance law, or (iv) investments  which  the  commissioner  of
taxation and finance is permitted to make with surplus or reserve moneys
of the special disability fund under subparagraph seven of paragraph (h)
of  subdivision  eight  of  section fifteen of the workers' compensation
law.
  [(m)] (N) "Interest rate exchange or similar agreement" means a  writ-
ten  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.
  [(n)]  (O)  "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 financing agreement.
  [(o)] (P) "Operating expenses" means the reasonable or necessary oper-
ating expenses of the authority for purposes of this section, including,
without 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.
  [(p)] (Q) "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
thereof.
  [(q)]  (R)  "Pledged  assessments  revenues",  "pledged  revenues"  or
"pledged  assessments"  means: (I) WITH RESPECT TO BONDS ISSUED PRIOR TO
MARCH THIRTY-FIRST, TWO THOUSAND  THIRTEEN  PURSUANT  TO  THIS  SECTION,
EITHER  receipts of special disability fund assessments imposed pursuant
to subparagraph four of paragraph (h) of subdivision  eight  of  section
fifteen  of the workers' compensation law and pledged for the payment of
debt service on the bonds, RECEIPTS OF ASSESSMENTS FOR  ANNUAL  EXPENSES
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 THE SAME; AND (II) WITH RESPECT TO BONDS ISSUED  ON
OR  SUBSEQUENT  TO MARCH THIRTY-FIRST, TWO THOUSAND THIRTEEN PURSUANT TO
THIS SECTION, EITHER RECEIPTS OF SUCH ASSESSMENTS FOR ANNUAL EXPENSES or
amounts due pursuant to an ancillary bond facility, including the  right
to receive same.
  [(r)] (S) "State" means the state of New York.
  [(s)]  (T)  "Special  disability  fund  financing  agreement" means an
agreement authorized and created pursuant to SUBDIVISION  FOUR  OF  THIS
SECTION   AND TO subparagraph five of paragraph (h) of subdivision eight
of section fifteen of the workers' compensation law,  as  [same  by  its
terms and bond proceedings,] SUCH AGREEMENT may be amended.
  [(t)]  (U)  "Waiver  agreement"  means  waiver agreements entered into
pursuant to section thirty-two of the workers' compensation law.

S. 6405                            52                            A. 9005

  [(u)] (V) "Waiver agreement management office" shall mean  the  office
described in paragraph (e) of section thirty-two of the workers' compen-
sation law.
  (W)  "WORKERS' COMPENSATION LIABILITY INSURANCE POLICY" OR "ASSUMPTION
OF WORKERS' COMPENSATION LIABILITY INSURANCE POLICY"  MEANS  ANY  POLICY
EXECUTED  BY THE CHAIR PURSUANT TO SUBDIVISION (I) OF SECTION THIRTY-TWO
OR SUBDIVISION THREE OF SECTION TWENTY-FIVE-A OF  THE  WORKERS'  COMPEN-
SATION  LAW  PROVIDING FOR THE ASSUMPTION OF ALL OR PART OF SUCH FURTHER
AND FUTURE CONTINGENT WORKERS' COMPENSATION LIABILITY AS MAY ARISE  FROM
PRIOR  INJURIES  TO  WORKERS. SUCH POLICY SHALL BE IN A FORM APPROVED BY
THE SUPERINTENDENT OF FINANCIAL SERVICES AND ISSUED BY THE STATE  INSUR-
ANCE  FUND  OR  ANY  INSURANCE  COMPANY  LICENSED TO ISSUE THIS CLASS OF
INSURANCE IN THIS STATE. IN THE EVENT THAT SUCH POLICY IS ISSUED  BY  AN
INSURANCE  COMPANY OTHER THAN THE STATE INSURANCE FUND, THEN SUCH POLICY
SHALL BE DEEMED OF THE KIND SPECIFIED IN PARAGRAPH FIFTEEN OF SUBSECTION
(A) OF SECTION ONE THOUSAND ONE HUNDRED THIRTEEN OF  THE  INSURANCE  LAW
AND  COVERED  BY  THE WORKERS' COMPENSATION SECURITY FUND AS CREATED AND
GOVERNED BY ARTICLE SIX-A OF THE WORKERS' COMPENSATION LAW. SUCH A POLI-
CY SHALL ONLY BE ISSUED FOR A SINGLE COMPLETE PREMIUM  PAYMENT  THAT  IS
PAYABLE  IN  ADVANCE AND IN AN AMOUNT DEEMED ACCEPTABLE BY THE CHAIR AND
THE SUPERINTENDENT OF FINANCIAL SERVICES. WHEN ISSUED SUCH POLICY  SHALL
BE  NONCANCELLABLE WITHOUT RECOURSE FOR ANY CAUSE DURING THE CONTINUANCE
OF THE LIABILITY SECURED AND SO COVERED.
  2. The authority is hereby authorized to ISSUE BONDS  TO  finance  the
special  disability  fund  established  by  paragraph (h) of subdivision
eight of section fifteen of the workers' compensation law and  to  enter
into  one or more special disability fund financing agreements described
in such subdivision AND AUTHORIZED TO ISSUE BONDS TO  FINANCE  THE  FUND
FOR   REOPENED   CASES  ESTABLISHED  BY  SUBDIVISION  THREE  OF  SECTION
TWENTY-FIVE-A OF THE WORKERS' COMPENSATION LAW AND TO ENTER INTO ONE  OR
MORE  FUND FOR REOPENED CASES FINANCING AGREEMENTS DESCRIBED IN SUBDIVI-
SION FOUR OF SUCH SECTION.   All of  the  provisions  of  the  authority
relating  to  bonds  and  notes  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 and shall not include liabilities, assets  or
revenues  other  than  liabilities,  assets or revenues derived from the
authority solely from the special disability fund.]
  3. It is found and declared that the special disability fund  AND  THE
FUND  FOR REOPENED CASES no longer [serves] SERVE the purposes for which
[it was] THEY WERE created, [adds]  ADD  to  the  time  and  expense  of
proceedings  before  the  workers'  compensation board and to employers'
costs for workers' compensation insurance; that the creation and  opera-
tion  of  a  waiver  agreement management office of the workers' compen-
sation board, to manage, maintain and  negotiate  waiver  agreements  on
behalf  of  the  special disability fund AND FUND FOR REOPENED CASES can
reduce the  special  disability  fund's  AND  FUND  FOR  REOPENED  CASES
unfunded liability; that the reduction of such liability and the closing
of  the  fund  to  new claims will over the long term reduce assessments
paid to the [fund] FUNDS by insurance carriers,  self-insurers  and  the
state  insurance  fund, as well as the employers to whom these costs are
passed on; that in the absence of this section the annual cost of [such]
assessments TO EMPLOYERS is expected to rise;  that  the  settlement  of
claims  and  other actions undertaken by the waiver agreement management

S. 6405                            53                            A. 9005

office will lower the administrative costs of insurance carriers,  self-
insurers  and the state insurance fund; [that revenue obligations issued
by the authority and secured by a special  assessment  annually  levied,
imposed  and collected on and from insurance carriers, self-insurers and
the state insurance fund for the governmental purpose of funding  waiver
agreements]  THAT  UNFUNDED  SPECIAL  DISABILITY  FUND  LIABILITIES  AND
UNFUNDED CLAIMS PAYABLE FROM THE FUND FOR REOPENED  CASES  WILL,  ABSENT
PROVISION  FOR  LONG-TERM  FINANCING,  RESULT  IN IMPOSITION OF COSTS ON
EMPLOYERS THROUGH ASSESSMENTS; THAT SUCH  UNFUNDED  LIABILITIES,  CLAIMS
AND   ASSESSMENTS   MAY   HAVE  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  LIABILITIES
AND CLAIMS; THAT FINANCING WILL ALLOW THE WORKERS' COMPENSATION BOARD TO
FUND  WAIVER  AGREEMENTS AND CONTRACT AWARDS AND TO PURCHASE ONE OR MORE
ASSUMPTION OF WORKERS' COMPENSATION LIABILITY  INSURANCE  POLICIES  THAT
WILL  LIMIT  THE  LONG  TERM  LOSSES FROM THESE UNFUNDED LIABILITIES AND
CLAIMS; THAT BONDS ISSUED BY THE AUTHORITY AND  SECURED  BY  ASSESSMENTS
LEVIED,  FOR  THE GOVERNMENTAL PURPOSE OF FUNDING WAIVER AGREEMENTS WITH
RESPECT TO THE SPECIAL DISABILITY  FUND  AND  FUNDING  CONTRACT  AWARDS,
ASSUMPTION  OF  WORKERS'  COMPENSATION  LIABILITY INSURANCE POLICIES AND
ANTICIPATED LIABILITIES WITH RESPECT TO THE SPECIAL DISABILITY FUND  AND
THE  FUND  FOR  REOPENED CASES amortized over a substantial period would
allow the state to settle and otherwise manage [claims] SPECIAL DISABIL-
ITY FUND AND FUND FOR REOPENED CASES AND TO  REDUCE  SPECIAL  DISABILITY
FUND  AND  FUND  FOR  REOPENED  CASES as a means for reducing the fund's
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 while compensating injured
workers and honoring the obligations of the special disability fund  AND
FUND  FOR REOPENED CASES; that all costs of the authority in relation to
this section shall be paid from assessments set forth in  paragraph  (h)
of  subdivision  eight  of  section  fifteen  AND IN SECTION ONE HUNDRED
FIFTY-ONE of 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 of  the  issuance  of  revenue
obligations  of the authority is declared to be for a public purpose and
the exercise of an essential governmental function.
  4. (a) The authority, the commissioner of taxation and finance and the
chair, [in] AFTER consultation with THE DIRECTOR OF THE BUDGET  AND  the
special  disability  fund  advisory  committee 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 assessment and enforcement of the assessments, the appli-
cation  and  use  of  the  proceeds of the sale of bonds to preserve the
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  APPLICABLE  financing  agreement and this section. [The] EACH
SPECIAL DISABILITY FUND financing agreement shall provide for the appli-
cation of the net bond proceeds, and such bond proceeds shall  be  used,
for  any  of  the  following  CORPORATE  purposes: (i) funding of waiver

S. 6405                            54                            A. 9005

agreements, (ii) payment of financing costs, (iii)  funding  anticipated
liabilities of the special disability fund, (iv) funding contract awards
pursuant  to  [subparagraph two of] paragraph [(h)] (I) of section thir-
ty-two  of  the  workers'  compensation  law  [and (v)], (V) FUNDING THE
PURCHASE OF ONE OR MORE ASSUMPTION OF  WORKERS'  COMPENSATION  LIABILITY
INSURANCE  POLICIES TO DISCHARGE THE LIABILITIES INCURRED UNDER SUBPARA-
GRAPH ONE OF PARAGRAPH (H) OF SUBDIVISION EIGHT OF  SECTION  FIFTEEN  OF
THE  WORKERS'  COMPENSATION  LAW AND (VI) SUCH OTHER PURPOSES AS ARE SET
FORTH IN THE FINANCING AGREEMENT. EACH FUND FOR REOPENED CASES FINANCING
AGREEMENT SHALL PROVIDE FOR THE APPLICATION OF THE  NET  BOND  PROCEEDS,
AND SUCH BOND PROCEEDS SHALL BE USED, FOR ANY OF THE FOLLOWING CORPORATE
PURPOSES:  (I)  PAYMENT  OF  FINANCING  COSTS,  (II) FUNDING ANTICIPATED
LIABILITIES OF THE FUND  FOR  REOPENED  CASES,  (III)  FUNDING  CONTRACT
AWARDS  PURSUANT  TO  SUBDIVISION  THREE OF SECTION TWENTY-FIVE-A OF THE
WORKERS' COMPENSATION LAW, (IV) FUNDING THE  PURCHASE  OF  ONE  OR  MORE
ASSUMPTION  OF  WORKERS'  COMPENSATION  LIABILITY  INSURANCE POLICIES TO
DISCHARGE THE LIABILITIES INCURRED OR TO BE INCURRED  UNDER  SUBDIVISION
THREE  OF SECTION TWENTY-FIVE-A OF THE WORKERS' COMPENSATION LAW AND (V)
such other purposes as are set forth in  the  financing  agreement.  Not
inconsistent  with  this section, the authority may provide restrictions
on the use and investment of net proceeds of the bonds and other amounts
in [the] ANY financing agreement or otherwise in a tax regulatory agree-
ment as necessary or desirable to assure that they are exempt from taxa-
tion.
  S 28. Paragraphs (a), (c), and (g) of subdivision 5 of section  1680-l
of  the  public  authorities  law,  as added by chapter 6 of the laws of
2007, subparagraph (i) of paragraph (a)  of  subdivision  5  as  further
amended  by section 104 of part A of chapter 62 of the laws of 2011, are
amended to read as follows:
  (a) (i) The authority shall have power and  is  hereby  authorized  to
issue  its  bonds at such times and in an aggregate principal amount not
to exceed an amount to be determined by the superintendent of  financial
services  as  necessary  to  address  all  or  a portion of the incurred
unfunded liabilities of the special disability  fund,  but  in  no  case
exceeding  twenty-five  percent of the unfunded liability of the special
disability fund as of a date no later  than  July  first,  two  thousand
seven,  as  certified  to  the authority by a qualified third party. The
bonds shall be issued for the [following] corporate purposes[: (A) fund-
ing of waiver agreements, (B) payment of financing  costs,  (C)  funding
anticipated  liabilities  of  the  special  disability fund, (D) funding
contract awards pursuant to paragraph two of subdivision (h) of  section
thirty-two  of the workers' compensation law and (E) such other purposes
as are set forth in the financing agreement] IDENTIFIED  IN  SUBDIVISION
FOUR-B  OF  THIS  SECTION AND IN THE APPLICABLE FINANCIAL AGREEMENT. The
foregoing limitation on outstanding aggregate principal shall not  apply
to prevent the issuance of bonds to refund bonds.
  (ii) Each issuance of bonds shall be authorized by a resolution of the
authority,  provided,  however, that any such resolution authorizing the
issuance of bonds 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 appropriate certificate of such authorized offi-
cer. Every issue of the bonds of the authority [for the special disabil-
ity fund] PURSUANT TO THIS SECTION 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 funds of the authority and such

S. 6405                            55                            A. 9005

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] AFTER consultation with the DIRECTOR
OF BUDGET AND special disability fund advisory committee to  refund  any
bonds  issued  under  this section by the issuance of new bonds, whether
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.
  (c) The authority may sell such bonds in  such  manner,  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 upon approval of  the  authority
and  without  any other approvals, filings, proceedings or the happening
of any other conditions or things other than  the  approvals,  findings,
proceedings,  conditions,  and things that are specified and required by
this section[. Provided]; 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.
  (g) The authority may enter into, amend or terminate, as it determines
to  be  necessary or appropriate, any ancillary bond facility [in] AFTER
consultation with the DIRECTOR OF BUDGET  AND  special  disability  fund
advisory  committee  (i)  to  facilitate  the  issuance,  sale,  resale,
purchase, repurchase or payment  of  bonds,  interest  rate  savings  or
market  diversification  or  the  making or performance of interest rate
exchange or similar agreements, including without limitation bond insur-
ance, 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  investments  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], AFTER
consultation  with  the  DIRECTOR  OF BUDGET AND special disability fund
advisory  committee,  which  facility  may  include  without  limitation
contracts  commonly  known  as  interest rate exchange or similar agree-
ments, forward purchase contracts or guaranteed 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 (i) agreement which secures bonds of
the authority or (ii) investment, or contract providing  for  investment
of  reserves  or  similar facility guaranteeing 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  afore-
said  shall  be conclusive. Any ancillary bond facility may contain such
payment, security,  default,  remedy,  and  termination  provisions  and

S. 6405                            56                            A. 9005

payments  and other terms and conditions as determined by the authority,
after giving due consideration to the creditworthiness of  the  counter-
party  or  other obligated party, including any rating by any nationally
recognized rating agency, and any other criteria as may be appropriate.
  S  29.  Subdivision 8 of section 1680-l of the public authorities law,
as added by chapter 6 of the  laws  of  2007,  is  amended  to  read  as
follows:
  8.  All monies of the authority from whatever source derived, THAT ARE
PLEDGED PURSUANT TO THIS SECTION, 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 with-
drawn  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 practica-
ble, and consistent with the requirements of  the  authority,  all  such
monies  shall  be  deposited in interest bearing accounts. The authority
shall have power, notwithstanding 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 SUCH 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.
  S 30. Paragraph (a) of subdivision 10 of section 1680-l of the  public
authorities  law,  as added by chapter 6 of the laws of 2007, is amended
to read as follows:
  (a) The state, solely with respect to the  resources  of  the  special
disability fund AND OF THE FUND FOR REOPENED CASES, AS APPLICABLE and as
set  forth  in  [the  special disability fund] EACH APPLICABLE 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 [special disability fund] APPLICABLE  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  and  other  revenues,  receipts,  funds  or  moneys
pledged  for  the  payment  of debt service requirements in each year in
which bonds are outstanding, and (iii) further, that the state (A)  will

S. 6405                            57                            A. 9005

not materially limit or alter the duties imposed on the workers' compen-
sation  board,  the  authority  and  other officers of the state by [the
special disability fund] EACH APPLICABLE  financing  agreement  and  the
bond  proceedings  authorizing  the  issuance  of  bonds with respect to
application of pledged assessments or other revenues, receipts, funds or
moneys pledged for the payment of debt service  requirements,  (B)  will
not  issue  any  bonds,  notes or other evidences of indebtedness, other
than the bonds AUTHORIZED BY THIS SECTION, having any rights arising out
of paragraph (h) of subdivision eight of section fifteen of the workers'
compensation law, SUBDIVISION THREE  OF  SECTION  TWENTY-FIVE-A  OF  THE
WORKERS' COMPENSATION LAW, SECTION ONE HUNDRED FIFTY-ONE OF THE WORKERS'
COMPENSATION  LAW  or  this section or secured by any pledge of or other
lien or charge on the pledged  revenues  or  other  receipts,  funds  or
moneys  pledged for the payment of debt service requirements; EXCEPT FOR
BONDS AUTHORIZED UNDER SECTION FIFTY-C 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 special disability fund] EACH
APPLICABLE 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, modi-
fy,  rescind, repeal or otherwise alter the rights or obligations of the
appropriate officers of the state to impose, maintain, charge or collect
the assessments and other revenues or receipts 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, provided, however, (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
subclause 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 exercis-
ing 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.
  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 pledges
and  agreements  by  the  state,  the attorney general may in his or her
discretion enforce any and all provisions related to the  special  disa-
bility fund, without limitation.

S. 6405                            58                            A. 9005

  S  31.  Paragraph (t) of subdivision 1 of section 1680-q of the public
authorities law, as added by section 35 of part GG of chapter 57 of  the
laws of 2013, is amended to read as follows:
  (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,] SUCH AGREEMENT may be amended.
  S  32.  Subdivision 1 of section 1680-q of the public authorities law,
as added by section 35 of part GG of chapter 57 of the laws of 2013,  is
amended by adding a new paragraph (u) to read as follows:
  (U)  "WORKERS' COMPENSATION LIABILITY INSURANCE POLICY" OR "ASSUMPTION
OF WORKERS' COMPENSATION LIABILITY INSURANCE POLICY"  MEANS  ANY  POLICY
EXECUTED BY THE CHAIR PURSUANT TO SUBPARAGRAPH (A) OF PARAGRAPH SEVEN OF
SUBDIVISION  THREE-A  OF  SECTION FIFTY OF THE WORKERS' COMPENSATION LAW
PROVIDING FOR THE ASSUMPTION OF ALL OR PART OF SUCH FURTHER  AND  FUTURE
CONTINGENT WORKERS' COMPENSATION LIABILITY AS MAY ARISE FROM PRIOR INJU-
RIES  TO  WORKERS. SUCH POLICY SHALL BE IN A FORM APPROVED BY THE SUPER-
INTENDENT OF FINANCIAL SERVICES AND ISSUED BY THE STATE  INSURANCE  FUND
OR  ANY  INSURANCE  COMPANY LICENSED TO ISSUE THIS CLASS OF INSURANCE IN
THIS STATE. IN THE EVENT THAT SUCH POLICY  IS  ISSUED  BY  AN  INSURANCE
COMPANY  OTHER  THAN THE STATE INSURANCE FUND, THEN SUCH POLICY SHALL BE
DEEMED OF THE KIND SPECIFIED IN PARAGRAPH FIFTEEN OF SUBSECTION  (A)  OF
SECTION  ONE  THOUSAND  ONE  HUNDRED  THIRTEEN  OF THE INSURANCE LAW AND
COVERED BY THE  WORKERS'  COMPENSATION  SECURITY  FUND  AS  CREATED  AND
GOVERNED BY ARTICLE SIX-A OF THE WORKERS' COMPENSATION LAW. SUCH A POLI-
CY  SHALL  ONLY  BE ISSUED FOR A SINGLE COMPLETE PREMIUM PAYMENT THAT IS
PAYABLE IN ADVANCE AND IN AN AMOUNT DEEMED ACCEPTABLE BY THE  CHAIR  AND
THE  SUPERINTENDENT OF FINANCIAL SERVICES. WHEN ISSUED SUCH POLICY SHALL
BE NONCANCELLABLE WITHOUT RECOURSE FOR ANY CAUSE DURING THE  CONTINUANCE
OF THE LIABILITY SECURED AND SO COVERED.
  S  33.  Subdivision 2 of section 1680-q of the public authorities law,
as added by section 35 of part GG of chapter 57 of the laws of 2013,  is
REPEALED and a new subdivision 2 is added to read as follows:
  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.
  S  34. Subparagraph (iii) of paragraph (a) of subdivision 5 of section
1680-q of the public authorities law, as added by section 35 of part  GG
of chapter 57 of the laws of 2013, is amended to read as follows:
  (iii) The authority shall have the power and is hereby authorized from
time to time to issue bonds, [in] AFTER consultation with the chair, the
commissioner  of taxation and finance and the director of the budget, to
refund any bonds issued under this section by the issuance of new bonds,
whether 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. 6405                            59                            A. 9005

  S 35. Paragraph (g) of subdivision 5 of section 1680-q of  the  public
authorities  law, as added by section 35 of part GG of chapter 57 of the
laws of 2013, is amended to read as follows:
  (g) The authority may enter into, amend or terminate, as it determines
to  be  necessary or appropriate, any ancillary bond facility [in] AFTER
consultation with the chair and director of the budget (i) to facilitate
the issuance, sale, resale, purchase, repurchase or  payment  of  bonds,
interest  rate  savings  or  market  diversification  or  the  making or
performance of interest rate exchange or similar  agreements,  including
without  limitation  bond  insurance,  letters  of  credit and liquidity
facilities, (ii) to attempt to manage or hedge risk or achieve a desira-
ble effective interest rate or cash flow, or (iii) to  place  the  obli-
gations  or investments 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] AFTER consultation with the chair and  director
of  the  budget, which facility may include without limitation contracts
commonly known as interest rate exchange or similar agreements,  forward
purchase  contracts  or  guaranteed  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  guaranteeing  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 termi-
nation thereof is necessary or appropriate as aforesaid shall be conclu-
sive. Any ancillary bond facility may contain  such  payment,  security,
default, remedy, and termination provisions and payments and other terms
and  conditions as determined by the authority, after giving due consid-
eration 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.
  S 36. Subdivision 8 of section 1680-q of the public  authorities  law,
as  added by section 35 of part GG of chapter 57 of the laws of 2013, is
amended to read as follows:
  8. All monies of the authority from whatever source derived, THAT  ARE
PLEDGED  PURSUANT TO THIS SECTION, 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 with-
drawn 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  practica-
ble,  and  consistent  with  the requirements of the authority, all such
monies shall be deposited in interest bearing  accounts.  The  authority
shall  have  power,  notwithstanding  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

S. 6405                            60                            A. 9005

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 SUCH 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.
  S 37. Clause (B) of subparagraph (iii) of paragraph (a) of subdivision
10 of section 1680-q of the public authorities law, as added by  section
35  of  part GG of chapter 57 of the laws of 2013, is amended to read as
follows:
  (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, SECTION ONE
HUNDRED FIFTY-ONE OF THE WORKERS' COMPENSATION LAW, or this  section  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 author-
ized under subdivision eight of section fifteen of the workers'  compen-
sation  law,  OR UNDER SUBDIVISION THREE OF SECTION TWENTY-FIVE-A OF THE
WORKERS' COMPENSATION LAW.
  S 38. The opening paragraph of section 3443 of the insurance  law,  as
added by chapter 924 of the laws of 1990, is amended to read as follows:
  An  insurer  issuing  a workers' compensation and employers' liability
insurance policy, [and a group self-insurer for  municipal  corporations
as  defined  in  subdivision  three-a  of  section fifty of the workers'
compensation law,] may offer, as part of the policy or  by  endorsement,
deductibles  optional to the policyholder for benefits payable under the
policy, subject to approval by the superintendent and subject to  under-
writing  by  the  insurer,  consistent  with  the following standards or
factors:
  S 39. This act shall take effect immediately; provided, however,  that
sections seventeen and eighteen of this act shall take effect January 1,
2017.

                                 PART H

  Section  1.  Section 200 of the workers' compensation law, as added by
chapter 600 of the laws of 1949, is amended to read as follows:
  S 200. Short title. This article shall be known and may  be  cited  as
the "disability benefits law AND THE PAID FAMILY LEAVE BENEFITS LAW."
  S  2.  Subdivision 14 of section 201 of the workers' compensation law,
as added by chapter 600 of the laws of 1949 and as renumbered by chapter
438 of the laws of 1964, is amended and eleven new subdivisions 15,  16,
17, 18, 19, 20, 21, 22, 23, 24 and 25 are added to read as follows:
  14.  "A  day  of  disability"  means any day on which the employee was
prevented from performing work because of disability, INCLUDING ANY  DAY
WHICH THE EMPLOYEE USES FOR FAMILY CARE, and for which [he] THE EMPLOYEE
has not received his OR HER regular remuneration.
  15. "FAMILY LEAVE" SHALL MEAN ANY LEAVE TAKEN BY AN EMPLOYEE FROM WORK
TO  PARTICIPATE  IN  PROVIDING CARE, INCLUDING PHYSICAL OR PSYCHOLOGICAL
CARE, FOR A FAMILY MEMBER OF THE EMPLOYEE MADE NECESSARY  BY  A  SERIOUS
HEALTH  CONDITION  OF  THE FAMILY MEMBER; OR TO BOND WITH THE EMPLOYEE'S
CHILD DURING THE FIRST TWELVE MONTHS AFTER THE  CHILD'S  BIRTH,  OR  THE
FIRST  TWELVE  MONTHS  AFTER  THE PLACEMENT OF THE CHILD FOR ADOPTION OR
FOSTER CARE WITH THE EMPLOYEE; OR BECAUSE OF ANY QUALIFYING EXIGENCY  AS

S. 6405                            61                            A. 9005

INTERPRETED  UNDER  THE  FAMILY  AND  MEDICAL  LEAVE  ACT,  29 U.S.C.S S
2612(A)(1)(E) AND 29 C.F.R.   S.825.126(A)(1)-(8), ARISING  OUT  OF  THE
FACT THAT THE SPOUSE, DOMESTIC PARTNER, CHILD, OR PARENT OF THE EMPLOYEE
IS ON ACTIVE DUTY (OR HAS BEEN NOTIFIED OF AN IMPENDING CALL OR ORDER TO
ACTIVE DUTY) IN THE ARMED FORCES OF THE UNITED STATES.
  16.  "CHILD" MEANS A BIOLOGICAL, ADOPTED, OR FOSTER SON OR DAUGHTER, A
STEPSON OR STEPDAUGHTER, A LEGAL WARD, A SON OR DAUGHTER OF  A  DOMESTIC
PARTNER, OR THE PERSON TO WHOM THE EMPLOYEE STANDS IN LOCO PARENTIS.
  17.  "DOMESTIC  PARTNER"  HAS THE SAME MEANING AS SET FORTH IN SECTION
FOUR OF THIS CHAPTER.
  18. "SERIOUS HEALTH CONDITION" MEANS AN ILLNESS,  INJURY,  IMPAIRMENT,
OR PHYSICAL OR MENTAL CONDITION THAT INVOLVES INPATIENT CARE IN A HOSPI-
TAL,  HOSPICE, OR RESIDENTIAL HEALTH CARE FACILITY, OR CONTINUING TREAT-
MENT OR CONTINUING SUPERVISION BY A HEALTH CARE PROVIDER  AND  REQUIRING
ASSISTANCE TO PERFORM THE ACTIVITIES OF DAILY LIVING.
  19.  "PARENT"  MEANS  A  BIOLOGICAL,  FOSTER,  OR  ADOPTIVE  PARENT, A
PARENT-IN-LAW, A STEPPARENT, A LEGAL GUARDIAN, OR OTHER PERSON WHO STOOD
IN LOCO PARENTIS TO THE EMPLOYEE WHEN THE EMPLOYEE WAS A CHILD.
  20. "FAMILY MEMBER" MEANS A CHILD,  PARENT,  GRANDPARENT,  GRANDCHILD,
SIBLING, SPOUSE, OR DOMESTIC PARTNER AS DEFINED IN THIS SECTION.
  21. "GRANDCHILD" MEANS A CHILD OF THE EMPLOYEE'S CHILD.
  22.  "HEALTH CARE PROVIDER" SHALL MEAN A PERSON LICENSED UNDER ARTICLE
ONE  HUNDRED  THIRTY-ONE,  ONE   HUNDRED   THIRTY-ONE-B,   ONE   HUNDRED
THIRTY-TWO,  ONE  HUNDRED  THIRTY-THREE,  ONE  HUNDRED  THIRTY-SIX,  ONE
HUNDRED THIRTY-NINE, ONE HUNDRED FORTY-ONE, ONE HUNDRED FORTY-THREE, ONE
HUNDRED FORTY-FOUR, ONE HUNDRED FIFTY-THREE, ONE HUNDRED FIFTY-FOUR, ONE
HUNDRED FIFTY-SIX OR ONE HUNDRED FIFTY-NINE OF THE EDUCATION  LAW  OR  A
PERSON LICENSED UNDER THE PUBLIC HEALTH LAW.
  23. "GRANDPARENT" MEANS A PARENT OF THE EMPLOYEE'S PARENT.
  24.  "SIBLING"  MEANS  A  PERSON  RELATED  TO ANOTHER PERSON BY BLOOD,
ADOPTION, OR AFFINITY THROUGH A COMMON LEGAL OR BIOLOGICAL PARENT.
  25. "FAMILY CARE" SHALL MEAN ANY LEAVE TAKEN BY AN EMPLOYEE FROM WORK:
  (A) TO PARTICIPATE IN PROVIDING CARE, INCLUDING PHYSICAL OR PSYCHOLOG-
ICAL CARE, FOR A FAMILY MEMBER OF THE EMPLOYEE MADE NECESSARY BY A SERI-
OUS HEALTH CONDITION OF THE FAMILY MEMBER; OR
  (B) TO BOND WITH THE EMPLOYEE'S CHILD DURING THE FIRST  TWELVE  MONTHS
AFTER  THE CHILD'S BIRTH, OR THE FIRST TWELVE MONTHS AFTER THE PLACEMENT
OF THE CHILD FOR ADOPTION OR FOSTER CARE WITH THE EMPLOYEE; OR
  (C) BECAUSE OF ANY QUALIFYING EXIGENCY AS INTERPRETED UNDER THE FAMILY
AND MEDICAL LEAVE ACT,  29  U.S.C.  S  2612(A)(1)(E)  AND  29  C.F.R.  S
825.126(A)(1)-(8),  ARISING  OUT  OF  THE FACT THAT THE SPOUSE, DOMESTIC
PARTNER, CHILD, OR PARENT OF THE EMPLOYEE IS ON ACTIVE DUTY OR HAS  BEEN
NOTIFIED OF AN IMPENDING CALL OR ORDER TO ACTIVE DUTY IN THE ARMED FORC-
ES OF THE UNITED STATES.
  S 3. Section 203 of the workers' compensation law, as amended by chap-
ter 436 of the laws of 1986, is amended to read as follows:
  S  203. Employees eligible for benefits under section two hundred four
OF THIS ARTICLE.  Employees in employment of a covered employer for four
or more consecutive weeks and employees in employment  during  the  work
period usual to and available during such four or more consecutive weeks
in  any  trade  or  business in which they are regularly employed and in
which hiring from day to day of such employees is the  usual  employment
practice  shall  be eligible for disability AND FAMILY LEAVE benefits as
provided in section two hundred  four  OF  THIS  ARTICLE.    EVERY  SUCH
EMPLOYEE  SHALL  CONTINUE  TO BE ELIGIBLE FOR FAMILY LEAVE BENEFITS ONLY
DURING EMPLOYMENT WITH A COVERED EMPLOYER.  Every  such  employee  shall

S. 6405                            62                            A. 9005

continue  to  be eligible FOR DISABILITY BENEFITS during such employment
and for a period of four weeks after such employment terminates  regard-
less  of  whether  the  employee  performs  any work for remuneration or
profit  in  non-covered  employment. If during such four week period the
employee performs any  work  for  remuneration  or  profit  for  another
covered employer the employee shall become eligible for DISABILITY bene-
fits immediately with respect to that employment. In addition every such
employee  who HAS PREVIOUSLY COMPLETED FOUR OR MORE CONSECUTIVE WEEKS IN
EMPLOYMENT WITH THE COVERED EMPLOYER AND returns to work with  the  same
employer  after an agreed and specified unpaid leave of absence or vaca-
tion without pay shall become eligible for DISABILITY AND  FAMILY  LEAVE
benefits  immediately  with  respect to such employment. An employee who
during a period in which he or she is eligible to receive benefits under
subdivision two of section two hundred seven OF THIS ARTICLE returns  to
employment  with  a  covered  employer  and an employee who is currently
receiving unemployment insurance benefits or benefits under section  two
hundred  seven  OF  THIS  ARTICLE  and  who returns to employment with a
covered employer shall become eligible  for  DISABILITY  benefits  imme-
diately  with  respect to such employment.  An employee regularly in the
employment of a single employer on a work schedule less than the employ-
er's normal work week shall become eligible for  DISABILITY  AND  FAMILY
LEAVE  benefits  on  the twenty-fifth day of such regular employment. An
employee who [becomes disabled while] IS  eligible  for  DISABILITY  AND
FAMILY  LEAVE benefits in the employment of a covered employer shall not
be deemed, for the purposes of this article,  to  have  such  employment
terminated  during  any period he or she is eligible to receive benefits
under section two hundred four OF THIS  ARTICLE  with  respect  to  such
employment.
  S  4.  The  workers'  compensation  law  is  amended by adding two new
sections 203-a and 203-b to read as follows:
  S 203-A. RETALIATORY  ACTION  PROHIBITED  FOR  FAMILY  LEAVE.  1.  THE
PROVISIONS OF SECTION ONE HUNDRED TWENTY OF THIS CHAPTER AND SECTION TWO
HUNDRED FORTY-ONE OF THIS ARTICLE SHALL BE APPLICABLE TO FAMILY LEAVE.
  2.  NOTHING  IN  THIS  SECTION SHALL BE DEEMED TO DIMINISH THE RIGHTS,
PRIVILEGES, OR REMEDIES OF ANY EMPLOYEE UNDER ANY COLLECTIVE  BARGAINING
AGREEMENT OR EMPLOYMENT CONTRACT.
  S  203-B.  REINSTATEMENT FOLLOWING FAMILY LEAVE. ANY ELIGIBLE EMPLOYEE
OF A COVERED EMPLOYER WHO TAKES LEAVE UNDER THIS SECTION SHALL BE  ENTI-
TLED,  ON  RETURN FROM SUCH LEAVE, TO BE RESTORED BY THE EMPLOYER TO THE
POSITION OF EMPLOYMENT HELD BY THE EMPLOYEE WHEN THE LEAVE COMMENCED, OR
TO BE RESTORED TO A COMPARABLE POSITION WITH COMPARABLE EMPLOYMENT BENE-
FITS, PAY AND OTHER TERMS AND CONDITIONS OF EMPLOYMENT.  THE  TAKING  OF
FAMILY  LEAVE  SHALL  NOT  RESULT  IN THE LOSS OF ANY EMPLOYMENT BENEFIT
ACCRUED PRIOR TO THE DATE ON WHICH THE LEAVE COMMENCED.  NOTHING IN THIS
SECTION SHALL BE CONSTRUED TO  ENTITLE  ANY  RESTORED  EMPLOYEE  TO  THE
ACCRUAL  OF  ANY  SENIORITY  OR EMPLOYMENT BENEFITS DURING ANY PERIOD OF
LEAVE, OR ANY RIGHT, BENEFIT OR POSITION TO  WHICH  THE  EMPLOYEE  WOULD
HAVE BEEN ENTITLED HAD THE EMPLOYEE NOT TAKEN THE LEAVE.
  S 5. Section 204 of the workers' compensation law, as added by chapter
600  of  the laws of 1949, subdivision 2 as amended by chapter 38 of the
laws of 1989, is amended to read as follows:
  S 204. Disability AND FAMILY LEAVE during  employment.  1.  Disability
benefits  shall  be  payable  to  an  eligible employee for disabilities
[commencing after June thirtieth,  nineteen  hundred  fifty],  beginning
with  the  eighth  [consecutive] day of disability and thereafter during
the continuance of disability, subject to the limitations as to  maximum

S. 6405                            63                            A. 9005

and minimum amounts and duration and other conditions and limitations in
this  section  and  in  sections two hundred five and two hundred six OF
THIS ARTICLE.  FAMILY LEAVE BENEFITS SHALL BE  PAYABLE  TO  AN  ELIGIBLE
EMPLOYEE FOR THE FIRST FULL DAY WHEN FAMILY LEAVE IS REQUIRED AND THERE-
AFTER  DURING  THE  CONTINUANCE OF THE NEED FOR FAMILY LEAVE, SUBJECT TO
THE LIMITATIONS AS TO MAXIMUM AND MINIMUM AMOUNTS AND DURATION AND OTHER
CONDITIONS AND LIMITATIONS IN THIS SECTION AND IN SECTIONS  TWO  HUNDRED
FIVE AND TWO HUNDRED SIX OF THIS ARTICLE. Successive periods of disabil-
ity  caused  by the same or related injury or sickness shall be deemed a
single period of disability OR FAMILY LEAVE only if  separated  by  less
than three months.
  2. (A) THE WEEKLY BENEFIT FOR FAMILY LEAVE THAT OCCURS (I) ON OR AFTER
JANUARY FIRST, TWO THOUSAND EIGHTEEN SHALL BE THIRTY-FIVE PERCENT OF THE
EMPLOYEE'S  AVERAGE WEEKLY WAGE BUT SHALL NOT EXCEED THIRTY-FIVE PERCENT
OF THE STATE AVERAGE WEEKLY WAGE, (II) ON OR AFTER  JANUARY  FIRST,  TWO
THOUSAND NINETEEN SHALL BE FORTY PERCENT OF THE EMPLOYEE'S AVERAGE WEEK-
LY  WAGE  BUT SHALL NOT EXCEED FORTY PERCENT OF THE STATE AVERAGE WEEKLY
WAGE, (III) ON OR AFTER JANUARY FIRST,  TWO  THOUSAND  TWENTY  SHALL  BE
FORTY-FIVE  PERCENT  OF THE EMPLOYEE'S AVERAGE WEEKLY WAGE BUT SHALL NOT
EXCEED FORTY-FIVE PERCENT OF THE STATE AVERAGE WEEKLY WAGE, AND (IV)  ON
OR  AFTER  JANUARY FIRST OF EACH SUCCEEDING YEAR, SHALL BE FIFTY PERCENT
OF THE EMPLOYEE'S AVERAGE WEEKLY WAGE BUT SHALL NOT EXCEED FIFTY PERCENT
OF THE NEW YORK STATE AVERAGE WEEKLY WAGE IN EFFECT.   THE WEEKLY  BENE-
FITS  FOR  FAMILY LEAVE THAT OCCURS ON OR AFTER JANUARY FIRST, TWO THOU-
SAND EIGHTEEN 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.
  (B) The weekly benefit which the  disabled  employee  is  entitled  to
receive  for  disability  commencing  on  or  after  May first, nineteen
hundred eighty-nine shall be one-half of the employee's weekly wage, but
in no case shall such benefit exceed one hundred seventy dollars; except
that if the employee's average weekly wage is less than twenty  dollars,
the  benefit shall be such average weekly wage. The weekly benefit which
the disabled employee is entitled to receive for  disability  commencing
on  or  after July first, nineteen hundred eighty-four shall be one-half
of the employee's weekly wage, but in no case shall such benefit  exceed
one  hundred  forty-five  dollars; except that if the employee's average
weekly wage is less than twenty dollars, the benefit shall be such aver-
age weekly wage. The weekly benefit which the disabled employee is enti-
tled to receive for disability commencing on or after July first,  nine-
teen  hundred  eighty-three  and  prior  to July first, nineteen hundred
eighty-four shall be one-half of the employee's average weekly wage, but
in no case shall such benefit exceed one hundred thirty-five dollars nor
be less than twenty dollars; except that if the employee's average week-
ly wage is less than twenty dollars the benefit shall  be  such  average
weekly  wage. The weekly benefit which the disabled employee is entitled
to receive for disability commencing on or after  July  first,  nineteen
hundred  seventy-four, and prior to July first, nineteen hundred eighty-
three, shall be one-half of the employee's average weekly wage,  but  in
no  case  shall such benefit exceed ninety-five dollars nor be less than
twenty dollars; except that if the employee's  average  weekly  wage  is
less than twenty dollars, the benefit shall be such average weekly wage.
The  weekly  benefit  which the disabled employee is entitled to receive
for disability commencing on  or  after  July  first,  nineteen  hundred
seventy  and prior to July first, nineteen hundred seventy-four shall be

S. 6405                            64                            A. 9005

one-half of the employee's average weekly wage, but  in  no  case  shall
such  benefit  exceed  seventy-five  dollars  nor  be  less  than twenty
dollars; except that if the employee's average weekly wage is less  than
twenty  dollars  the benefit shall be such average weekly wage.  For any
period of disability less than a full week, the benefits  payable  shall
be  calculated  by  dividing  the  weekly  benefit  by the number of the
employee's normal work days per week and multiplying the quotient by the
number of normal work days in such  period  of  disability.  The  weekly
benefit  for  a disabled employee who is concurrently eligible for bene-
fits in the employment of more than one covered employer  shall,  within
the maximum and minimum herein provided, be one-half of the total of the
employee's  average  weekly wages received from all such covered employ-
ers, and shall be allocated in the proportion of their respective  aver-
age weekly wage payments.
  S 6. Section 205 of the workers' compensation law, as added by chapter
600  of the laws of 1949, subdivision 1 as amended by chapter 651 of the
laws of 1958, subdivision 2 as amended by chapter 270  of  the  laws  of
1990,  subdivision  5 as amended by chapter 288 of the laws of 1970, and
subdivisions 3, 4, 5, 6, 7 and 8 as renumbered by  chapter  352  of  the
laws of 1981, is amended to read as follows:
  S  205.  Disabilities, FAMILY LEAVE and [disability] periods for which
benefits are not payable. 1. No employee shall be entitled to DISABILITY
benefits under this article:
  [1.] (A) For more than twenty-six weeks during a period  of  fifty-two
consecutive  calendar  weeks  or during any one period of disability, OR
FOR MORE THAN TWENTY-SIX WEEKS MINUS ANY DAYS  TAKEN  FOR  FAMILY  LEAVE
DURING ANY FIFTY-TWO CONSECUTIVE CALENDAR WEEKS;
  [2.]  (B) for any period of disability during which an employee is not
under the care of a duly licensed [physician or with respect to disabil-
ity resulting from a condition of the foot which may lawfully be treated
by a duly registered and licensed podiatrist of the state of New York or
with respect to a  disability  resulting  from  a  condition  which  may
lawfully  be  treated  by a duly registered and licensed chiropractor of
the state of New York or with respect to a disability resulting  from  a
condition  which  may  lawfully be treated by a duly licensed dentist of
the state of New York or with respect to a disability resulting  from  a
condition  which  may  lawfully  be  treated  by  a  duly registered and
licensed psychologist of the state of New York  or  with  respect  to  a
disability resulting from a condition which may lawfully be treated by a
duly  certified  nurse midwife, for any period of such disability during
which an employee is neither under the care of a physician nor a  podia-
trist,  nor  a  chiropractor,  nor  a dentist, nor a psychologist, nor a
certified nurse midwife] HEALTH CARE PROVIDER; and  for  any  period  of
disability  during  which an employee who adheres to the faith or teach-
ings of any church or denomination and who in accordance with its creed,
tenets or principles depends for healing upon prayer  through  spiritual
means  alone  in  the  practice  of religion, is not under the care of a
practitioner duly accredited by the church or denomination, and provided
such employee shall submit to all physical examinations as  required  by
this chapter.
  2.  NO  EMPLOYEE SHALL BE ENTITLED TO FAMILY LEAVE BENEFITS UNDER THIS
ARTICLE:
  (A) FOR MORE THAN TWELVE WEEKS DURING A PERIOD  OF  FIFTY-TWO  CONSEC-
UTIVE   CALENDAR  WEEKS,  OR  WHEN  AN  EMPLOYEE  HAS  ALREADY  RECEIVED
TWENTY-SIX WEEKS OF DISABILITY BENEFITS, OR FOR ANY PERIOD IN WHICH  THE
FAMILY  LEAVE  COMBINED  WITH  THE  DISABILITY  BENEFITS PREVIOUSLY PAID

S. 6405                            65                            A. 9005

EXCEEDS TWENTY-SIX WEEKS DURING THE SAME FIFTY-TWO CONSECUTIVE  CALENDAR
WEEKS;
  (B)  FOR  ANY  PERIOD  OF  FAMILY LEAVE WHEREIN THE NOTICE AND MEDICAL
CERTIFICATION AS PRESCRIBED BY THE CHAIR HAS  NOT  BEEN  FILED.  AT  THE
DISCRETION  OF  THE  CHAIR OR CHAIR'S DESIGNEE, THE FAMILY MEMBER WHO IS
THE RECIPIENT OF CARE MAY BE REQUIRED TO SUBMIT TO A  PHYSICAL  EXAMINA-
TION BY A QUALIFIED HEALTH CARE PROVIDER. SUCH EXAMINATION SHALL BE PAID
FOR BY THE CARRIER.
  (C)  AS  A  CONDITION OF AN EMPLOYEE'S INITIAL RECEIPT OF FAMILY LEAVE
BENEFITS DURING ANY TWELVE-MONTH PERIOD IN WHICH AN EMPLOYEE IS ELIGIBLE
FOR THESE BENEFITS, AN EMPLOYER MAY REQUIRE AN EMPLOYEE WHO HAS  ACCRUED
BUT  UNUSED VACATION TIME OR PERSONAL LEAVE AVAILABLE AT THE TIME OF USE
OF AVAILABLE FAMILY LEAVE TO CHOOSE WHETHER TO CHARGE  TIME  TO  ACCRUED
BUT  UNUSED  VACATION  OR PERSONAL LEAVE, AND RECEIVE FULL SALARY, OR TO
NOT CHARGE TIME TO ACCRUED BUT UNUSED VACATION OR  PERSONAL  LEAVE,  AND
RECEIVE  THE  BENEFIT  AS  SET FORTH IN SECTION TWO HUNDRED FOUR OF THIS
ARTICLE. WITH THE ELECTION OF EITHER OPTION, THE EMPLOYEE SHALL  RECEIVE
THE  FULL PROTECTION OF THE REINSTATEMENT PROVISION SET FORTH IN SECTION
TWO HUNDRED THREE-B OF THIS ARTICLE, AND SHALL CONCURRENTLY  USE  AVAIL-
ABLE FAMILY MEDICAL LEAVE ACT AND PAID FAMILY LEAVE CREDITS. IN NO EVENT
CAN  AN  EMPLOYEE  UTILIZE  FAMILY LEAVE BEYOND THE TWELVE WEEKS PER ANY
FIFTY-TWO WEEK PERIOD SET FORTH IN THIS ARTICLE. THIS PARAGRAPH MAY  NOT
BE  CONSTRUED  IN  A  MANNER  THAT  RELIEVES  AN EMPLOYER OF ANY DUTY OF
COLLECTIVE BARGAINING THE EMPLOYER MAY HAVE WITH RESPECT TO THE  SUBJECT
MATTER OF THIS PARAGRAPH.
  3.  NO  EMPLOYEE SHALL BE ENTITLED TO DISABILITY OR FAMILY LEAVE BENE-
FITS UNDER THIS ARTICLE:
  (A) for any disability occasioned  by  the  wilful  intention  of  the
employee to bring about injury to or the sickness of himself or another,
or  resulting  from any injury or sickness sustained in the perpetration
by the employee of an illegal act;
  [4.] (B) for any day of disability OR FAMILY LEAVE  during  which  the
employee performed work for remuneration or profit;
  [5.]  (C)  for  any  day  of  disability OR FAMILY LEAVE for which the
employee is entitled to receive from his OR HER employer, or from a fund
to which the employer has contributed, remuneration or maintenance in an
amount equal to or greater than that to which he OR SHE would  be  enti-
tled  under this article; but any voluntary contribution or aid which an
employer may make to an employee or any supplementary benefit paid to an
employee pursuant to the provisions of a collective bargaining agreement
or from a trust fund to which contributions are  made  pursuant  to  the
provisions  of a collective bargaining agreement shall not be considered
as continued remuneration or maintenance for this purpose;
  [6.] (D) for any period in respect to which such employee  is  subject
to  suspension  or  disqualification of the accumulation of unemployment
insurance benefit rights, or would be subject if he OR SHE were eligible
for such benefit rights, except for  ineligibility  resulting  from  the
employee's disability;
  [7.]  (E)  for any disability due to any act of war, declared or unde-
clared[, if such act shall occur after June thirtieth, nineteen  hundred
fifty];
  [8.]  (F)  for  any  disability  OR FAMILY LEAVE commencing before the
employee becomes eligible to benefits [hereunder or commencing prior  to
July first, nineteen hundred fifty, but this shall not preclude benefits
for recurrence after July first, nineteen hundred fifty, of a disability
commencing prior thereto] UNDER THIS SECTION.

S. 6405                            66                            A. 9005

  4.  AN EMPLOYEE WHO HAS GIVEN BIRTH SHALL SELECT WHETHER SHE WILL SEEK
BENEFITS PURSUANT TO SUBDIVISION ONE OR TWO OF THIS SECTION. AN EMPLOYEE
MAY NOT SEEK BENEFITS CONCURRENTLY UNDER BOTH SUBDIVISIONS ONE  AND  TWO
OF THIS SECTION FOLLOWING CHILDBIRTH.
  S 7. Section 206 of the workers' compensation law, as amended by chap-
ter 699 of the laws of 1956, paragraph (a) of subdivision 1 as separate-
ly amended by chapters 699 and 929 of the laws of 1956 and subdivision 2
as  amended  by  chapter  24  of the laws of 1988, is amended to read as
follows:
  S 206. Non-duplication of benefits. 1. No DISABILITY benefits shall be
payable under section two hundred four or  two  hundred  seven  OF  THIS
ARTICLE:
  (a)  in  a  weekly benefit amount which, together with any amount that
the employee receives or is entitled to receive for the same  period  or
any  part thereof as a permanent disability benefit or annuity under any
governmental system or program,  except  under  a  veteran's  disability
program,  or  under  any  permanent  disability  policy or program of an
employer for whom he OR SHE has performed  services,  would,  if  appor-
tioned to weekly periods, exceed his OR HER weekly benefit amount [here-
under]  UNDER  THIS  SECTION,  provided  however, that there shall be no
offset against the benefits set forth in this article if the  claim  for
disability  benefits  is  based on a disability other than the permanent
disability for which the aforesaid permanent disability benefit or annu-
ity was granted;
  (b) with respect to any week for which payments are received under the
unemployment insurance law or similar law of this state or of any  other
state or of the United States;
  (c)  subject to the provisions of subdivision two of this section, for
any period with respect to which benefits, compensation or other  allow-
ances  (other  than  [workmen's]  WORKERS'  compensation  benefits for a
permanent partial disability occurring prior to the disability for which
benefits are claimed hereunder) are paid or payable under this  chapter,
the volunteer [firemen's] FIREFIGHTERS' benefit law, or any other [work-
men's]  WORKERS'  compensation  act, occupational disease act or similar
law, or under any employers' liability act or  similar  law;  under  any
other temporary disability or cash sickness benefits act or similar law;
under  section  six hundred eighty-eight, title forty-six, United States
code; under the federal employers' liability act; or under the  maritime
doctrine of maintenance, wages and cure.
  2.  If  an  employee  who  is  eligible  for DISABILITY benefits under
section two hundred three or two hundred seven OF THIS ARTICLE is  disa-
bled  and has claimed or subsequently claims workers' compensation bene-
fits under this chapter or benefits under  the  volunteer  firefighters'
benefit  law  or  the volunteer ambulance workers' benefit law, and such
claim is controverted on the ground that the employee's  disability  was
not  caused  by  an  accident that arose out of and in the course of his
employment or by an occupational disease, or by an  injury  in  line  of
duty  as  a  volunteer  firefighter  or  volunteer ambulance worker, the
employee shall be entitled in the first  instance  to  receive  benefits
under this article for his OR HER disability. If benefits have been paid
under this article in respect to a disability alleged to have arisen out
of  and  in the course of the employment or by reason of an occupational
disease, or in line of duty as a volunteer firefighter  or  a  volunteer
ambulance  worker,  the  employer or carrier or the chairman making such
payment may, at any time before award of workers' compensation benefits,
or volunteer firefighters'  benefits  or  volunteer  ambulance  workers'

S. 6405                            67                            A. 9005

benefits,  is made, file with the board a claim for reimbursement out of
the proceeds of such award to the employee  for  the  period  for  which
disability  benefits  were  paid to the employee under this article, and
shall  have  a lien against the award for reimbursement, notwithstanding
the provisions of section thirty-three of this chapter or section  twen-
ty-three  of  the volunteer firefighters' benefit law or section twenty-
three of the volunteer  ambulance  workers'  benefit  law  provided  the
insurance  carrier liable for payment of the award receives, before such
award is made, a copy of the claim for reimbursement from the  employer,
carrier  or  [chairman]  CHAIR who paid disability benefits, or provided
the board's decision and award directs such reimbursement therefrom.
  3. NO FAMILY LEAVE BENEFITS SHALL BE PAYABLE UNDER SECTION TWO HUNDRED
FOUR OF THIS ARTICLE:
  (A) DURING PERIODS WHEN THE EMPLOYEE  IS  RECEIVING  WORKERS'  COMPEN-
SATION  LOST  WAGE  BENEFITS, BENEFITS UNDER THE VOLUNTEER FIREFIGHTERS'
BENEFIT LAW OR THE VOLUNTEER AMBULANCE WORKERS' BENEFIT LAW OR UNDER ANY
STATE'S LAW;
  (B) TO AN EMPLOYEE WHO IS NOT EMPLOYED OR IS ON  ADMINISTRATIVE  LEAVE
FROM HIS OR HER EMPLOYMENT;
  (C)  TO  AN  EMPLOYEE  DURING PERIODS WHERE THE EMPLOYEE IS COLLECTING
SICK PAY OR PAID TIME OFF FROM THE EMPLOYER; AND
  (D) FOR ANY DAY IN WHICH CLAIMANT WORKS AT LEAST PART OF THAT DAY  FOR
RENUMERATION OR PROFIT.
  4.  UNLESS  OTHERWISE  EXPRESSLY  PERMITTED  BY THE EMPLOYER, BENEFITS
AVAILABLE UNDER 29 U.S. CODE CHAPTER 28 (THE FAMILY  AND  MEDICAL  LEAVE
ACT)  MUST  BE USED CONCURRENTLY WITH FAMILY LEAVE BENEFITS. AN EMPLOYER
SHALL NOT BE REQUIRED TO PERMIT  TWELVE  ADDITIONAL  WEEKS  OF  BENEFITS
FOLLOWING EXHAUSTION OF THE TWELVE WEEKS OF PAID FAMILY LEAVE BENEFITS.
  5.  ONLY  ONE EMPLOYEE MAY USE FAMILY LEAVE FOR THE SAME FAMILY MEMBER
FOR THE SAME PERIOD OF LEAVE.
  S 8. Section 207 of the workers' compensation law is amended by adding
a new subdivision 5 to read as follows:
  5. THE FOREGOING PROVISIONS OF THIS SECTION SHALL NOT APPLY TO  FAMILY
LEAVE  BENEFITS, AS FAMILY LEAVE BENEFITS ARE NOT AVAILABLE TO EMPLOYEES
THAT ARE NOT EMPLOYED AT THE TIME FAMILY LEAVE IS  REQUESTED  BY  FILING
THE NOTICE AND MEDICAL CERTIFICATION REQUIRED BY THE CHAIR.
  S 9. Section 208 of the workers' compensation law, as added by chapter
600  of the laws of 1949, subdivision 1 as amended by chapter 314 of the
laws of 2010, is amended to read as follows:
  S 208. Payment of disability AND FAMILY LEAVE benefits.   1.  Benefits
provided under this article shall be paid periodically and promptly and,
except  as  to a contested period of disability OR FAMILY LEAVE, without
any decision by the board, OR BOARD DESIGNEE OF THE CHAIR.    The  first
payment of benefits shall be due on the fourteenth day of disability and
benefits  for  that period shall be paid directly to the employee within
four business days thereafter or within four  business  days  after  the
filing  of  required  proof of claim, whichever is the later. Thereafter
benefits shall be due and payable bi-weekly in like manner. The  [chair-
man]  CHAIR  OR CHAIR'S DESIGNEE may determine that benefits may be paid
monthly or semi-monthly if wages were so paid, and may  authorize  devi-
ation  from  the  foregoing requirements to facilitate prompt payment of
benefits. Any inquiry which requires the employee's response in order to
continue benefits uninterrupted or unmodified shall provide a reasonable
time period in which to respond and include a clear and prominent state-
ment of the deadline for  responding  and  consequences  of  failing  to
respond.

S. 6405                            68                            A. 9005

  2.  The [chairman] CHAIR AND SUPERINTENDENT OF FINANCIAL SERVICES may,
whenever such information is deemed necessary, require  any  carrier  to
file  in  form prescribed by the [chairman] CHAIR a report or reports as
to any claim or claims, including  (but  without  limitation)  dates  of
commencement  and termination of benefit payments and amount of benefits
paid under this article. The  [chairman]  CHAIR  AND  SUPERINTENDENT  OF
FINANCIAL  SERVICES  may also require annually information in respect to
the aggregate of benefits paid, the number of claims allowed and  disal-
lowed,  the average benefits and duration of benefit periods, the amount
of payrolls covered and such other information as the  [chairman]  CHAIR
may  deem  necessary  for the purposes of administering this article. If
the carrier is providing benefits in respect to more than one  employer,
the  [chairman]  CHAIR  AND  SUPERINTENDENT  OF  FINANCIAL  SERVICES may
require that such information be shown separately as to those  employers
who  are  providing only benefits that are substantially the same as the
benefits required in this article.   THE  CHAIR  AND  SUPERINTENDENT  OF
FINANCIAL  SERVICES  MAY  PRESCRIBE  THE  FORMAT  OF SUCH REPORT AND MAY
PROMULGATE REGULATIONS TO EFFECTUATE THIS ARTICLE.
  S 10. Section 209 of the workers' compensation law, as added by  chap-
ter  600 of the laws of 1949, subdivision 3 as amended by chapter 415 of
the laws of 1983 and subdivision 4 as amended by chapter 134 of the laws
of 1952, is amended to read as follows:
  S 209. Contribution of employees for disability AND FAMILY LEAVE bene-
fits. 1.  Every employee in the employment of a covered employer shall[,
on and after January first, nineteen hundred fifty,] contribute  to  the
cost of providing disability AND AFTER JANUARY FIRST, TWO THOUSAND EIGH-
TEEN, FAMILY LEAVE benefits under this article, to the extent and in the
manner herein provided.
  2.  The special contribution of each such employee to the accumulation
of funds to  provide  benefits  for  disabled  unemployed  shall  be  as
provided  in  subdivision  one  of  section two hundred fourteen OF THIS
ARTICLE.
  3. (A) DISABILITY BENEFITS. The contribution of each such employee  to
the  cost  of disability benefits provided by this article shall be one-
half of one per centum of the employee's wages paid to him OR HER on and
after July first, nineteen hundred fifty, but not  in  excess  of  sixty
cents per week.
  (B)  FAMILY LEAVE BENEFITS. ON SEPTEMBER FIRST, TWO THOUSAND SEVENTEEN
AND ANNUALLY THEREAFTER THE SUPERINTENDENT OF FINANCIAL  SERVICES  SHALL
SET  THE  MAXIMUM  EMPLOYEE  CONTRIBUTION, USING THE REPORTS PROVIDED IN
SECTION TWO HUNDRED EIGHT OF THIS ARTICLE, AND CONSISTENT WITH THE PRIN-
CIPLE THAT THE COSTS OF  FAMILY  LEAVE  SHOULD  BE  FUNDED  ONE  HUNDRED
PERCENT BY EMPLOYEE PAYROLL CONTRIBUTION.
  4. Notwithstanding any other provision of law, the employer is author-
ized  to collect from his OR HER employees, except as otherwise provided
in any plan or agreement under the provisions of  subdivisions  four  or
five  of  section  two  hundred eleven OF THIS ARTICLE, the contribution
provided under subdivisions two  and  three  OF  THIS  SECTION,  through
payroll  deductions.  If  the  employer shall not make deduction for any
payroll period he OR SHE may thereafter, but not later  than  one  month
after  payment  of  wages,  collect  such  contribution  through payroll
deduction.
  5. In collecting employee contributions  through  payroll  deductions,
the  employer  shall  act as the agent of his OR HER employees and shall
use the contributions only to provide disability AND FAMILY LEAVE  bene-
fits  as required by this article. IN NO EVENT MAY THE EMPLOYEE'S ANNUAL

S. 6405                            69                            A. 9005

CONTRIBUTION FOR FAMILY LEAVE EXCEED HIS OR HER PRO RATA  SHARE  OF  THE
ACTUAL  ANNUAL  PREMIUM CHARGED FOR THE SAME YEAR AND MUST BE DETERMINED
CONSISTENT WITH THE PRINCIPLE THAT EMPLOYEES SHOULD PAY THE TOTAL  COSTS
OF  FAMILY LEAVE PREMIUM. IN NO EVENT MAY THE EMPLOYEE'S WEEKLY CONTRIB-
UTION FOR DISABILITY PREMIUM EXCEED ONE-HALF OF ONE PER  CENTUM  OF  THE
EMPLOYEE'S  WAGES  PAID  TO HIM OR HER, BUT NOT IN EXCESS OF SIXTY CENTS
PER WEEK. After June thirtieth, nineteen hundred fifty, if the  employer
is not providing, or to the extent that he OR SHE is not then providing,
for the payment of disability benefits to his OR HER employees by insur-
ing  with  the  state  fund or with another insurance carrier, he OR SHE
shall keep the contributions of his OR  HER  employees  as  trust  funds
separate  and apart from all other funds of the employer. The payment of
such contributions by the  employer  to  a  carrier  providing  for  the
payment  of such benefits shall discharge the employer from responsibil-
ity with respect to such contributions.
  S 11. Section 210 of the workers' compensation law, as added by  chap-
ter 600 of the laws of 1949, is amended to read as follows:
  S 210. Employer contributions. 1. Every covered employer shall, on and
after  January  first,  nineteen  hundred  fifty, contribute the cost of
providing disability AND FAMILY LEAVE benefits in excess of the contrib-
utions collected from his OR HER employees, to the  extent  and  in  the
manner provided in this article.
  2.  The  special  contribution of each covered employer to the accumu-
lation of funds to provide benefits for disabled unemployed shall be  as
provided  in  subdivision  one  of  section two hundred fourteen OF THIS
ARTICLE.
  3. The contribution of every covered employer to the cost of providing
disability benefits after June thirtieth, nineteen  hundred  fifty,  AND
PROVIDING  DISABILITY AND FAMILY LEAVE BENEFITS AFTER JANUARY FIRST, TWO
THOUSAND EIGHTEEN, shall be the excess of such cost over the  amount  of
the contributions of his OR HER employees.
  4.  No  profit  shall  be  derived  by  any employer or association of
employers or of employees from providing payment of disability AND FAMI-
LY LEAVE benefits under this article. All  funds  representing  contrib-
utions  of  employers  and  employees,  and  increments thereon, held by
employers or associations of employers or  of  employees  authorized  or
permitted  to  pay benefits under the provisions of this article, and by
trustees paying benefits under plans or agreements meeting the  require-
ments  of  section  two  hundred  eleven OF THIS ARTICLE, shall be trust
funds and shall be expended only to provide for the payment of  benefits
to employees and for the costs of administering this article and for the
support  of  the  fund established under section two hundred fourteen OF
THIS ARTICLE.
  S 12. The opening paragraph and subdivisions 3, 4 and 5 of section 211
of the workers' compensation law, the  opening  paragraph  as  added  by
chapter 600 of the laws of 1949, subdivision 3 as amended by chapter 207
of  the laws of 1992, and subdivisions 4 and 5 as amended by chapter 197
of the laws of 1960, are amended, and a new subdivision 7  is  added  to
read as follows:
  A  covered  employer  shall, with his OR HER own contributions and the
contributions of his employees, provide  disability  AND  AFTER  JANUARY
FIRST,  TWO  THOUSAND  EIGHTEEN,  FAMILY  LEAVE  benefits  to his OR HER
employees in one or more of the following ways:
  3. by furnishing satisfactory proof to  the  chair  of  the  employers
financial  ability  to  pay such benefits, in which case the chair shall
require the deposit of such securities as the chair may  deem  necessary

S. 6405                            70                            A. 9005

[of  the  kind prescribed in subdivisions one, two, three, four and five
and paragraph a of subdivision seven of section two hundred  thirty-five
of  the  banking law or the deposit of cash or the filing of irrevocable
letters  of  credit issued by a qualified banking institution as defined
by rules promulgated by the chair or the filing of the bond of a  surety
company  authorized  to  do  business  in this state, conditioned on the
payment by the employer of its obligations under  this  article  and  in
form  approved  by the chair, or the posting and filing of a combination
of such securities, cash, irrevocable letters of credit and surety bonds
in an amount to be determined by the chair, to secure his or her liabil-
ity to pay the compensation provided in  this  chapter.  The  amount  of
deposit or of the penal sum of the bond shall be determined by the chair
and  shall  not be less than one-half the estimated contributions of the
employees of the employer for  the  ensuing  year  or  one-half  of  the
contributions of the employees which would have been paid by the employ-
ees  during  the  preceding  year,  whichever is the greater, or if such
amount is more than fifty thousand dollars an amount not less than fifty
thousand dollars.  The chair shall have authority to deny an application
to provide benefits pursuant to this subdivision or to  revoke  approval
at  any  time for good cause shown. In the case of an employer who main-
tains a deposit of securities, irrevocable letters of credit or cash  in
accordance  with subdivision three of section fifty of this chapter, the
chair may reduce the amount of the deposit or of the penal  sum  of  the
bond,  provided  the  securities,  irrevocable letters of credit or cash
deposited by or for such employer under  subdivision  three  of  section
fifty  of this chapter are, by agreement satisfactory to the chair, made
available for the payment of unpaid benefits  under  this  article  with
respect to obligations incurred for disabilities commencing prior to the
effective  date  of  such  revocation] CONSISTENT WITH THE PROVISIONS OF
SUBDIVISION THREE OF SECTION FIFTY OF THIS CHAPTER.   An association  of
employers  or employees authorized to pay benefits under this article or
the trustee or trustees  paying  benefits  under  a  plan  or  agreement
authorized  under  subdivisions  four and five of this section, may with
the approval of the chair furnish such proof and otherwise  comply  with
the  provisions  of  this section to provide disability AND FAMILY LEAVE
benefits to employees under such plan or agreement.
  4. by a plan in existence on the effective date of this article.    If
on the effective date of this article the employees of a covered employ-
er  or  any  class  or classes of such employees are entitled to receive
disability AND FAMILY LEAVE benefits under a  plan  or  agreement  which
remains  in  effect on July first, nineteen hundred fifty, the employer,
subject to the requirements  of  this  section,  shall  be  relieved  of
responsibility  for making provision for benefit payments required under
this article until the earliest date, determined by the chairman for the
purposes of this article, upon which the employer shall have  the  right
to  discontinue  the  provisions  thereof or to discontinue his contrib-
utions towards the cost. Any such plan or  agreement  may  be  extended,
with  or  without  modification,  by  agreement or collective bargaining
between an employer or employers or  association  of  employers  and  an
association  of  employees,  in  which  event  the  period for which the
employer is relieved of such responsibility shall include such period of
extension. Any other plan or agreement in  existence  on  the  effective
date  of  this  article  which the employer may, by his OR HER sole act,
terminate at any time, or with respect to which he OR SHE is  not  obli-
gated  to continue for any period to make contributions, may be accepted
by the [chairman] CHAIR as satisfying the obligation to provide for  the

S. 6405                            71                            A. 9005

payment  of  benefits  under  this  article  if  such  plan or agreement
provides benefits at least as favorable as  the  disability  AND  FAMILY
LEAVE  benefits  provided  by this article and does not require contrib-
utions of any employee or of any class or classes of employees in excess
of  the  statutory  amount  provided in SUBDIVISION THREE OF section two
hundred nine OF THIS ARTICLE, subdivision three, except by agreement and
provided the contribution is reasonably related  to  the  value  of  the
benefits  as  determined  by the chairman. The chairman may require that
the employer shall enter into an agreement in writing with the  chairman
that he will pay the assessments set forth in sections two hundred four-
teen  and  two  hundred  twenty-eight and that until he shall have filed
written notice with the chairman of his election to terminate such  plan
or  agreement  or  to  discontinue making necessary contributions to its
cost, he will continue to provide for the payment of the disability  AND
FAMILY LEAVE benefits under such plan or agreement.
  During  any period in which any plan or agreement or extension thereof
authorized under this subdivision provides for payment of benefits under
this article, the responsibility of the employer and the obligations and
benefits of the employees shall be as provided in said plan or agreement
rather than as provided under this  article,  other  than  the  benefits
provided  in  section  two  hundred  seven, and provided the employer or
carrier has agreed to pay the  assessments  described  in  sections  two
hundred fourteen and two hundred twenty-eight.
  Any  such  plan or agreement may be extended with or without modifica-
tion, provided the benefits under such plan or agreement, as extended or
modified, shall be found by the chairman to be at least as favorable  as
the benefits provided by this article.
  5.  by a new plan or agreement. After the effective date of this arti-
cle, a new plan or agreement with a  carrier  may  be  accepted  by  the
chairman  as  satisfying  the  obligation  to provide for the payment of
benefits under this article if such  plan  or  agreement  shall  provide
benefits  at least as favorable as the disability AND FAMILY LEAVE bene-
fits provided by this article and does not require contributions of  any
employee or of any class or classes of employees in excess of the statu-
tory  amount  provided  in  section two hundred nine, subdivision three,
except by agreement and provided the contribution is reasonably  related
to  the  value  of  the benefits as determined by the chairman. Any such
plan or agreement shall continue until written  notice  filed  with  the
chairman  of  intention  to  terminate  such  plan or agreement, and any
modification of such plan or agreement shall be subject to  the  written
approval of the chairman.
  During  any period in which any plan or agreement or extension thereof
authorized under this subdivision provides for payment of benefits under
this article, the responsibility of the employer and the obligations and
benefits of the employees shall be as provided in said plan or agreement
rather than as provided under this  article,  other  than  the  benefits
provided  in  section  two  hundred  seven, and provided the employer or
carrier has agreed to pay the  assessments  described  in  sections  two
hundred fourteen and two hundred twenty-eight.
  7. PREMIUMS FOR POLICIES PROVIDING DISABILITY OR FAMILY LEAVE BENEFITS
IN  ACCORDANCE  WITH THIS ARTICLE SHALL BE CALCULATED IN ACCORDANCE WITH
APPLICABLE PROVISIONS OF THE INSURANCE LAW, INCLUDING SUBSECTION (N)  OF
SECTION FOUR THOUSAND TWO HUNDRED AND THIRTY-FIVE OF SUCH LAW.
  S  13.  Subdivisions 1, 4 and 5 of section 212 of the workers' compen-
sation law, subdivision 1 as amended by chapter 740 of the laws of 1960,
subdivision 4 as amended by chapter 205 of the laws of 1993, and  subdi-

S. 6405                            72                            A. 9005

vision  5  as  added  by chapter 593 of the laws of 1992, are amended to
read as follows:
  1.  Any  employer  not  required  by  this  article to provide for the
payment of disability OR FAMILY LEAVE benefits to his employees,  or  to
any  class  or  classes  thereof, may become a covered employer or bring
within the provisions of this article such employees or class or classes
thereof by voluntarily electing to provide for payment of such  benefits
in  one  or  more of the ways set forth in section two hundred eleven OF
THIS ARTICLE; but such election shall be subject to the approval of  the
[chairman] CHAIR, and if the employees are required to contribute to the
cost of such benefits the assent within thirty days before such approval
is  granted,  of more than one-half of such employees shall be evidenced
to the satisfaction of the [chairman] CHAIR.  On approval by the [chair-
man] CHAIR of such election to provide benefits, all the  provisions  of
this  article  shall  become  and continue applicable as if the employer
were a covered employer as defined in this article.  The  obligation  to
continue  as  a  covered  employer  with  respect  to employees for whom
provision of benefits is not required under this article, may be discon-
tinued by such employer on ninety days notice to the [chairman] CHAIR in
writing and to his OR HER employees, after  he  or  she  [chairman]  HAS
PROVIDED  FOR  PAYMENT  OF  BENEFITS FOR NOT LESS THAN ONE YEAR AND WITH
SUCH PROVISION FOR PAYMENT OF OBLIGATIONS INCURRED ON AND PRIOR  TO  THE
TERMINATION DATE AS THE chair may approve.
  4.  An  executive officer of a corporation who at all times during the
period involved owns all of the issued  and  outstanding  stock  of  the
corporation  and  holds  all of the offices pursuant to paragraph (e) of
section seven hundred fifteen of the business  corporation  law  or  two
executive  officers  of a corporation who at all times during the period
involved between them own all of the issued  and  outstanding  stock  of
such  corporation and hold all such offices provided, however, that each
officer must own at least one share of stock and who  is  the  executive
officer  or who are the executive officers of a corporation having other
persons who are employees required to be  covered  under  this  article,
shall be deemed to be included in the corporation's disability AND FAMI-
LY  LEAVE  benefits  insurance  contract  or covered by a certificate of
self-insurance or a plan under section two hundred eleven of this  arti-
cle, unless the officer or officers elect to be excluded from the cover-
age of this article. Such election shall be made by any such corporation
filing  with the insurance carrier, or the chair of the workers' compen-
sation board in the case of self-insurance, upon a  form  prescribed  by
the  [chairman]  CHAIR,  a notice that the corporation elects to exclude
the executive officer or officers  of  such  corporation  named  in  the
notice  from the coverage of this article. Such election shall be effec-
tive with respect to all policies issued to  such  corporation  by  such
insurance  carrier  as  long  as it shall continuously insure the corpo-
ration. Such election shall be final  and  binding  upon  the  executive
officer  or  officers  named  in  the notice until revoked by the corpo-
ration.
  5. A spouse who is an employee of a covered employer shall  be  deemed
to  be  included  in the employer's disability AND FAMILY LEAVE benefits
insurance contract or covered by a certificate of  self-insurance  or  a
plan  under  section  two  hundred  eleven  of  this article, unless the
employer elects to exclude such spouse from the coverage of  this  arti-
cle.  Such  election  shall be made by any such employer filing with the
insurance carrier, or the chair of the workers'  compensation  board  in
the  case  of  self-insurance,  upon  a  form prescribed by the chair, a

S. 6405                            73                            A. 9005

notice that the employer elects to exclude  such  spouse  named  in  the
notice  from the coverage of this article. Such election shall be effec-
tive with respect to all policies issued to such employer by such insur-
ance carrier as long as it shall continuously insure the employer.  Such
election  shall be final and binding upon the spouse named in the notice
until revoked by the employer.
  S 14. Subdivision 1 of section 213 of the workers'  compensation  law,
as  amended  by  chapter  784  of the laws of 1980, is amended and a new
subdivision 3 is added to read as follows:
  1. Whenever a covered employer does not comply with  this  article  by
providing for the payment of disability AND FAMILY LEAVE benefits to his
OR  HER  employees  in  one  or more of the ways provided in section two
hundred eleven OF THIS ARTICLE or whenever a carrier fails  to  pay  the
benefits  required  by  this article to employees of a covered employer,
then such employer shall be fully and directly liable to each of his  OR
HER  employees for the payment of benefits provided by this article. The
amount of the benefits to which employees of such employers are entitled
under this article and attendance fees of [their] ANY attending  [physi-
cians  or  attending podiatrists] HEALTH CARE PROVIDER fixed pursuant to
subdivision two of section two hundred thirty-two OF THIS ARTICLE shall,
on order of the [chairman] CHAIR, be paid out of  the  fund  established
under section two hundred fourteen OF THIS ARTICLE.  In case of non-com-
pliance  of  the  employer,  such  employer  shall  forthwith pay to the
[chairman] CHAIR, for credit to the fund, the sum  so  expended  or  one
[per  cent]  PERCENT  of  his OR HER payroll for his OR HER employees in
employment during the period of non-compliance,  whichever  is  greater;
provided,  however,  that  if it shall appear to the satisfaction of the
[chairman] CHAIR that the default in payment of benefits or the non-com-
pliance of the employer otherwise with his OR HER obligation under  this
article was inadvertent, the [chairman] CHAIR may fix the sum payable in
such  case  for  non-compliance or default at the amount paid out of the
fund and a sum less than one [per cent] PERCENT of such payroll, and  in
addition the penalties for non-compliance imposed under this article. In
case  of  failure  of  the  carrier  to pay benefits, the employer shall
forthwith pay to the [chairman] CHAIR, for credit to the fund,  the  sum
so expended.
  3.  THE  PROVISIONS OF SECTION ONE HUNDRED FORTY-ONE-B OF THIS CHAPTER
SHALL NOT APPLY TO VIOLATIONS OF THIS SECTION AFTER JANUARY  FIRST,  TWO
THOUSAND  EIGHTEEN AND BEFORE JANUARY FIRST, TWO THOUSAND TWENTY. THERE-
AFTER, IN THE EVENT AN EMPLOYER IS SUBJECT TO DEBARMENT SOLELY DUE TO  A
PENALTY  FOR  VIOLATION OF THIS SECTION, THE CHAIR MAY, IN THE INTERESTS
OF JUSTICE, RESTORE THE EMPLOYER'S ELIGIBILITY TO SUBMIT A BID ON OR  BE
AWARDED  ANY PUBLIC WORK CONTRACT OR SUBCONTRACT. THE CHAIR MAY EXERCISE
THIS AUTHORITY ONLY IF IT IS THE  EMPLOYER'S  FIRST  TIME  VIOLATION  OF
SECTION  ONE  HUNDRED  FORTY-ONE-B  OF THIS CHAPTER; THE EMPLOYER IS NOT
LIABLE FOR ANY OUTSTANDING WORKERS' COMPENSATION, DISABILITY  OR  FAMILY
LEAVE  CLAIMS  AS A RESULT OF THE LACK OF COVERAGE; AND THE EMPLOYER HAS
PAID ALL FINES, ASSESSMENTS, AND PENALTIES ASSOCIATED WITH THE  LACK  OF
COVERAGE.
  S  15. Section 217 of the workers' compensation law, as added by chap-
ter 600 of the laws of 1949, subdivision 1 as amended by chapter 167  of
the  laws of 1999, subdivisions 2 and 3 as amended by chapter 270 of the
laws of 1990, and subdivision 6 as amended by chapter 344 of the laws of
1994, is amended to read as follows:
  S 217. Notice and proof of claim.   1. Written  notice  and  proof  of
disability  OR  PROOF OF NEED FOR FAMILY LEAVE shall be furnished to the

S. 6405                            74                            A. 9005

employer by or on behalf of the employee claiming benefits  or,  in  the
case  of  a claimant under section two hundred seven of this article, to
the chair, within thirty days after commencement of the period of  disa-
bility. Additional proof shall be furnished thereafter from time to time
as  the employer or carrier or chair may require but not more often than
once each week. Such proof shall include a statement  of  disability  by
the employee's [attending physician or attending podiatrist or attending
chiropractor or attending dentist or attending psychologist or attending
certified  nurse  midwife]  OR FAMILY LEAVE CARE RECIPIENT'S HEALTH CARE
PROVIDER, or in the case of an employee who  adheres  to  the  faith  or
teachings  of any church or denomination, and who in accordance with its
creed, tenets or principles depends  for  healing  upon  prayer  through
spiritual  means  alone  in  the  practice of religion, by an accredited
practitioner, containing facts and opinions as  to  such  disability  in
compliance  with  regulations of the chair. Failure to furnish notice or
proof within the time and in the manner above provided shall not invali-
date the claim but no benefits shall be required  to  be  paid  for  any
period more than two weeks prior to the date on which the required proof
is  furnished  unless it shall be shown to the satisfaction of the chair
not to have been reasonably possible to furnish such notice or proof and
that such notice or proof was furnished as soon as  possible;  provided,
however,  that  no  benefits  shall be paid unless the required proof of
disability is furnished within [twenty-six weeks after  commencement  of
the  period  of  disability]  THE  PERIOD OF ACTUAL DISABILITY OR FAMILY
LEAVE THAT DOES NOT EXCEED THE STATUTORY MAXIMUM PERIOD PERMITTED  UNDER
SECTION  TWO  HUNDRED  FIVE  OF  THIS  ARTICLE.    No limitation of time
provided in this section shall run  as  against  any  [person]  DISABLED
EMPLOYEE who is mentally incompetent, or physically incapable of provid-
ing  such  notice as a result of a serious medical condition, or a minor
so long as such person has no guardian of the person and/or property.
  2. An employee claiming DISABILITY benefits shall, as requested by the
employer or carrier, submit himself or herself  at  intervals,  but  not
more  than once a week, for examination by [a physician or podiatrist or
chiropractor or dentist or psychologist or certified nurse  midwife]  AN
ACCREDITED  HEALTH  CARE PROVIDER designated by the employer or carrier.
All such examinations shall be without cost to the employee and shall be
held at a reasonable time and place.
  3. The chair OR CHAIR'S DESIGNEE may direct  the  claimant  OR  FAMILY
LEAVE  CARE RECIPIENT to submit to examination by a [physician or podia-
trist or chiropractor or dentist or psychologist] HEALTH  CARE  PROVIDER
designated by him or her in any case in which the claim to disability OR
FAMILY  LEAVE  benefits is contested and in claims arising under section
two hundred seven OF THIS ARTICLE, and in other cases as  the  chair  or
board may require.
  4. Refusal of the claimant OR FAMILY LEAVE CARE RECIPIENT without good
cause  to  submit  to  any  such  examination shall disqualify [him] THE
CLAIMANT OR EMPLOYEE from all benefits hereunder for the period of  such
refusal, except as to benefits already paid.
  5.  If  benefits required to be paid by this article have been paid to
an employee, further payments for the same disability  OR  FAMILY  LEAVE
shall  not be barred solely because of failure to give notice or to file
proof of disability for the period or periods for  which  such  benefits
have been paid.
  6.  In the event that a claim for benefits is rejected, the carrier or
employer shall send by first class mail written notice of  rejection  to
the  [claimant] EMPLOYEE   within forty-five days of receipt of proof of

S. 6405                            75                            A. 9005

disability. Failure to mail such written notice of rejection within  the
time  provided,  shall bar the employer or carrier from contesting enti-
tlement to benefits for any period of disability prior  to  such  notice
but  such  failure  may  be excused by the [chairman] CHAIR if it can be
shown to the satisfaction of the  [chairman]  CHAIR  not  to  have  been
reasonably  possible to mail such notice and that such notice was mailed
as soon as possible.  Such notice shall include a statement, in  a  form
prescribed  by  the  [chairman] CHAIR, to the effect that the [claimant]
EMPLOYEE may, for the purpose of review [by the board], file  [with  the
chairman] notice that his or her claim has not been paid AS SET FORTH IN
SECTION TWO HUNDRED TWENTY-ONE OF THIS ARTICLE.
  S  16.  Section  219  of  the workers' compensation law, as amended by
chapter 688 of the laws of 1953, is amended to read as follows:
  S 219. Enforcement of payment in default. In case of a default in  the
payment  of  any  benefits,  assessments or penalties payable under this
article by an employer who has failed to comply with the  provisions  of
section  two hundred eleven of this [chapter] ARTICLE or refusal of such
employer to reimburse the fund under section  two  hundred  fourteen  OF
THIS ARTICLE for the expenditures made therefrom pursuant to section two
hundred  thirteen  OF  THIS  ARTICLE or to deposit within ten days after
demand the estimated  value  of  benefits  not  presently  payable,  the
[chairman]  CHAIR may file with the county clerk for the county in which
the employer has his principal place of business (1) a certified copy of
the decision of the board, OR ALTERNATIVE DISPUTE RESOLUTION ASSOCIATION
DESIGNATED BY THE CHAIR PURSUANT TO SECTION TWO  HUNDRED  TWENTY-ONE  OF
THIS  ARTICLE, or order of the [chairman] CHAIR, or (2) a certified copy
of the demand for deposit of security, and thereupon  judgment  must  be
entered  in  the supreme court by the clerk of such county in conformity
therewith immediately upon such filing.
  S 17. Section 220 of the workers' compensation law, as added by  chap-
ter  600 of the laws of 1949, subdivision 1 as amended by chapter 387 of
the laws of 1984, subdivision 2 as amended by chapter 626 of the laws of
1979, subdivision 3 as amended by chapter  415  of  the  laws  of  1983,
subdivision 4 as amended by chapter 645 of the laws of 1981, subdivision
5  as  amended  by  chapter  940  of  the laws of 1973, subdivision 7 as
amended by chapter 61 of the laws of 1989 and subdivision 8  as  amended
by chapter 213 of the laws of 1993, is amended to read as follows:
  S  220.  Penalties.  1.  Any  employer who fails to make provision for
payment of disability OR FAMILY LEAVE benefits as  required  by  section
two hundred eleven of this article within ten days following the date on
which such employer becomes a covered employer as defined in section two
hundred  two  OF  THIS ARTICLE shall be guilty of a misdemeanor and upon
conviction be punishable by a fine of not less than one hundred nor more
than five hundred dollars or imprisonment for not more than one year  or
both,  except  that  where any person has previously been convicted of a
failure to make provisions for payment of  disability  OR  FAMILY  LEAVE
benefits  within  the preceding five years, upon conviction for a second
violation such person shall be fined not less than two hundred fifty nor
more than one thousand two hundred fifty  dollars  in  addition  to  any
other  penalties  including  fines  otherwise  provided by law, and upon
conviction for a third or subsequent violation such person may be  fined
up  to two thousand five hundred dollars in addition to any other penal-
ties including fines otherwise provided by law. Where the employer is  a
corporation, the president, secretary, treasurer, or officers exercising
corresponding functions, shall each be liable under this section.

S. 6405                            76                            A. 9005

  2.  The [chairman] CHAIR or any officer of the board designated by him
OR HER, upon finding that an employer has failed to make  provision  for
the  payment  of  disability OR FAMILY LEAVE benefits, shall impose upon
such employer a penalty not in excess of a sum equal to one-half of  one
per  centum  of his OR HER weekly payroll for the period of such failure
and a further sum not in excess of  five  hundred  dollars,  which  sums
shall  be  paid into the fund created under section two hundred fourteen
OF THIS ARTICLE.
  3. If for the purpose of obtaining any benefit or  payment  under  the
provisions of this article, or for the purpose of influencing any deter-
mination regarding any benefit payment, either for himself OR HERSELF or
any  other  person,  any  person, employee, employer or carrier wilfully
makes a false statement or representation or fails to disclose a materi-
al fact, he OR SHE shall be guilty of a misdemeanor.
  4. Whenever a carrier shall fail to make prompt payment of  disability
OR  FAMILY  LEAVE benefits payable under this article and after [hearing
before an officer designated by the chairman]  A  DETERMINATION  BY  THE
CHAIR'S  DESIGNEE  for  that  purpose,  the [chairman] CHAIR OR DESIGNEE
shall determine that failure to make such  prompt  payment  was  without
just  cause,  the  [chairman]  CHAIR  OR DESIGNEE shall collect from the
carrier a sum not in excess of twenty-five per centum of the  amount  of
the  benefits  as to which the carrier failed to make payment, which sum
shall be credited to the special fund for disability benefits. In  addi-
tion,  the  [chairman] CHAIR OR DESIGNEE may collect and pay over to the
employee the sum of ten dollars in respect to  each  week,  or  fraction
thereof, for which benefits have not been promptly paid.
  5.  In  addition  to  other  penalties herein provided, the [chairman]
CHAIR OR DESIGNEE shall remove from the list of [physicians] HEALTH CARE
PROVIDERS authorized to render medical care  under  the  provisions  [of
articles one to eight, inclusive,] of this chapter [and from the list of
podiatrists authorized to render podiatric care under section thirteen-k
of this chapter, and from the list of chiropractors authorized to render
chiropractic  care  under section thirteen-l of this chapter the name of
any physician or podiatrist or chiropractor]  whom  [he]  THE  CHAIR  OR
DESIGNEE  shall  find,  after reasonable investigation, has submitted to
the employer or carrier or [chairman] CHAIR in connection with any claim
for disability benefits under this article, a  statement  of  disability
that is not truthful and complete.
  6.  In addition to other penalties herein provided, any person who for
the purpose of obtaining any benefit or payment under  this  article  or
for  the  purpose of influencing any determination regarding any benefit
payment, knowingly makes a false statement with  regard  to  a  material
fact,  shall  not  be  entitled  to receive benefits with respect to the
disability claimed or any  disability  benefits  during  the  period  of
twelve calendar months thereafter; but this penalty shall not be applied
more than once with respect to each such offense.
  7. All fines imposed under subdivisions one and three OF THIS SECTION,
except  as  herein  otherwise provided, shall be paid directly and imme-
diately by the officer collecting the same to the  chair,  and  be  paid
into  the  state  treasury,  provided,  however,  that  all  such  fines
collected by justices of the peace  of  towns  and  police  justices  of
villages  shall  be paid to the state comptroller in accordance with the
provisions of section twenty-seven of the  town  law  [and  section  one
hundred eighty-five of the village law, respectively].
  8.  (a) The head of a state or municipal department, board, commission
or office authorized or required by law to issue any permit  for  or  in

S. 6405                            77                            A. 9005

connection  with  any  work  involving  the  employment  of employees in
employment as defined in this article, and notwithstanding  any  general
or  special  statute requiring or authorizing the issue of such permits,
shall not issue such permit unless proof duly subscribed by an insurance
carrier  is  produced  in  a  form  satisfactory  to the chair, that the
payment of disability benefits AND AFTER  JANUARY  FIRST,  TWO  THOUSAND
TWENTY-ONE,  THE  PAYMENT OF FAMILY LEAVE BENEFITS for all employees has
been secured as provided by this  article.    Nothing  herein,  however,
shall  be  construed as creating any liability on the part of such state
or municipal department, board, commission or office to pay any disabil-
ity benefits to any such employee if so employed.
  (b) The head of a state or municipal department, board, commission  or
office  authorized  or required by law to enter into any contract for or
in connection with any work involving the  employment  of  employees  in
employment  as  defined in this article, and notwithstanding any general
or special statute requiring or authorizing any such contract, shall not
enter into any such contract unless proof duly subscribed by  an  insur-
ance  carrier  is produced in a form satisfactory to the chair, that the
payment of disability benefits AND AFTER  JANUARY  FIRST,  TWO  THOUSAND
EIGHTEEN,  THE  PAYMENT  OF  FAMILY LEAVE BENEFITS for all employees has
been secured as provided by this article.
  S 18. Section 221 of the  workers'  compensation  law,  as  separately
amended  by chapters 425 and 500 of the laws of 1985, is amended to read
as follows:
  S 221. Determination of contested claims  for  disability  AND  FAMILY
LEAVE  benefits.    [Within  twenty-six  weeks] IN ACCORDANCE WITH REGU-
LATIONS ADOPTED BY THE CHAIR, WITHIN SIXTY DAYS  of  written  notice  of
rejection  of  claim,  the employee may file with the [chairman] CHAIR a
notice that his or her claim for disability OR FAMILY LEAVE benefits has
not been paid, and the employee shall  submit  proof  of  disability  OR
ENTITLEMENT  TO  FAMILY  LEAVE  and  of his or her employment, wages and
other facts reasonably necessary for  determination  of  the  employee's
right  to  such  benefits.  Failure  to file such notice within the time
provided, may be excused [by the chairman] if it can be  shown  [to  the
satisfaction  of  the  chairman] not to have been reasonably possible to
furnish such notice and that such notice was furnished as soon as possi-
ble.  On demand [of the chairman] the employer or carrier  shall  forth-
with  deliver to the [chairman] BOARD the original or a true copy of the
[attending physician's or attending podiatrist's or  accredited  practi-
tioner's  statement]  HEALTH CARE PROVIDER'S REPORT, wage and employment
data and all other papers in the possession of the employer  or  carrier
with respect to such claim.
  The  [board]  CHAIR OR DESIGNEE shall have full power and authority to
determine all issues in relation to every such claim for  disability  OR
FAMILY  LEAVE  benefits  required  or  provided under this article[, and
shall file its decision in the office of the chairman. Upon such filing,
the chairman shall send to the parties a copy of  the  decision.  Either
party  may present evidence and be represented by counsel at any hearing
on such claim.  The decision of the board shall be final as to all ques-
tions of fact and, except as provided in section  twenty-three  of  this
chapter,  as  to  all questions of law].   Every decision [of the board]
shall be complied with in accordance with  its  terms  within  ten  days
thereafter  except  [in  case  of  appeal]  AS PERMITTED BY LAW UPON THE
FILING OF A REQUEST FOR REVIEW, and any payments due under such decision
shall draw simple interest from thirty days after the making thereof  at
the  rate  provided  in section five thousand four of the civil practice

S. 6405                            78                            A. 9005

law and rules. THE CHAIR SHALL ADOPT RULES AND REGULATIONS TO CARRY  OUT
THE  PROVISIONS  OF THIS ARTICLE INCLUDING BUT NOT LIMITED TO RESOLUTION
OF CONTESTED CLAIMS AND REQUESTS FOR  REVIEW  THEREOF,  AND  PAYMENT  OF
COSTS  FOR  RESOLUTION  OF  DISPUTED CLAIMS BY CARRIERS. THE CHAIR SHALL
HAVE AUTHORITY TO PROVIDE FOR ALTERNATIVE DISPUTE RESOLUTION  PROCEDURES
FOR  CLAIMS  ARISING  UNDER  THIS  ARTICLE  INCLUDING BUT NOT LIMITED TO
REFERRAL AND SUBMISSION OF DISPUTED CLAIMS TO MANDATORY ARBITRATION WITH
PRIVATE ARBITRATION ASSOCIATIONS, AND ANY DETERMINATION MADE BY ALTERNA-
TIVE DISPUTE RESOLUTION SHALL NOT BE REVIEWABLE BY  THE  BOARD  AND  THE
VENUE FOR ANY APPEAL SHALL BE TO A COURT OF COMPETENT JURISDICTION.
  S  19. Section 222 of the workers' compensation law, as added by chap-
ter 600 of the laws of 1949, is amended to read as follows:
  S 222. Technical rules of evidence or procedure  not  required.    The
[chairman  or]  CHAIR,  the  board OR THE CHAIR'S DESIGNEE, in making an
investigation or inquiry or conducting a hearing shall not be  bound  by
common  law  or  statutory  rules  of evidence or by technical or formal
rules of procedure, except as provided by this  chapter;  but  may  make
such  investigation or inquiry or conduct such hearing in such manner as
to ascertain the substantial rights of the parties.
  S 20. Sections 223 and  224  of  the  workers'  compensation  law  are
REPEALED.
  S  21. Section 225 of the workers' compensation law, as added by chap-
ter 600 of the laws of 1949, is amended to read as follows:
  S 225. Fees for representing employees. Claims of attorneys and  coun-
sellors-at-law for services in connection with any contested claim aris-
ing  under  this article shall not be enforceable unless approved by the
board. If so approved, such fee or fees shall become  a  lien  upon  the
benefits  ordered,  but shall be paid therefrom only in the manner fixed
by the board OR THE ALTERNATIVE DISPUTE  RESOLUTION  ASSOCIATION.    Any
other  person, firm, corporation, organization, or other association who
shall exact or receive any fee or gratuity for any services rendered  on
behalf  of  an employee except in an amount SO determined [by the board]
shall be guilty of a misdemeanor. Any person, firm, corporation,  organ-
ization,  or  association  who  shall solicit the business [of appearing
before the board on behalf] of an employee claiming benefits under  this
article,  or  who  shall  make it a business to solicit employment for a
lawyer in connection with any claim for disability OR FAMILY LEAVE bene-
fits under this article, or who shall exact or receive any fee or gratu-
ity or other charge with respect to the collection  of  any  uncontested
claim  for  disability  OR  FAMILY  LEAVE benefits, shall be guilty of a
misdemeanor.
  S 22. Subdivision 5 of section 226 of the workers'  compensation  law,
as  amended by chapter 211 of the laws of 1983, is amended and three new
subdivisions 7, 8 and 9 are added to read as follows:
  5. No contract of insurance issued by an insurance  carrier  providing
the benefits to be paid under this article 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  such  cancellation  shall  not be effective until at least ten
days after a notice of cancellation of such contract, on a  date  speci-
fied  in  such  notice,  shall  be filed in the office of the [chairman]
CHAIR and also served on the employer. When cancellation is due  to  any
reason other than non-payment of premiums 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  [chairman]  CHAIR  and  also  served  on  the  employer;

S. 6405                            79                            A. 9005

provided,  however, in either case that if insurance with another insur-
ance carrier has been obtained 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. Such notice shall be
served on the employer [by] AS PRESCRIBED BY THE CHAIR, INCLUDING deliv-
ering it to him [or by sending  it  by  certified  or  registered  mail,
return  receipt  requested, addressed to the employer at his or its last
known place of business] OR HER BY ELECTRONIC MEANS; provided  that,  if
the  employer be a partnership, then such notice may be given to any 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, provided, however, the right to cancellation of a
policy of insurance in the  state  fund  shall  be  exercised  only  for
nonpayment  of  premiums  or  as provided in section ninety-four of this
chapter.
  7. THE CHAIR MAY REQUIRE BY REGULATION THAT EVERY POLICY OF  INSURANCE
CONTAIN A PROVISION REQUIRING THAT ALL DISPUTES BE RESOLVED BY MANDATORY
ARBITRATION, IN ACCORDANCE WITH SUCH REGULATIONS.
  8. PREMIUMS FOR POLICIES PROVIDING DISABILITY OR FAMILY LEAVE BENEFITS
IN  ACCORDANCE  WITH THIS ARTICLE SHALL BE CALCULATED IN ACCORDANCE WITH
APPLICABLE PROVISIONS OF THE INSURANCE LAW, INCLUDING SUBSECTION (N)  OF
SECTION FOUR THOUSAND TWO HUNDRED THIRTY-FIVE OF SUCH LAW.
  9.  EVERY  POLICY  OF  INSURANCE  ISSUED PURSUANT TO THIS ARTICLE MUST
OFFER COVERAGE FOR BOTH DISABILITY AND FAMILY LEAVE BENEFITS.
  S 23. The section heading of section 227 of the workers'  compensation
law,  as  amended by chapter 805 of the laws of 1984, is amended to read
as follows:
  Actionable injuries IN CLAIMS FOR DISABILITY BENEFITS; subrogation.
  S 24. Subdivision 1 of section 228 of the workers'  compensation  law,
as  added by section 27 of part GG of chapter 57 of the laws of 2013, is
amended to read as follows:
  1. The estimated annual expenses necessary for  the  workers'  compen-
sation  board  OR  DEPARTMENT  OF  FINANCIAL  SERVICES to administer the
provisions of the disability AND FAMILY  LEAVE  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.
  S  25.  Section  229  of  the workers' compensation law, as amended by
chapter 271 of the laws of 1985, is amended to read as follows:
  S 229. Posting of notice and providing of notice of  rights.  1.  Each
covered employer shall post and maintain in a conspicuous place or plac-
es  in  and about the employer's place or places of business typewritten
or printed notices in form prescribed by the [chairman]  CHAIR,  stating
that  the employer has provided for the payment of disability AND FAMILY
LEAVE benefits as required by this article.  The  [chairman]  CHAIR  may
require  any covered employer to furnish a written statement at any time
showing the carrier insuring the payment of benefits under this  article
or  the  manner  in  which  such  employer has complied with section two
hundred eleven OF THIS ARTICLE or any other provision of  this  article.
Failure for a period of ten days to furnish such written statement shall
constitute  presumptive  evidence  that  such  employer has neglected or
failed in respect of any of the matters so required.
  2. Whenever an employee of a covered  employer  who  is  eligible  for
benefits  under section two hundred four of this article shall be absent
from work due to a disability OR TO PROVIDE FAMILY CARE  as  defined  in
subdivision  nine  AND  SUBDIVISION TWENTY-FIVE RESPECTIVELY, of section

S. 6405                            80                            A. 9005

two hundred one of this article for more than  seven  consecutive  days,
the  employer shall provide the employee with a written statement of the
employee's rights under this article in a form prescribed by the [chair-
man] CHAIR.  The statement shall be provided to the employee within five
business  days  after  the employee's seventh consecutive day of absence
due to disability OR FAMILY LEAVE or within five business days after the
employer [knows or should know] HAS RECEIVED NOTICE that the  employee's
absence is due to disability OR FAMILY LEAVE, whichever is later.
  S  26.  Section  232  of  the workers' compensation law, as amended by
chapter 270 of the laws of 1990, is amended to read as follows:
  S 232. Fees FOR TESTIMONY of [physicians, podiatrists,  chiropractors,
dentists  and psychologists] HEALTH CARE PROVIDERS.  Whenever his or her
attendance at a hearing, DEPOSITION OR ARBITRATION before the  board  or
[its  referees]  THE CHAIR'S DESIGNEE is required, the attending [physi-
cian or attending podiatrist  or  attending  chiropractor  or  attending
dentist  or  attending psychologist or attending certified nurse midwife
of the disabled employee, except such  physicians  as  are  disqualified
from  testifying  pursuant  to subdivision one of section thirteen-b, or
section nineteen-a of this chapter, and except such podiatrists  as  are
disqualified from testifying under the provisions of section thirteen-k,
and  except such chiropractors as are disqualified from testifying under
the provisions of section thirteen-l, and except such  psychologists  as
are  disqualified  from testifying under the provisions of section thir-
teen-m,] HEALTH CARE PROVIDER shall be entitled to receive a  fee  [from
the  carrier or the fund established under section two hundred fourteen,
in an amount as directed and fixed by the board, or  its  referees,  and
such  fee  shall  be  in addition to any witness fee] IN ACCORDANCE WITH
REGULATIONS OF THE CHAIR.
  S 27. Section 237 of the workers' compensation law, as added by  chap-
ter 600 of the laws of 1949, is amended to read as follows:
  S 237. Reimbursement for advance payments by employers. If an employer
has made advance payments of benefits or has made payments to an employ-
ee  in  like  manner  as wages during any period of disability OR FAMILY
LEAVE for which such employee is entitled to the  benefits  provided  by
this article, he OR SHE shall be entitled to be reimbursed by the carri-
er  out of any benefits due or to become due for the existing disability
OR FAMILY LEAVE, if THE claim for reimbursement is filed with the carri-
er prior to payment of the benefits BY THE CARRIER.
  S 28. Section 238 of the workers' compensation law, as added by  chap-
ter 600 of the laws of 1949, is amended to read as follows:
  S  238. Payments to minors. Minors shall be deemed to be sui juris for
the purpose of [receiving] payment of benefits under this article.
  S 29. Section 239 of the workers' compensation law, as added by  chap-
ter 600 of the laws of 1949, is amended to read as follows:
  S  239.  Representation  before the board. Any person, firm, or corpo-
ration licensed by the board under section twenty-four-a OF THIS ARTICLE
or subdivision three-b of section fifty OF THIS CHAPTER shall be  deemed
to  be  authorized  to  appear  in  behalf  of claimants or self insured
employers, as the case may be, in contested disability OR  FAMILY  LEAVE
claims under this article.
  S  30. The section heading and the opening paragraph of section 120 of
the workers' compensation law, as amended by chapter 61 of the  laws  of
1989, are amended to read as follows:
  Discrimination  against employees [who bring proceedings]. It shall be
unlawful for any employer  or  his  or  her  duly  authorized  agent  to
discharge  or in any other manner discriminate against an employee as to

S. 6405                            81                            A. 9005

his or her employment because such employee has claimed or attempted  to
claim  compensation from such employer, OR CLAIMED OR ATTEMPTED TO CLAIM
ANY BENEFITS PROVIDED UNDER THIS CHAPTER or because he or she has testi-
fied  or  is  about to testify in a proceeding under this chapter and no
other valid reason is shown to exist for such action by the employer.
  S 31. Subdivision 2 of section 76 of the workers' compensation law, as
added by chapter 600 of the laws of 1949, is amended to read as follows:
  2. The purposes of the state insurance fund herein created are  hereby
enlarged to provide [for the] insurance [by the state insurance fund of]
FOR  the payment of the benefits required by section two hundred four of
this chapter INCLUDING BENEFITS FOR FAMILY CARE.   A  separate  fund  is
hereby  created within the state insurance fund, which shall be known as
the "disability benefits fund", and which shall consist of all  premiums
received and paid into said fund on account of such insurance, all secu-
rities  acquired by and through the use of moneys belonging to said fund
and of interest earned upon moneys belonging to said fund and  deposited
or  invested  as herein provided. Said disability benefits fund shall be
applicable to the payment  of  benefits,  expenses  and  assessments  on
account  of  insurance written pursuant to article nine of this chapter.
PREMIUMS FOR POLICIES PROVIDING DISABILITY AND FAMILY LEAVE BENEFITS  IN
ACCORDANCE  WITH  THIS  ARTICLE  SHALL  BE CALCULATED IN ACCORDANCE WITH
APPLICABLE PROVISIONS OF THE INSURANCE LAW, INCLUDING SUBSECTION (N)  OF
SECTION  FOUR  THOUSAND  TWO  HUNDRED THIRTY-FIVE OF SUCH LAW. THE STATE
INSURANCE FUND SHALL HAVE AUTHORITY TO DISCOUNT OR SURCHARGE  ON  ESTAB-
LISHED PREMIUM RATES BASED ON SOUND ACTUARIAL PRINCIPLES.
  S 32. Subdivision 1 of section 141-a of the workers' compensation law,
as  added  by  chapter  6  of  the  laws  of 2007, is amended to read as
follows:
  1. To investigate violations of sections fifty-two [and], one  hundred
thirty-one AND TWO HUNDRED THIRTEEN of this chapter, the chair or his or
her designees shall have the power to:
  (a) Enter and inspect any place of business at any reasonable time for
the purpose of investigating employer compliance.
  (b) Examine and copy business records.
  (c) Administer oaths and affirmations.
  (d)   Issue  and  serve  subpoenas  for  attendance  of  witnesses  or
production of business records, books, papers, correspondence,  memoran-
da, and other records. Such subpoenas may be served without the state on
any  defendant  over whom a New York court would have personal jurisdic-
tion under the civil practice law and rules as  to  the  subject  matter
under  investigation, provided the information or testimony sought bears
a reasonable relationship to the subject matter under investigation.
  S 32-a. Section 318 of the workers'  compensation  law,  as  added  by
chapter 788 of the laws of 1951, is amended to read as follows:
  S  318.  Rules of evidence; modification of board decisions or orders;
appeals. The provisions of [sections] SECTION two hundred twenty-two  [,
two  hundred  twenty-three  and two hundred twenty-four] OF THIS CHAPTER
are made applicable to claims for compensation under this article.
  S 33. Paragraph 3 of subsection (a) of section 1113 of  the  insurance
law is amended to read as follows:
  (3) "Accident and health insurance," means (i) insurance against death
or  personal  injury  by  accident  or by any specified kind or kinds of
accident and insurance  against  sickness,  ailment  or  bodily  injury,
including  insurance  providing  disability  AND  FAMILY  LEAVE benefits
pursuant to article nine of the workers'  compensation  law,  except  as
specified  in  item  (ii)  hereof;  and  (ii) non-cancellable disability

S. 6405                            82                            A. 9005

insurance, meaning insurance against disability resulting from sickness,
ailment or bodily injury (but excluding insurance solely  against  acci-
dental  injury)  under  any contract which does not give the insurer the
option  to  cancel  or  otherwise terminate the contract at or after one
year from its effective date or renewal date.
  S 34. Paragraphs 1 and 4 of subsection (h)  of  section  4235  of  the
insurance  law  are amended and a new subsection (n) is to added read as
follows:
  (1) Each domestic insurer and each  foreign  or  alien  insurer  doing
business  in this state shall file with the superintendent its schedules
of  premium  rates,  rules  and  classification  of  risks  for  use  in
connection  with  the  issuance of its policies of group accident, group
health or group accident and health  insurance,  and  of  its  rates  of
commissions,  compensation  or  other  fees  or allowances to agents and
brokers pertaining to the solicitation or sale of such insurance and  of
such fees or allowances, exclusive of amounts payable to persons who are
in  the  regular employ of the insurer, other than as agent or broker to
any individuals, firms or corporations pertaining to such class of busi-
ness, whether transacted within or without the state. A  GROUP  ACCIDENT
AND  HEALTH INSURANCE POLICY PROVIDING DISABILITY AND FAMILY LEAVE BENE-
FITS PURSUANT TO ARTICLE NINE OF THE WORKERS' COMPENSATION LAW SHALL  BE
SUBJECT TO THE REQUIREMENTS OF SUBSECTION (N) OF THIS SECTION.
  (4) Nothing herein shall prohibit the state insurance fund from taking
into account peculiar hazards of individual risks in establishing higher
premium  rates  to be charged for insurance providing for the payment of
disability [or] AND FAMILY LEAVE benefits  in  accordance  with  article
nine of the workers' compensation law.
  (N)(1)  ON  OR  BEFORE  JUNE FIRST, TWO THOUSAND SEVENTEEN, THE SUPER-
INTENDENT OF FINANCIAL SERVICES BY REGULATION, IN CONSULTATION WITH  THE
CHAIR  OF THE WORKERS' COMPENSATION BOARD OF THIS STATE, SHALL DETERMINE
WHETHER A GROUP ACCIDENT AND HEALTH INSURANCE POLICY, INCLUDING POLICIES
ISSUED BY THE STATE INSURANCE  FUND,  PROVIDING  DISABILITY  AND  FAMILY
LEAVE  BENEFITS  PURSUANT  TO  ARTICLE NINE OF THE WORKERS' COMPENSATION
LAW, REQUIRES THE POLICY TO BE  EXPERIENCE  RATED  OR  COMMUNITY  RATED,
WHICH MAY INCLUDE SUBJECTING THE POLICY TO A RISK ADJUSTMENT MECHANISM.
  (2)  IF  THE  POLICY  IS SUBJECTED TO A RISK ADJUSTMENT MECHANISM, THE
SUPERINTENDENT OF FINANCIAL SERVICES SHALL PROMULGATE REGULATIONS NECES-
SARY FOR THE IMPLEMENTATION OF THIS SUBSECTION IN CONSULTATION WITH  THE
CHAIR  OF  THE  WORKERS' COMPENSATION BOARD OF THIS STATE. ANY SUCH RISK
ADJUSTMENT MECHANISM SHALL BE ADMINISTERED DIRECTLY BY  THE  SUPERINTEN-
DENT OF FINANCIAL SERVICES OF THIS STATE, IN CONSULTATION WITH THE CHAIR
OF  THE  WORKERS'  COMPENSATION BOARD OF THIS STATE, OR BY A THIRD PARTY
VENDOR SELECTED BY THE SUPERINTENDENT OF FINANCIAL SERVICES IN CONSULTA-
TION WITH THE CHAIR OF THE WORKERS' COMPENSATION BOARD.
  (3) "RISK ADJUSTMENT MECHANISM" AS USED IN THIS SUBSECTION  MEANS  THE
PROCESS  USED  TO  EQUALIZE THE PER MEMBER PER MONTH CLAIM AMOUNTS AMONG
INSURERS IN ORDER TO  PROTECT  INSURERS  FROM  DISPROPORTIONATE  ADVERSE
RISKS.
  S 35. Subdivision (c) of section 1108 of the insurance law, as amended
by chapter 838 of the laws of 1985, is amended to read as follows:
  (c)  The  state  insurance  fund  of  this  state,  except  as  to the
provisions of subsection (d) of section two thousand three hundred thir-
ty-nine, section three thousand one hundred ten, subsection  (a),  para-
graph  one  of  subsection  (b),  paragraph  three of subsection (c) and
subsection (d) of section three thousand two hundred one, sections three
thousand two hundred two, three thousand two hundred  four,  subsections

S. 6405                            83                            A. 9005

(a)  through  (d)  of  section  three  thousand  two hundred twenty-one,
subsections (b) and (c) of section four  thousand  two  hundred  twenty-
four,  section  four thousand two hundred twenty-six and subsections (a)
and  (b)  [and],  (g)  through (j), AND (N) of section four thousand two
hundred thirty-five of this chapter and except as otherwise specifically
provided by the laws of this state.
  S 36. This act shall take effect on the April 1, 2016 and shall  apply
to  all  policies  or  contracts  issued,  renewed, modified, altered or
amended on or after such effective date; provided, however, that  effec-
tive  immediately,  the addition, amendment and/or repeal of any rule or
regulation necessary for the implementation of this act on its effective
date are authorized and directed to be made and completed on  or  before
such effective date.

                                 PART I

  Section  1.  The  public  authorities  law  is amended by adding a new
section 1678-a to read as follows:
  S 1678-A. NEW YORK STATE DESIGN AND CONSTRUCTION CORPORATION ACT.   1.
PURPOSES  OF  ACT.    THE  PURPOSES  OF  THE  NEW  YORK STATE DESIGN AND
CONSTRUCTION CORPORATION ACT ARE TO: (A) ESTABLISH THE  NEW  YORK  STATE
DESIGN  AND  CONSTRUCTION  CORPORATION  IN  ORDER  TO PROVIDE ADDITIONAL
PROJECT MANAGEMENT EXPERTISE AND OVERSIGHT ON SIGNIFICANT  PUBLIC  WORKS
PROJECTS  UNDERTAKEN  BY STATE AGENCIES, DEPARTMENTS, PUBLIC AUTHORITIES
AND PUBLIC BENEFIT CORPORATIONS; (B) SET FORTH  THE  RESPONSIBILITY  AND
OBLIGATION  OF  ALL  STATE AGENCIES, DEPARTMENTS, PUBLIC AUTHORITIES AND
PUBLIC BENEFIT CORPORATIONS TO COOPERATE WITH THE CORPORATION AND ACCOM-
PLISH THE PURPOSES OF THIS SECTION; (C) MAKE PROVISIONS FOR  CONTRACTUAL
REQUIREMENTS  CONCERNING  THE  INCORPORATION  OF THIS SECTION FOR PUBLIC
WORKS PROJECTS HAVING A TOTAL OR AGGREGATE CONSTRUCTION VALUE IN  EXCESS
OF  FIFTY MILLION DOLLARS AND FOR ANY AND ALL CONTRACTS RELATING TO SUCH
PROJECTS WHICH ARE ADVERTISED FOR BID OR PROPOSAL OR OTHERWISE  PROCURED
AND/OR ENTERED INTO ON OR AFTER JANUARY FIRST, TWO THOUSAND SIXTEEN; AND
(D)  PROVIDE A MEANS TO IMPLEMENT IMPROVEMENTS AND OTHER PROJECT CHANGES
ON ALL PROPOSED PUBLIC WORKS PROJECTS IN EXCESS OF FIFTY MILLION DOLLARS
IN TOTAL OR AGGREGATE VALUE, IN A MORE  TIMELY  FASHION,  SO  THAT  SUCH
PROJECTS CAN BE ACCOMPLISHED, TO THE EXTENT PRACTICABLE, ON TIME, WITHIN
BUDGET AND AT AN ACCEPTABLE OVERALL QUALITY AND COST TO THE STATE OF NEW
YORK.
  2.  NEW  YORK  STATE DESIGN AND CONSTRUCTION CORPORATION. (A) THERE IS
HEREBY ESTABLISHED THE NEW YORK STATE  DESIGN  AND  CONSTRUCTION  CORPO-
RATION AS A SUBSIDIARY CORPORATION OF THE DORMITORY AUTHORITY.
  (B)  THE DORMITORY AUTHORITY MAY TRANSFER OR ASSIGN TO SUCH SUBSIDIARY
CORPORATION ANY REAL, PERSONAL OR MIXED PROPERTY AS SHALL BE REQUIRED IN
ORDER TO CARRY OUT THE PURPOSES OF THIS ACT. THE  AUTHORITY  MAY  ASSIGN
ANY  SUCH  EMPLOYEES TO WORK FOR THE CORPORATION AS SHALL BE REQUIRED IN
ORDER TO CARRY OUT THE PURPOSES OF THIS SECTION.    NOTWITHSTANDING  ANY
PROVISION  OF  LAW  TO THE CONTRARY, THE TERM "EMPLOYEE" AS SET FORTH IN
THIS SECTION SHALL MEAN A  DORMITORY  AUTHORITY  EMPLOYEE  ASSIGNED,  IN
WHOLE, OR IN PART, TO WORK FOR THE CORPORATION.
  (C)  SUCH CORPORATION SHALL BE A BODY CORPORATE AND POLITIC CONSTITUT-
ING A PUBLIC BENEFIT CORPORATION, AND SHALL HAVE ALL OF THE  PRIVILEGES,
IMMUNITIES, TAX EXEMPTIONS AND OTHER EXEMPTIONS OF THE DORMITORY AUTHOR-
ITY TO THE EXTENT THE SAME ARE NOT INCONSISTENT WITH THIS SECTION.
  (D)  THE  BOARD  OF  THE CORPORATION SHALL CONSIST OF THREE MEMBERS AS
DESIGNATED BY THE GOVERNOR, AND THE GOVERNOR SHALL DESIGNATE  THE  CHAIR

S. 6405                            84                            A. 9005

FROM  AMONG  THE  MEMBERS OF THE CORPORATION'S BOARD. THE MEMBERS OF THE
CORPORATION'S BOARD SHALL SERVE UNTIL SUCH TIME AS HIS OR HER  SUCCESSOR
IS APPOINTED BY THE GOVERNOR.
  (E)  A QUORUM SHALL CONSIST OF A MAJORITY OF THE MEMBERS OF THE BOARD.
A QUORUM SHALL BE REQUIRED  FOR  THE  BOARD  TO  CONDUCT  BUSINESS,  AND
APPROVAL  OF  ANY  MATTER  PROPERLY  BEFORE  THE BOARD SHALL REQUIRE THE
AFFIRMATIVE VOTE OF THE MAJORITY OF THE BOARD.  MEETINGS OF  THE  CORPO-
RATION  SHALL  BE  CALLED  BY THE CHAIR, OR BY A MAJORITY OF THE MEMBERS
APPOINTED. MEETINGS SHALL BE HELD AT LEAST BI-ANNUALLY.
  (F) NOTHING IN THIS SUBDIVISION  SHALL  BE  CONSTRUED  TO  IMPOSE  ANY
LIABILITIES,  OBLIGATIONS  OR  RESPONSIBILITIES OF SUCH CORPORATION UPON
THE DORMITORY AUTHORITY, AND THE AUTHORITY SHALL HAVE  NO  LIABILITY  OR
RESPONSIBILITY  THEREFOR UNLESS THE AUTHORITY EXPRESSLY AGREES BY RESOL-
UTION OF THE AUTHORITY BOARD TO ASSUME THE SAME.
  (G) THE PROVISIONS OF SECTION SIXTEEN HUNDRED NINETY-ONE OF THIS TITLE
SHALL IN ALL RESPECTS APPLY TO MEMBERS OF THE CORPORATION AND ANY  OFFI-
CER,  EMPLOYEE  OR  AGENT  OF  THE  DORMITORY  AUTHORITY  TRANSFERRED OR
ASSIGNED TO THE CORPORATION, WHILE ACTING WITHIN THE SCOPE OF  HIS,  HER
OR ITS AUTHORITY.
  (H)  ALL  OF  THE PROVISIONS OF SECTIONS SEVENTEEN AND NINETEEN OF THE
PUBLIC OFFICERS LAW SHALL APPLY TO THE MEMBERS, DIRECTORS, OFFICERS  AND
EMPLOYEES OF THE CORPORATION.
  (I)  THE CORPORATION CREATED PURSUANT TO THIS SECTION SHALL BE SUBJECT
TO ANY OTHER PROVISIONS OF THIS CHAPTER PERTAINING  TO  SUBSIDIARIES  OF
PUBLIC AUTHORITIES TO THE EXTENT THAT SUCH PROVISIONS ARE NOT INCONSIST-
ENT WITH THE PROVISIONS OF THIS SECTION.
  3. CORPORATION REVIEW AND OVERSIGHT OF PUBLIC WORKS CONTRACTS. FOR ALL
PUBLIC  WORKS PROJECTS HAVING A TOTAL OR AGGREGATE CONSTRUCTION VALUE IN
EXCESS OF FIFTY MILLION DOLLARS AND FOR ANY AND ALL  CONTRACTS  RELATING
TO  SUCH  PROJECTS WHICH ARE ADVERTISED FOR BID OR PROPOSAL OR OTHERWISE
PROCURED AND/OR ENTERED INTO ON OR AFTER  JANUARY  FIRST,  TWO  THOUSAND
SIXTEEN:
  (A)  ANY  STATE AGENCY, DEPARTMENT, PUBLIC AUTHORITY OR PUBLIC BENEFIT
CORPORATION PROPOSING A PUBLIC WORKS PROJECT HAVING A TOTAL OR AGGREGATE
CONSTRUCTION VALUE IN EXCESS OF  FIFTY  MILLION  DOLLARS  SHALL  PROVIDE
WRITTEN  NOTICE  TO THE CORPORATION OF SUCH PROPOSAL, TO INCLUDE WITHOUT
LIMITATION, THE ESTIMATED VALUE OF THE PROJECT  AND  A  SUMMARY  OF  THE
SCOPE  AND  DURATION  OF  THE  PROJECT. PROJECTS SHALL NOT BE DIVIDED OR
SEGMENTED FOR THE PURPOSES OF AVOIDING COMPLIANCE WITH THE PROVISIONS OF
THIS ACT.
  (B) THE CORPORATION SHALL HAVE THE AUTHORITY TO, AND MAY, IN ITS  SOLE
DISCRETION,  REQUIRE  REVIEW  AND OVERSIGHT, IN WHOLE OR IN PART, OF ANY
PROJECT, AND MAKE RECOMMENDATIONS REGARDING REQUIRED CORRECTIVE OR OTHER
ACTION TO ANY STATE AGENCY, DEPARTMENT, PUBLIC AUTHORITY OR PUBLIC BENE-
FIT CORPORATION IN CONNECTION WITH SUCH PROJECT.
  (C) FOR THE PURPOSES OF THIS SECTION, THE TERM  "PROJECT"  SHALL  MEAN
ANY WORK ASSOCIATED WITH THE PLANNING, ACQUISITION, DESIGN, ENGINEERING,
ENVIRONMENTAL ANALYSIS, CONSTRUCTION, RECONSTRUCTION, RESTORATION, REHA-
BILITATION,  ESTABLISHMENT,  IMPROVEMENT, RENOVATION, EXTENSION, REPAIR,
REVITALIZATION, MANAGEMENT AND DEVELOPMENT OF A CAPITAL ASSET AS DEFINED
IN SECTION TWO OF THE STATE FINANCE LAW.
  (D) THE STATE AGENCY, DEPARTMENT, PUBLIC AUTHORITY OR  PUBLIC  BENEFIT
CORPORATION  UNDERTAKING  SUCH  PROJECT  SHALL  FULLY COOPERATE WITH ANY
DETERMINATION OF THE CORPORATION, AND PROVIDE ACCESS TO  ALL  PERSONNEL,
BOOKS, RECORDS, PLANS, SPECIFICATIONS, DATA AND OTHER INFORMATION AS MAY
BE NECESSARY FOR THE CORPORATION TO PERFORM ITS DUTIES.

S. 6405                            85                            A. 9005

  (E)  IN  THE EVENT THE CORPORATION DETERMINES THAT CORRECTIVE OR OTHER
ACTION IS NECESSARY FOR SUCH A PROJECT, THEN THE CORPORATION SHALL  HAVE
THE  AUTHORITY  TO  DIRECT  THAT  THE  STATE  AGENCY, DEPARTMENT, PUBLIC
AUTHORITY OR PUBLIC BENEFIT CORPORATION UNDERTAKING  THE  PROJECT  SHALL
IMPLEMENT  ALL CORRECTIVE OR OTHER ACTION AS SHALL BE REQUIRED TO ACCOM-
PLISH THE PROJECT, TO THE EXTENT PRACTICABLE, ON TIME, WITHIN BUDGET AND
AT AN ACCEPTABLE OVERALL COST TO THE STATE OF NEW YORK. SUCH  CORRECTIVE
OR OTHER ACTION SHALL INCLUDE, BUT NOT BE LIMITED TO:
  (I)  MODIFICATION OF SUCH PLANS, SPECIFICATIONS, DESIGNS AND ESTIMATES
OF COSTS FOR THE CONSTRUCTION OF THE PROJECT AND  EQUIPMENT  OF  FACILI-
TIES;
  (II) DETAILED ANALYSIS OF THE PROJECT SCHEDULE;
  (III) DETAILED ANALYSIS OF PROJECT BUDGET;
  (IV)  DETAILED  ANALYSIS  OF  CHANGE  ORDERS  AND/OR PAYMENTS TO PRIME
CONTRACTORS, SUBCONTRACTORS AND OTHER PARTIES;
  (V)  DETAILED  ANALYSIS  OF  RECORDS  OF  CONSTRUCTION   OBSERVATIONS,
INSPECTIONS AND DEFICIENCIES;
  (VI)  TERMINATION  OF  CONTRACTS, CONTRACTORS, SUBCONTRACTORS OR OTHER
CONSULTANTS;
  (VII) PROCUREMENT OF INDEPENDENT  AUDITORS,  PROJECT  MANAGERS,  LEGAL
COUNSEL, OR OTHER PROFESSIONALS FOR THE BENEFIT OF THE PROJECT;
  (VIII)  REGULAR  REPORTING  OF  PROJECT  STATUS  AND MILESTONES TO THE
PUBLIC;
  (IX) ACTIVE PROJECT MANAGEMENT REVIEW AND  OVERSIGHT  UTILIZING  ADDI-
TIONAL RESOURCES PROVIDED BY THE CORPORATION; AND
  (X) PERIODIC PROJECT REVIEW AND AUDIT BY THE CORPORATION ON A SUITABLE
TIME INTERVAL DETERMINED BY THE CORPORATION.
  (F)  ANY  STATE AGENCY, DEPARTMENT, PUBLIC AUTHORITY OR PUBLIC BENEFIT
CORPORATION PROPOSING A PUBLIC WORKS PROJECT HAVING A TOTAL OR AGGREGATE
CONSTRUCTION VALUE IN EXCESS OF FIFTY MILLION DOLLARS  SHALL  INCLUDE  A
SUMMARY  OF  THE  PROVISIONS  OF  THIS  SUBDIVISION IN ALL SUCH PROPOSAL
AND/OR BID DOCUMENTS FOR SUCH PROJECTS.
  (G) ALL CONTRACT DOCUMENTS SHALL EXPRESSLY INCORPORATE THE  PROVISIONS
OF  THIS  SECTION AND INCLUDE COMPLIANCE WITH THE PROVISIONS HEREOF AS A
CONDITION OF PERFORMANCE.
  4. GENERAL POWERS AND DUTIES OF THE CORPORATION. (A)  THE  CORPORATION
SHALL HAVE THE POWER TO:
  (I) SUE AND BE SUED;
  (II) HAVE A SEAL AND ALTER THE SAME AT PLEASURE;
  (III) MAKE AND ALTER BY-LAWS FOR ITS ORGANIZATION AND INTERNAL MANAGE-
MENT AND MAKE RULES AND REGULATIONS GOVERNING SAME;
  (IV) APPOINT SUCH OFFICERS AND EMPLOYEES FROM THE OFFICERS AND EMPLOY-
EES  OF  THE  AUTHORITY,  AS  IT  MAY REQUIRE FOR THE PERFORMANCE OF ITS
DUTIES AND FIX AND DETERMINE THEIR QUALIFICATIONS, DUTIES,  AND  COMPEN-
SATION,  AND  RETAIN  OR  EMPLOY  COUNSEL,  AUDITORS,  PRIVATE FINANCIAL
CONSULTANTS, PROFESSIONAL ENGINEERS OR OTHER TECHNICAL  CONSULTANTS  AND
OTHER  SERVICES  ON  A CONTRACT BASIS OR OTHERWISE, FOR THE RENDERING OF
PROFESSIONAL, BUSINESS OR TECHNICAL SERVICES AND ADVICE,  AND  BE  REIM-
BURSED FOR SUCH SERVICES AS A COST OF THE PROJECT;
  (V)  MAKE AND EXECUTE CONTRACTS AND ALL OTHER INSTRUMENTS NECESSARY OR
CONVENIENT FOR THE EXERCISE OF  ITS  POWERS  AND  FUNCTIONS  UNDER  THIS
SECTION;
  (VI) TO FIX AND COLLECT FEES AND OTHER CHARGES FOR SERVICES THE CORPO-
RATION RENDERS IN CONNECTION WITH THIS SECTION;

S. 6405                            86                            A. 9005

  (VII)  ACQUIRE,  HOLD AND DISPOSE OF REAL OR PERSONAL PROPERTY FOR ITS
CORPORATE PURPOSES, INCLUDING WITHOUT LIMITATION THE POWER  TO  EXERCISE
EMINENT DOMAIN;
  (VIII)  ENGAGE THE SERVICES OF PRIVATE CONSULTANTS ON A CONTRACT BASIS
FOR RENDERING PROFESSIONAL AND TECHNICAL ASSISTANCE ADVICE;
  (IX) PROCURE INSURANCE AGAINST ANY LOSS IN CONNECTION WITH ITS  ACTIV-
ITIES,  PROPERTIES AND OTHER ASSETS, IN SUCH AMOUNT AND FROM SUCH INSUR-
ANCE AS IT DEEMS DESIRABLE; AND
  (X) INVEST ANY FUNDS OF THE CORPORATION, OR ANY OTHER MONIES UNDER ITS
CUSTODY AND CONTROL NOT REQUIRED FOR IMMEDIATE USE OR  DISBURSEMENT,  AT
THE  DISCRETION  OF  THE CORPORATION, IN OBLIGATIONS OF THE STATE OR THE
UNITED STATES GOVERNMENT OR OBLIGATIONS THE PRINCIPAL  AND  INTEREST  OF
WHICH  ARE  OBLIGATIONS IN WHICH THE COMPTROLLER OF THE STATE IS AUTHOR-
IZED TO INVEST PURSUANT TO SECTION NINETY-EIGHT  OF  THE  STATE  FINANCE
LAW.
  (B)  THE CORPORATION MAY DO ANY AND ALL THINGS NECESSARY OR CONVENIENT
TO CARRY OUT AND EXERCISE THE POWERS GIVEN AND GRANTED BY THIS SECTION.
  (C) NOTWITHSTANDING ANY OTHER PROVISION OF LAW, TO THE  CONTRARY,  ALL
STATE  OFFICERS,  DEPARTMENTS,  BOARDS,  DIVISIONS,  COMMISSIONS, PUBLIC
AUTHORITIES AND PUBLIC BENEFIT CORPORATIONS  SHALL  COOPERATE  WITH  THE
CORPORATION IN EVERY WAY AND SHALL IMPLEMENT ANY AND ALL RECOMMENDATIONS
OF  THE  CORPORATION IN ANY MANNER WITHOUT THE APPROVAL OR AUTHORIZATION
OF ANY STATE OFFICER OR AGENCY.
  5. TERMINATION OF  CORPORATION.  THE  CORPORATION  AND  ITS  CORPORATE
EXISTENCE  SHALL  CONTINUE  UNTIL  TERMINATED BY LAW, PROVIDED, HOWEVER,
THAT NO SUCH LAW SHALL TAKE EFFECT SO LONG AS THE CORPORATION SHALL HAVE
OBLIGATIONS OUTSTANDING, UNLESS ADEQUATE PROVISION HAS BEEN MADE FOR THE
PAYMENT OR EXERCISE THEREOF.
  S 2. This act shall take effect immediately.

                                 PART J

  Section 1. Section 167 of the civil service law is amended by adding a
new subdivision 10 to read as follows:
  10. NOTWITHSTANDING ANY INCONSISTENT PROVISION  OF  LAW,  THE  STATE'S
CONTRIBUTION  FOR  THE  COST  OF PREMIUM OR SUBSCRIPTION CHARGES FOR THE
COVERAGE OF RETIRED STATE EMPLOYEES WHO ARE ENROLLED  IN  THE  STATEWIDE
AND  THE SUPPLEMENTARY HEALTH BENEFIT PLANS ESTABLISHED PURSUANT TO THIS
ARTICLE AND WHO RETIRED ON OR AFTER OCTOBER FIRST, TWO THOUSAND  SIXTEEN
SHALL BE AS SET FORTH IN THIS SUBDIVISION.
  (A)  FOR  STATE  EMPLOYEES WHO RETIRE FROM A POSITION AT OR EQUATED TO
GRADE TEN OR HIGHER WITH AT LEAST TEN BUT  LESS  THAN  TWENTY  YEARS  OF
SERVICE,  THE  STATE  SHALL  PAY FIFTY PERCENT OF THE COST OF PREMIUM OR
SUBSCRIPTION CHARGES FOR THE INDIVIDUAL COVERAGE OF SUCH  RETIRED  STATE
EMPLOYEES.  SUCH CONTRIBUTIONS SHALL INCREASE BY TWO PERCENT OF THE COST
OF PREMIUM OR SUBSCRIPTION CHARGES FOR EACH YEAR OF SERVICE IN EXCESS OF
TEN YEARS, TO A MAXIMUM OF SIXTY-EIGHT PERCENT OF THE COST OF PREMIUM OR
SUBSCRIPTION CHARGES. FOR STATE EMPLOYEES WHO RETIRE FROM A POSITION  AT
OR  EQUATED TO GRADE TEN OR HIGHER WITH TWENTY OR MORE YEARS OF SERVICE,
THE STATE SHALL PAY SEVENTY-FOUR PERCENT  OF  THE  COST  OF  PREMIUM  OR
SUBSCRIPTION  CHARGES  FOR THE INDIVIDUAL COVERAGE OF SUCH RETIRED STATE
EMPLOYEES. SUCH CONTRIBUTIONS SHALL INCREASE BY ONE PERCENT OF THE  COST
OF PREMIUM OR SUBSCRIPTION CHARGES FOR EACH YEAR OF SERVICE IN EXCESS OF
TWENTY YEARS, TO A MAXIMUM OF EIGHTY-FOUR PERCENT OF THE COST OF PREMIUM
OR SUBSCRIPTION CHARGES.

S. 6405                            87                            A. 9005

  (B)  FOR  STATE  EMPLOYEES WHO RETIRE FROM A POSITION AT OR EQUATED TO
GRADE NINE OR LOWER WITH AT LEAST TEN BUT  LESS  THAN  TWENTY  YEARS  OF
SERVICE,  THE  STATE SHALL PAY FIFTY-FOUR PERCENT OF THE COST OF PREMIUM
OR SUBSCRIPTION CHARGES FOR THE  INDIVIDUAL  COVERAGE  OF  SUCH  RETIRED
STATE  EMPLOYEES.    SUCH CONTRIBUTIONS SHALL INCREASE BY TWO PERCENT OF
THE COST OF PREMIUM OR SUBSCRIPTION CHARGES FOR EACH YEAR OF SERVICE  IN
EXCESS  OF TEN YEARS, TO A MAXIMUM OF SEVENTY-TWO PERCENT OF THE COST OF
PREMIUM OR SUBSCRIPTION CHARGES.  FOR STATE EMPLOYEES WHO RETIRE FROM  A
POSITION  AT OR EQUATED TO GRADE NINE OR LOWER WITH TWENTY OR MORE YEARS
OF SERVICE, THE STATE SHALL PAY SEVENTY-EIGHT PERCENT  OF  THE  COST  OF
PREMIUM SUBSCRIPTION CHARGES FOR THE INDIVIDUAL COVERAGE OF SUCH RETIRED
STATE EMPLOYEES. SUCH CONTRIBUTIONS SHALL INCREASE BY ONE PERCENT OF THE
COST  OF  PREMIUM  OR  SUBSCRIPTION  CHARGES FOR EACH YEAR OF SERVICE IN
EXCESS OF TWENTY YEARS, TO A MAXIMUM OF EIGHTY-EIGHT PERCENT OF THE COST
OF PREMIUM OR SUBSCRIPTION CHARGES.
  (C) FOR STATE EMPLOYEES WHO RETIRE FROM A POSITION AT  OR  EQUATED  TO
GRADE  TEN  OR  HIGHER  WITH  AT LEAST TEN BUT LESS THAN TWENTY YEARS OF
SERVICE, THE STATE SHALL PAY THIRTY-FIVE PERCENT OF THE COST OF  PREMIUM
OR  SUBSCRIPTION  CHARGES FOR THE COVERAGE OF DEPENDENTS OF SUCH RETIRED
STATE EMPLOYEES; SUCH CONTRIBUTION SHALL INCREASE BY TWO PERCENT OF  THE
COST  OF  PREMIUM  OR  SUBSCRIPTION  CHARGES FOR EACH YEAR OF SERVICE IN
EXCESS OF TEN YEARS, TO A MAXIMUM OF FIFTY-THREE PERCENT OF THE COST  OF
PREMIUM OR SUBSCRIPTION CHARGES FOR SUCH DEPENDENTS. FOR STATE EMPLOYEES
WHO  RETIRE  FROM  A  POSITION AT OR EQUATED TO GRADE TEN OR HIGHER WITH
TWENTY OR MORE YEARS OF SERVICE, THE STATE SHALL PAY FIFTY-NINE  PERCENT
OF  THE  COST  OF  PREMIUM  OR  SUBSCRIPTION CHARGES FOR THE COVERAGE OF
DEPENDENTS OF SUCH RETIRED  STATE  EMPLOYEES;  SUCH  CONTRIBUTION  SHALL
INCREASE  BY  ONE PERCENT OF THE COST OF PREMIUM OR SUBSCRIPTION CHARGES
FOR EACH YEAR OF SERVICE IN EXCESS OF TWENTY  YEARS,  TO  A  MAXIMUM  OF
SIXTY-NINE  PERCENT  OF  THE COST OF PREMIUM OR SUBSCRIPTION CHARGES FOR
SUCH DEPENDENTS.
  (D) FOR STATE EMPLOYEES WHO RETIRE FROM A POSITION AT  OR  EQUATED  TO
GRADE  NINE  OR  LOWER  WITH  AT LEAST TEN BUT LESS THAN TWENTY YEARS OF
SERVICE, THE STATE SHALL PAY THIRTY-NINE PERCENT OF THE COST OF  PREMIUM
OR  SUBSCRIPTION  CHARGES FOR THE COVERAGE OF DEPENDENTS OF SUCH RETIRED
STATE EMPLOYEES; SUCH CONTRIBUTION SHALL INCREASE BY TWO PERCENT OF  THE
COST  OF  PREMIUM  OR  SUBSCRIPTION  CHARGES FOR EACH YEAR OF SERVICE IN
EXCESS OF TEN YEARS, TO A MAXIMUM OF FIFTY-SEVEN PERCENT OF THE COST  OF
PREMIUM OR SUBSCRIPTION CHARGES FOR SUCH DEPENDENTS. FOR STATE EMPLOYEES
WHO  RETIRE  FROM  A  POSITION AT OR EQUATED TO GRADE NINE OR LOWER WITH
TWENTY OR MORE YEARS OF SERVICE, THE STATE SHALL PAY SIXTY-THREE PERCENT
OF THE COST OF PREMIUM OR  SUBSCRIPTION  CHARGES  FOR  THE  COVERAGE  OF
DEPENDENTS  OF  SUCH  RETIRED  STATE  EMPLOYEES; SUCH CONTRIBUTION SHALL
INCREASE BY ONE PERCENT OF THE COST OF PREMIUM OR  SUBSCRIPTION  CHARGES
FOR  EACH  YEAR  OF  SERVICE  IN EXCESS OF TWENTY YEARS, TO A MAXIMUM OF
SEVENTY-THREE PERCENT OF THE COST OF PREMIUM OR SUBSCRIPTION CHARGES FOR
SUCH DEPENDENTS.
  (E) WITH RESPECT TO ALL SUCH RETIRED STATE EMPLOYEES,  EACH  INCREMENT
OF ONE OR TWO PERCENT OF THE COST OF PREMIUM OR SUBSCRIPTION CHARGES FOR
EACH  YEAR  OF SERVICE SHALL BE APPLICABLE FOR WHOLE YEARS OF SERVICE TO
THE STATE AND SHALL NOT BE APPLIED ON A PRO-RATA BASIS FOR PARTIAL YEARS
OF SERVICE.
  (F) THE PROVISIONS OF THIS SUBDIVISION SHALL NOT BE APPLICABLE TO:
  (I) MEMBERS OF THE NEW YORK STATE AND LOCAL POLICE AND FIRE RETIREMENT
SYSTEM;

S. 6405                            88                            A. 9005

  (II) MEMBERS IN THE UNIFORMED  PERSONNEL  IN  INSTITUTIONS  UNDER  THE
JURISDICTION OF THE STATE DEPARTMENT OF CORRECTIONS AND COMMUNITY SUPER-
VISION  OR WHO ARE SECURITY HOSPITAL TREATMENT ASSISTANTS, AS DEFINED IN
SECTION EIGHTY-NINE OF THE RETIREMENT AND SOCIAL SECURITY LAW; AND
  (III)  ANY STATE EMPLOYEE DETERMINED TO HAVE RETIRED WITH AN ORDINARY,
ACCIDENTAL, OR PERFORMANCE OF DUTY DISABILITY RETIREMENT BENEFIT.
  (G) FOR THE PURPOSES OF DETERMINING THE PREMIUM OR SUBSCRIPTION CHARG-
ES TO BE PAID BY THE STATE ON BEHALF OF RETIRED STATE EMPLOYEES ENROLLED
IN THE NEW YORK STATE HEALTH INSURANCE PROGRAM WHO RETIRE  ON  OR  AFTER
OCTOBER  FIRST, TWO THOUSAND SIXTEEN, THE STATE SHALL CONSIDER ALL YEARS
OF SERVICE THAT A RETIRED STATE EMPLOYEE HAS ACCRUED IN A PUBLIC RETIRE-
MENT SYSTEM OF THE STATE OR AN OPTIONAL RETIREMENT  PROGRAM  ESTABLISHED
PURSUANT  TO ARTICLE THREE, EIGHT-B, OR ONE HUNDRED TWENTY-FIVE-A OF THE
EDUCATION LAW. THE PROVISIONS OF THIS PARAGRAPH MAY NOT BE USED TO GRANT
ELIGIBILITY FOR RETIREE STATE HEALTH INSURANCE COVERAGE TO A RETIREE WHO
IS NOT OTHERWISE ELIGIBLE TO ENROLL IN THE NEW YORK STATE HEALTH  INSUR-
ANCE PROGRAM AS A RETIREE.
  S 2. This act shall take effect October 1, 2016.

                                 PART K

  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,  EFFECTIVE
OCTOBER  FIRST, TWO THOUSAND SIXTEEN, an amount [equal to] NOT TO EXCEED
ONE HUNDRED FOUR DOLLARS AND NINETY CENTS PER  MONTH  FOR  the  STANDARD
MEDICARE  premium  charge for such supplementary medical insurance bene-
fits 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;  PROVIDED,  HOWEVER,
EFFECTIVE JANUARY FIRST, TWO THOUSAND SIXTEEN, THERE SHALL BE NO PAYMENT
WHATSOEVER  FOR  THE  INCOME  RELATED  MONTHLY ADJUSTMENT AMOUNT FOR ANY
AMOUNTS OR PREMIUMS INCURRED ON OR AFTER  JANUARY  FIRST,  TWO  THOUSAND
SIXTEEN, TO ANY ACTIVE OR RETIRED EMPLOYEE AND HIS OR HER DEPENDENTS, IF
ANY.  Where  appropriate,  such  STANDARD MEDICARE PREMIUM 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  STANDARD  MEDICARE  PREMIUM  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  corporations or other quasi-public organizations of the
state eligible for participation in the health benefit plan  as  author-
ized by subdivision two of section one hundred sixty-three of this arti-
cle,  shall  be  adjusted  as necessary to cover the cost of reimbursing
federal old-age, survivors  and  disability  insurance  program  premium
charges  under  this  section. This cost shall be included in the calcu-
lation 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

S. 6405                            89                            A. 9005

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 October 1, 2016 for  the
standard  medicare  premium  amount  and  January 1, 2016 for the income
related monthly adjustment amount for any amounts or  premiums  incurred
on or after January 1, 2016.

                                 PART L

  Section  1. Paragraph (d) of subdivision 4 of section 209 of the civil
service law, as amended by chapter 67 of the laws of 2013, is amended to
read as follows:
  (d) The provisions of this subdivision shall expire [thirty-nine years
from July first, nineteen hundred seventy-seven, and  hereafter  may  be
renewed every four years] JULY FIRST, TWO THOUSAND NINETEEN.
  S  2.  Paragraph  (f)  of  subdivision  6  of section 209 of the civil
service law, as added by chapter 67 of the laws of 2013, is  amended  to
read as follows:
  (f) The provisions of this subdivision shall expire [three years from]
July first, two thousand [thirteen] NINETEEN.
  S 3. This act shall take effect immediately.

                                 PART M

  Section  1.  The opening paragraph of subdivision 3 of section 93-b of
the state finance law, as added by section 1 of part H of chapter 60  of
the laws of 2015, is amended to read as follows:
  Notwithstanding  any  other provisions of law to the contrary, for the
state fiscal year commencing on April first, two thousand  fifteen,  AND
EACH  STATE FISCAL YEAR THEREAFTER, the comptroller is hereby authorized
to transfer monies from the dedicated infrastructure investment fund  to
the general fund, and from the general fund to the dedicated infrastruc-
ture  investment  fund,  in  an amount determined by the director of the
budget to the extent moneys are available in the fund; provided,  howev-
er,  that the comptroller is only authorized to transfer monies from the
dedicated infrastructure investment fund to  the  general  fund  in  the
event  of  an  economic  downturn  as described in paragraph (a) of this
subdivision; and/or to fulfill disallowances and/or settlements  related
to  over-payments of federal medicare and medicaid revenues in excess of
one hundred million dollars from anticipated levels,  as  determined  by
the director of the budget and described in paragraph (b) of this subdi-
vision.
  S 2. This act shall take effect immediately.

                                 PART N

  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. Proprietary vocational school supervision account (20452).

S. 6405                            90                            A. 9005

  2. Local government records management account (20501).
  3. Child health plus program account (20810).
  4. EPIC premium account (20818).
  5. Education - New (20901).
  6. VLT - Sound basic education fund (20904).
  7.   Sewage  treatment  program  management  and  administration  fund
(21000).
  8. Hazardous bulk storage account (21061).
  9. Federal grants indirect cost recovery account (21065).
  10. Low level radioactive waste account (21066).
  11. Recreation account (21067).
  12. Public safety recovery account (21077).
  13. Environmental regulatory account (21081).
  14. Natural resource account (21082).
  15. Mined land reclamation program account (21084).
  16. Great lakes restoration initiative account (21087).
  17. Environmental protection and oil spill compensation fund (21200).
  18. Public transportation systems account (21401).
  19. Metropolitan mass transportation (21402).
  20. Operating permit program account (21451).
  21. Mobile source account (21452).
  22.  Statewide  planning  and  research  cooperative  system   account
(21902).
  23. Mental hygiene program fund account (21907).
  24. Mental hygiene patient income account (21909).
  25. Financial control board account (21911).
  26. Regulation of racing account (21912).
  27. New York Metropolitan Transportation Council account (21913).
  28. State university dormitory income reimbursable account (21937).
  29. Criminal justice improvement account (21945).
  30. Environmental laboratory reference fee account (21959).
  31. Clinical laboratory reference system assessment account (21962).
  32. Indirect cost recovery account (21978).
  33. High school equivalency program account (21979).
  34. Multi-agency training account (21989).
  35.  Interstate  reciprocity  for  post-secondary  distance  education
account.
  36. Bell jar collection account (22003).
  37. Industry and utility service account (22004).
  38. Real property disposition account (22006).
  39. Parking account (22007).
  40. Asbestos safety training program account (22009).
  41. Batavia school for the blind account (22032).
  42. Investment services account (22034).
  43. Surplus property account (22036).
  44. Financial oversight account (22039).
  45. Regulation of Indian gaming account (22046).
  46. Rome school for the deaf account (22053).
  47. Seized assets account (22054).
  48. Administrative adjudication account (22055).
  49. Federal salary sharing account (22056).
  50. New York City assessment account (22062).
  51. Cultural education account (22063).
  52. Local services account (22078).
  53. DHCR mortgage servicing account (22085).
  54. Department of motor vehicles compulsory insurance account (22087).

S. 6405                            91                            A. 9005

  55. Housing indirect cost recovery account (22090).
  56. DHCR-HCA application fee account (22100).
  57. Low income housing monitoring account (22130).
  58. Corporation administration account (22135).
  59. Montrose veteran's home account (22144).
  60. Deferred compensation administration account (22151).
  61. Rent revenue other New York City account (22156).
  62. Rent revenue account (22158).
  63. Tax revenue arrearage account (22168).
  64. State university general income offset account (22654).
  65. Lake George park trust fund account (22751).
  66. State police motor vehicle law enforcement account (22802).
  67. Highway safety program account (23001).
  68. EFC drinking water program account (23101).
  69. DOH drinking water program account (23102).
  70. NYCCC operating offset account (23151).
  71. Commercial gaming revenue account (23701).
  72. Commercial gaming regulation account (23702).
  73. Highway and bridge capital account (30051).
  74. State university residence hall rehabilitation fund (30100).
  75. State parks infrastructure account (30351).
  76. Clean water/clean air implementation fund (30500).
  77. Hazardous waste remedial cleanup account (31506).
  78. Youth facilities improvement account (31701).
  79. Housing assistance fund (31800).
  80. Housing program fund (31850).
  81. Highway facility purpose account (31951).
  82. Information technology capital financing account (32215).
  83. New York racing account (32213).
  84. Mental hygiene facilities capital improvement fund (32300).
  85. Correctional facilities capital improvement fund (32350).
  86. New York State Storm Recovery Capital Fund (33000).
  87. OGS convention center account (50318).
  88. Empire Plaza Gift Shop (50327)
  89. Centralized services fund (55000).
  90. Archives records management account (55052).
  91. Federal single audit account (55053).
  92. Civil service EHS occupational health program account (55056).
  93. Banking services account (55057).
  94. Cultural resources survey account (55058).
  95. Automation & printing chargeback account (55060).
  96. OFT NYT account (55061).
  97. Data center account (55062).
  98. Intrusion detection account (55066).
  99. Domestic violence grant account (55067).
  100. Centralized technology services account (55069).
  101. Labor contact center account (55071).
  102. Human services contact center account (55072).
  103. Policing the NYS thruway account.
  104. Executive direction internal audit account (55251).
  105. CIO Information technology centralized services account (55252).
  106. Health insurance internal service account (55300).
  107.  Civil  service employee benefits division administrative account
(55301).
  108. Correctional industries revolving fund (55350).
  109. Employees health insurance account (60201).

S. 6405                            92                            A. 9005

  110. Medicaid management information system escrow fund (60900).
  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 and nutrition services fund (25000).
  2. Federal health and human services fund (25100).
  3. Federal education fund (25200).
  4. Federal block grant fund (25250).
  5. Federal miscellaneous operating grants fund (25300).
  6. Federal unemployment insurance administration fund (25900).
  7. Federal unemployment insurance occupational training fund (25950).
  8. Federal emergency employment act fund (26000).
  9. Federal capital projects fund (31350).
  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, 2017, and with respect to item 5 under the miscella-
neous category set forth in this section, up  to  and  after  March  31,
2017, up to the unencumbered balance or the following 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.  $3,000,000  from  the  general  fund  to the miscellaneous special
revenue fund, tax revenue arrearage account (22168).
  Education:
  1. $2,260,000,000 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. $986,000,000 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. Up to $137,700,000 from the moneys deposited in  commercial  gaming
revenue  account  (23701)  to  the  general  fund  as  reimbursement for
disbursements made from the general fund for supplemental aid to  educa-
tion during the prior fiscal year due to the unencumbered balance of the
commercial  gaming  revenue  account  during the prior fiscal year being
less than required to fully fund payments of general support for  public
schools, pursuant to Chapter 61 of the laws of 2015.
  5.  $300,000  from the local government records management improvement
fund (20500) to the archives partnership trust fund (20350).

S. 6405                            93                            A. 9005

  6. $900,000 from the general fund to the miscellaneous special revenue
fund, Batavia school for the blind account (22032).
  7. $900,000 from the general fund to the miscellaneous special revenue
fund, Rome school for the deaf account (22053).
  8.  $343,400,000  from  the  state  university  dormitory  income fund
(40350) 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. $40,000,000 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, 2015 through March 31,
2016.
  12. An amount up to $14,251,000 from the general  fund  to  the  state
university   income  fund,  state  university  general  revenue  account
(22653).
  Environmental Affairs:
  1. $16,000,000 from any of the department of  environmental  conserva-
tion's  special  revenue federal funds to the environmental conservation
special revenue fund, federal indirect recovery account (21065).
  2. $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.
  3. $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 miscellaneous special revenue fund, federal grant indirect
cost recovery account (22188).
  4. $1,000,000 from any of the office of parks, recreation and historic
preservation special revenue federal funds to the miscellaneous  special
revenue fund, I love NY water account (21930).
  5.  $146,000,000 from the general fund to the environmental protection
fund, environmental protection fund transfer account (30451).
  6. $9,700,000 from the general fund to the  hazardous  waste  remedial
fund, hazardous waste oversight and assistance account (31505).
  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.  $4,000,000  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. $18,670,000 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.

S. 6405                            94                            A. 9005

  4.  $140,000,000  from  any  of the office of temporary and disability
assistance or department of health special revenue funds to the  general
fund.
  5.  $2,500,000  from  any  of  the  office of temporary and disability
assistance special revenue federal funds to  the  miscellaneous  special
revenue  fund,  office  of  temporary  and disability assistance program
account (21980).
  6. $21,000,000 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
children and family services miscellaneous special revenue fund,  multi-
agency training contract account (21989).
  7.  $65,000,000  from  the  miscellaneous  special revenue fund, youth
facility per diem account (22186), to the general fund.
  8. $621,850 from the general fund to the combined gifts,  grants,  and
bequests fund, WB Hoyt Memorial account (20128).
  9.  $3,100,000  from  the  miscellaneous  special  revenue fund, state
central registry (22028), to the general fund.
  10. $1,000,000 from the general  fund  to  the  housing  program  fund
(31850).
  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 (55300).
  3.  $192,400,000  from  the  health  insurance  reserve  receipts fund
(60550) to the general fund.
  4. $150,000 from the general fund to the not-for-profit revolving loan
fund (20650).
  5. $150,000 from the not-for-profit revolving loan fund (20650) to the
general fund.
  6. $3,000,000 from the miscellaneous  special  revenue  fund,  surplus
property account (22036), to the general fund.
  7.  $19,000,000  from  the miscellaneous special revenue fund, revenue
arrearage account (22024), to the general fund.
  8. $1,826,000 from the miscellaneous  special  revenue  fund,  revenue
arrearage  account  (22024),  to the miscellaneous special revenue fund,
authority budget office account (22138).
  9. $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.
  10. $21,789,000 from the general  fund  to  the  centralized  services
fund, COPS account (55013).
  11.  $2,360,000 from the general fund to the agencies internal service
fund, central technology services account (55069), for  the  purpose  of
enterprise technology projects.
  12.  $15,000,000 from the miscellaneous special revenue fund, workers'
compensation account (21995),  to  the  miscellaneous  capital  projects
fund, workers' compensation board IT business process design fund.
  Health:
  1. $33,710,000 from the miscellaneous special revenue fund, quality of
care account (21915), to the general fund.
  2.  A transfer from the general fund to the combined gifts, grants and
bequests fund, breast cancer research and education account (20155),  up
to  an  amount  equal  to  the  monies collected and deposited into that
account in the previous fiscal year.

S. 6405                            95                            A. 9005

  3. A transfer from the general fund to the combined gifts, grants  and
bequests  fund,  prostate  cancer  research,  detection,  and  education
account (20183), up to an amount  equal  to  the  moneys  collected  and
deposited into that account in the previous fiscal year.
  4.  A transfer from the general fund to the combined gifts, grants and
bequests fund,  Alzheimer's  disease  research  and  assistance  account
(20143),  up  to  an  amount equal to the moneys collected and deposited
into that account in the previous fiscal year.
  5. $30,295,000 from the HCRA resources fund (20800) to  the  miscella-
neous  special  revenue  fund, empire state stem cell trust fund account
(22161).
  6. $7,000,000 from the miscellaneous special revenue fund, certificate
of need account (21920), to the  miscellaneous  capital  projects  fund,
healthcare IT capital subfund (32216).
  7.  $1,000,000  from  the miscellaneous special revenue fund, adminis-
tration program account (21982), to the miscellaneous  capital  projects
fund, healthcare IT capital account (32216).
  8.  $1,000,000  from  the  miscellaneous  special  revenue fund, vital
records account (22103), to the  miscellaneous  capital  projects  fund,
healthcare IT capital account (32216).
  9.  $55,500,000  from  the  HCRA resources fund (20800) to the capital
projects fund (30000).
  10. $3,700,000 from the miscellaneous  New  York  state  agency  fund,
medical assistance account to the general fund.
  11.  $4,886,000  from  the general fund to the medical marihuana trust
fund, health operation and oversight account (23755).
  12. $1,086,000 from the miscellaneous special  revenue  fund,  certif-
icate of need account (21920), to the general fund.
  13.  $1,000,000  from  the miscellaneous special revenue fund, profes-
sional medical conduct account (22088),  to  the  miscellaneous  capital
projects fund, healthcare IT capital account (32216).
  Labor:
  1.  $400,000  from the miscellaneous special revenue fund, DOL fee and
penalty account (21923), to the child performer's protection fund, child
performer protection account (20401).
  2. $8,400,000 from the miscellaneous special revenue fund, DOL fee and
penalty account (21923), to the general fund.
  3. $3,300,000 from the unemployment  insurance  interest  and  penalty
fund,  unemployment  insurance  special  interest  and  penalty  account
(23601), 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. $1,950,000,000 from the general fund to the  miscellaneous  special
revenue fund, mental hygiene patient income account (21909).
  3.  $1,550,000,000  from the general fund to the miscellaneous special
revenue fund, mental hygiene program fund account (21907).
  4. $100,000,000 from the miscellaneous special  revenue  fund,  mental
hygiene program fund account (21907), to the general fund.
  5.  $100,000,000  from  the miscellaneous special revenue fund, mental
hygiene patient income account (21909), to the general fund.
  6. $3,800,000 from the  miscellaneous  special  revenue  fund,  mental
hygiene patient income account (21909), to the agencies internal service
fund, civil service EHS occupational health program account (55056).

S. 6405                            96                            A. 9005

  7.  $5,000,000  from  the  chemical dependance service fund, substance
abuse services  fund  account  (22700),  to  the  miscellaneous  capital
projects fund, chemical dependance service capital account.
  Public Protection:
  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.  $10,500,000  from  the general fund to the correctional industries
revolving  fund,  correctional  industries  internal   service   account
(55350).
  4.  $3,000,000  from  the federal miscellaneous operating grants fund,
DMNA damage account (25324), to the general fund.
  5. $6,300,000 from the  general  fund  to  the  miscellaneous  special
revenue fund, crimes against revenue program account (22015).
  6.  $8,600,000  from  the miscellaneous special revenue fund, criminal
justice improvement account (21945), to the general fund.
  7. $106,000,000 from the state police motor  vehicle  law  enforcement
and  motor  vehicle  theft  and  insurance  fraud prevention fund, state
police motor vehicle enforcement account (22802), to  the  general  fund
for state operation expenses of the division of state police.
  8.  $53,500,000  from  the general fund to the correctional facilities
capital improvement fund (32350).
  9. $5,000,000 from the general  fund  to  the  dedicated  highway  and
bridge trust fund (30050) for the purpose of work zone safety activities
provided by the division of state police for the department of transpor-
tation.
  10. $10,000,000 from the miscellaneous special revenue fund, statewide
public  safety  communications  account (22123), to the capital projects
fund (30000).
  11. $2,900,000 from the  miscellaneous  special  revenue  fund,  legal
services assistance account (22096), to the general fund.
  12.  $300,000  from the state police motor vehicle law enforcement and
motor vehicle theft and insurance fraud prevention fund,  motor  vehicle
theft and insurance fraud account (22801), to the general fund.
  13.  $1,000,000 from the general fund to the agencies internal service
fund, center for employment opportunities NWP account.
  Transportation:
  1. $17,672,000 from the federal miscellaneous operating grants fund to
the miscellaneous special revenue fund, New York Metropolitan  Transpor-
tation Council account (21913).
  2. $20,147,000 from the federal capital projects fund to the miscella-
neous special revenue fund, New York Metropolitan Transportation Council
account (21913).
  3.  $1,240,000 from the miscellaneous special revenue fund, compulsory
insurance account (22087), to the dedicated  highway  and  bridge  trust
fund (30050).
  4.  $14,878,096 from the general fund to the mass transportation oper-
ating assistance fund, public transportation systems  operating  assist-
ance account (21401), of which $12,000,000 constitutes the base need for
operations.
  5.  $750,000,000  from  the  general fund to the dedicated highway and
bridge trust fund (30050).
  6. $936,000 from the  miscellaneous  special  revenue  fund,  accident
prevention  course program account (22094), to the dedicated highway and
bridge trust fund (30050).

S. 6405                            97                            A. 9005

  7. $1,234,000 from the miscellaneous special revenue fund,  motorcycle
safety  account  (21976), to the dedicated highway and bridge trust fund
(30050).
  8.  $309,250,000 from the general fund to the MTA financial assistance
fund, mobility tax trust account (23651).
  9. $5,000,000 from the miscellaneous special revenue fund, transporta-
tion regulation account (22067) to  the  dedicated  highway  and  bridge
trust  fund  (30050),  for  disbursements  made from such fund for motor
carrier safety that are in excess of the amounts deposited in the  dedi-
cated highway and bridge trust fund (30050) for such purpose pursuant to
section 94 of the transportation law.
  10. $34,000 from the miscellaneous special revenue fund, seized assets
account (21906), to the dedicated highway and bridge trust fund (30050).
  Miscellaneous:
  1. $250,000,000 from the general fund to any funds or accounts for the
purpose of reimbursing certain outstanding accounts receivable balances.
  2.  $500,000,000  from  the general fund to the debt reduction reserve
fund (40000).
  3. $450,000,000 from the New York state storm  recovery  capital  fund
(33000) to the revenue bond tax fund (40152).
  4.  $15,500,000  from  the general fund, community projects account GG
(10256), to the general fund, state purposes account (10050).
  5. $1,840,000,000 from the general fund to the  dedicated  infrastruc-
ture investment fund.
  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, 2017:
  1. Upon request of the commissioner of environmental conservation,  up
to  $11,410,000 from revenues credited to any of the department of envi-
ronmental conservation special revenue funds, including $3,293,400  from
the  environmental  protection  and oil spill compensation fund (21200),
and $1,783,600 from the conservation fund (21150), 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 miscellaneous special revenue fund, housing indirect
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  $5,000,000  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. On or before March 31, 2017, the comptroller is hereby authorized
and directed to deposit earnings that  would  otherwise  accrue  to  the

S. 6405                            98                            A. 9005

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  5.  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
reimbursement of bondable equipment for further transfer to the  state's
general fund.
  S  6.  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, 2017, 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  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, 2017, 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  8.  Notwithstanding  any  law to the contrary, the state university
chancellor or his or her designee is authorized and directed to transfer
estimated tuition revenue balances from the state university  collection
fund  (61000)  to  the  state  university  income fund, state university
general revenue offset account (22655) on or before March 31, 2017.
  S 9. 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  $69,264,000  from  the  general  fund to the state university income
fund, state university hospitals  income  reimbursable  account  (22656)
during  the period July 1, 2016 through June 30, 2017 to reflect ongoing
state subsidy of SUNY hospitals and to pay  costs  attributable  to  the
SUNY hospitals' state agency status.
  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 $996,778,300 from the general fund to  the  state  university  income
fund, state university general revenue offset account (22655) during the
period  of  July  1, 2016 through June 30, 2017 to support operations at
the state university.
  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 state university chancel-
lor or his or her designee, up to $55,000,000 from the state  university
income  fund,  state  university  hospitals  income reimbursable account
(22656), for services and expenses of hospital  operations  and  capital
expenditures at the state university hospitals; and the state university

S. 6405                            99                            A. 9005

income  fund,  Long  Island  veterans' home account (22652) to the state
university capital projects fund (32400) on or before June 30, 2017.
  S  12. 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-
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 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 hospitals income reimbursable account (22656)  to
pay  hospital  operating  costs or 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, 2017.
  S 13. Notwithstanding any law to the contrary, upon the  direction  of
the director of the budget and the chancellor of the state university of
New York or his or her designee, and in accordance with section 4 of the
state  finance law, the comptroller is hereby authorized and directed to
transfer monies from the state university dormitory income fund  (40350)
to  the state university residence hall rehabilitation fund (30100), and
from the state university residence hall rehabilitation fund (30100)  to
the  state university dormitory income fund (40350), in a net amount not
to exceed $80 million.
  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, 2017, 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 $750 million from the unencumbered balance of any special  revenue
fund  or  account,  agency  fund  or  account,  internal service fund or
account, enterprise fund or account, or any combination  of  such  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 2016-17 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 pursuant to federal law, rule, or regulation as assent-
ed  to in chapter 683 of the laws of 1938 and chapter 700 of the laws of
1951 are not permitted pursuant to this authorization.

S. 6405                            100                           A. 9005

  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 miscellaneous special revenue fund, tech-
nology financing account (22207) or the miscellaneous  capital  projects
fund,  information technology capital financing account (32215), for the
purpose  of  consolidating  technology  procurement  and  services.  The
amounts transferred to the miscellaneous special revenue fund, technolo-
gy  financing  account  (22207)  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 funds that would result in
the loss of eligibility for federal benefits or federal  funds  pursuant
to federal law, rule, or regulation as assented to in chapter 683 of the
laws  of  1938  and  chapter  700  of the laws of 1951 are not permitted
pursuant to this authorization.
  S 17. 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 $350 million from any non-general fund or account, or  combination
of  funds  and  accounts, to the general fund for the purpose of consol-
idating 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  general  fund  shall  be
completed from amounts collected by non-general funds or accounts pursu-
ant  to a fund deposit schedule.  Transfers from funds that would result
in the loss of eligibility for federal benefits or federal funds  pursu-
ant to federal law, rule, or regulation as assented to in chapter 683 of
the  laws  of 1938 and chapter 700 of the laws of 1951 are not permitted
pursuant to this authorization.
  S 18. 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 transfer to the state treasury
to  the credit of the general fund $20,000,000 for the state fiscal year
commencing April 1, 2016, the proceeds of  which  will  be  utilized  to
support energy-related state activities.
  S  19. 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 make a contribution to the state treasury
to the credit of the general fund in  the  amount  of  $23,000,000  from
proceeds  collected  by the authority from the auction or sale of carbon
dioxide emission allowances allocated by the department of environmental
conservation on or before March 31, 2017.
  S 20. 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 transfer to the  state  university  income
fund  general  revenue  account  (22653),  in  an  amount  not to exceed
$15,000,000 for the state fiscal year commencing April 1, 2016 from  the

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proceeds  collected  by the authority from the auction or sale of carbon
dioxide emission allowances allocated by the department of environmental
conservation, which amount shall be utilized to support the Clean Energy
Workforce Opportunity Program, to expand and develop clean energy educa-
tion  and  workforce  training  programs;  provided  further, that up to
$5,000,000 of such amount shall be available  to  support  Clean  Energy
Workforce  Opportunity  Program  initiatives  at state university of New
York community colleges.
  S 21. Subdivision 5 of section 97-rrr of the  state  finance  law,  as
amended  by  section  21 of part I of chapter 60 of the laws of 2015, 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
[fifteen]  SIXTEEN,  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
[$3,382,279,000] $3,227,844,000, 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 [fifteen] SIXTEEN.
  S 22. 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  2016.  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 2016 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 23. The opening paragraph of section 2 and section 47 of part  I  of
chapter  60  of  the  laws  of 2015, providing for the administration of
certain funds and accounts related to the 2015-16 budget, are amended to
read as follows:
  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, 2016, AND WITH RESPECT TO ITEM 5 UNDER THE MISCELLA-
NEOUS  CATEGORY  SET  FORTH  IN  THIS SECTION, UP TO AND AFTER MARCH 31,
2016, up to the unencumbered balance or the following amounts:
  S 47. This act shall take effect immediately and shall  be  deemed  to
have been in full force and effect on and after April 1, 2015; provided,
however,  [that] WITH THE EXCEPTION OF ITEM 5 OF THE MISCELLANEOUS CATE-
GORY SET FORTH WITHIN  SECTION  TWO  OF  THIS  ACT,  the  provisions  of
sections  one through eight and sections thirteen through twenty of this
act shall expire March 31, 2016, when upon such date the  provisions  of
such sections shall be deemed repealed.
  S  24. Subdivision 6 of section 4 of the state finance law, as amended
by section 22 of part I of chapter 55 of the laws of 2014, is amended to
read as follows:
  6. Notwithstanding any law to the contrary, at the  beginning  of  the
state  fiscal  year,  the  state  comptroller  is  hereby authorized and
directed to receive for deposit to  the  credit  of  a  fund  and/or  an

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account  such  monies as are identified by the director of the budget as
having been intended for such deposit to support disbursements from such
fund and/or account made in pursuance of an  appropriation  by  law.  As
soon  as  practicable  upon enactment of the budget, the director of the
budget shall,  but  not  less  than  three  days  following  preliminary
submission  to the chairs of the senate finance committee and the assem-
bly ways and means committee, file with the state comptroller  an  iden-
tification  of specific monies to be so deposited. Any subsequent change
regarding the monies to be so deposited shall be filed by  the  director
of  the  budget,  as  soon  as practicable, but not less than three days
following preliminary submission to the chairs  of  the  senate  finance
committee and the assembly ways and means committee.
  All monies identified by the director of the budget to be deposited to
the  credit of a fund and/or account shall be consistent with the intent
of the budget for the then current state fiscal year as enacted  by  the
legislature.
  [The  provisions  of  this  subdivision  shall expire on March thirty-
first, two thousand sixteen.]
  S 25. Subdivision 4 of section 40 of the state finance law, as amended
by section 23 of part I of chapter 55 of the laws of 2014, is amended to
read as follows:
  4. Every appropriation made from a fund or account to a department  or
agency shall be available for the payment of prior years' liabilities in
such fund or account for fringe benefits, indirect costs, and telecommu-
nications  expenses  and  expenses  for  other centralized services fund
programs without limit. Every appropriation shall also be available  for
the  payment  of  prior  years'  liabilities  other than those indicated
above, but only to the extent of one-half of one percent  of  the  total
amount appropriated to a department or agency in such fund or account.
  [The  provisions  of this subdivision shall expire March thirty-first,
two thousand sixteen.]
  S 26. Subparagraph (i) of paragraph (a) of subdivision  3  of  section
92-cc  of  the  state  finance law, as added by chapter 1 of the laws of
2007, is amended to read as follows:
  (i) Economic downturn. The commissioner of labor shall  calculate  and
publish, on or before the fifteenth day of each month, a composite index
of  business  cycle  indicators.  Such  index  shall be calculated using
monthly data on New York state PRIVATE SECTOR employment, [total]  AVER-
AGE  WEEKLY HOURS OF manufacturing [hours worked] WORKERS, and THE unem-
ployment RATE prepared by the department of labor or its successor agen-
cy, and total sales tax  [collected  net  of  law  changes]  COLLECTIONS
ADJUSTED  FOR  INFLATION,  prepared  by  the  department of taxation and
finance or its successor agency. Such index  shall  be  [constructed  in
accordance  with the procedures for calculating composite indexes issued
by the conference board or its successor organization, and] adjusted for
seasonal variations in accordance with  the  procedures  issued  by  the
[census  bureau  of  the]  United States [department of commerce] CENSUS
BUREAU or its successor agency. If the composite index declines for five
consecutive months, the commissioner of labor shall notify the governor,
the speaker of the assembly, the temporary president of the senate,  and
the minority leaders of the assembly and the senate. Upon such notifica-
tion,  the  director  of  the  budget may authorize and direct the comp-
troller to transfer from the rainy day reserve fund to the general  fund
such  amounts  as the director of the budget deems necessary to meet the
requirements of the state financial  plan.  The  authority  to  transfer
funds  under  the  provisions  of  this subdivision shall lapse when the

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composite index shall have increased  for  five  consecutive  months  or
twelve  months  from  the  original  notification of the commissioner of
labor, whichever occurs earlier. Provided, however, that for every addi-
tional and consecutive monthly decline succeeding the five month decline
so noted by the commissioner of labor, the twelve month lapse date shall
be extended by one additional month; or
  S  27.  Paragraph  (a)  of  subdivision 3 of section 93-b of the state
finance law, as added by section 1 of part H of chapter 60 of  the  laws
of 2015, is amended to read as follows:
  (a)  Economic  downturn.  Notwithstanding any law to the contrary, for
the purpose of this section, the commissioner of labor  shall  calculate
and  publish,  on or before the fifteenth day of each month, a composite
index of business cycle indicators. Such index shall be calculated using
monthly data on New York state PRIVATE SECTOR employment, [total]  AVER-
AGE  WEEKLY HOURS OF manufacturing [hours worked] WORKERS, and THE unem-
ployment RATE prepared by the department of labor or its successor agen-
cy, and total sales tax  [collected  net  of  law  changes]  COLLECTIONS
ADJUSTED  FOR  INFLATION,  prepared  by  the  department of taxation and
finance or its successor agency. Such index  shall  be  [constructed  in
accordance  with the procedures for calculating composite indexes issued
by the conference board or its successor organization, and] adjusted for
seasonal variations in accordance with  the  procedures  issued  by  the
[census  bureau  of  the]  United States [department of commerce] CENSUS
BUREAU or its successor agency. If the composite index declines for five
consecutive months, the commissioner of labor shall notify the governor,
the speaker of the assembly, the temporary president of the senate,  and
the minority leaders of the assembly and the senate. Upon such notifica-
tion,  the  director  of  the  budget may authorize and direct the comp-
troller to transfer from the dedicated infrastructure investment fund to
the general fund such amounts as the director of the budget deems neces-
sary to meet the requirements of the state financial plan. The authority
to transfer funds under the provisions of  this  paragraph  shall  lapse
when  the  composite  index  shall  have  increased for five consecutive
months or twelve months from the original notification  of  the  commis-
sioner  of  labor, whichever occurs earlier. Provided, however, that for
every additional and consecutive monthly  decline  succeeding  the  five
month  decline  so  noted by the commissioner of labor, the twelve month
lapse date shall be extended by one additional month.
  S 28. 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.  Annually on or before each June 30th, such
agency shall certify to the state comptroller its determination  of  the

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amounts  received  in the mental health services fund as a result of the
investment of monies deposited therein that  will  or  may  have  to  be
rebated  to  the  federal  government  pursuant to the provisions of the
internal revenue code of 1986, as amended.
  S  29.  Subdivision 1 of section 47 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 25 of part I of chapter 60 of the laws
of 2015, is amended to read as follows:
  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 office of information technology services, depart-
ment of  law,  and  other  state  costs  associated  with  such  capital
projects.  The  aggregate  principal  amount  of  bonds authorized to be
issued pursuant to this section shall not  exceed  [two]  THREE  hundred
[sixty-nine]  SIXTY-FOUR  million  [one]  EIGHT  hundred  forty 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.
  S 30. 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 27 of part I of chapter 60 of the laws of 2015,  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
hereby authorized to issue bonds, notes  and  other  obligations  in  an
aggregate  principal  amount  not  to  exceed  seven  billion [one] FOUR
hundred [sixty-three] TWENTY-FOUR million [three] NINE  hundred  [sixty-
nine]  NINETY-NINE thousand dollars [$7,163,369,000] $7,424,999,000, 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 appropriations  or  reappropriations  made  to  the  department  of
corrections  and  community supervision from the correctional facilities
capital improvement 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 repay-
ment the total aggregate principal amount of outstanding bonds, notes or

S. 6405                            105                           A. 9005

other obligations may be greater than seven billion [one]  FOUR  hundred
[sixty-three]  TWENTY-FOUR  million  [three]  NINE  hundred [sixty-nine]
NINETY-NINE thousand dollars [$7,163,369,000]  $7,424,999,000,  only  if
the  present  value  of  the  aggregate 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 thereof to the date of issue of the refunding  or
repayment bonds, notes or other obligations and to the price bid includ-
ing  estimated  accrued interest or proceeds received by the corporation
including estimated accrued interest from the sale thereof.
  S 31. Paragraph (a) of subdivision 2 of section 47-e  of  the  private
housing finance law, as amended by section 28 of part I of chapter 60 of
the laws of 2015, 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 [three] FOUR billion [one]  SIX
hundred  [fifty-three]  NINETY-SEVEN million [seven] FOUR hundred [nine-
ty-nine] SEVENTY-FOUR thousand dollars, plus a principal amount of bonds
issued to fund the debt service reserve fund in accordance with the debt
service reserve fund requirement established by the agency and  to  fund
any  other  reserves  that the agency reasonably deems necessary for the
security or marketability 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 partic-
ular 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 32. 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 29 of part I of chapter 60 of the laws of 2015, 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

S. 6405                            106                           A. 9005

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 or to reimburse the
state for  funding  such  projects  having  a  cost  not  in  excess  of
[$8,658,881,000]  $9,147,234,000  cumulatively by the end of fiscal year
[2015-16] 2016-17.
  S 33. Subdivision 1 of section 1689-i of the public  authorities  law,
as amended by section 30 of part I of chapter 60 of the laws of 2015, 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  one  hundred  [forty]  FIFTY-FOUR
million dollars.
  S  34.  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 31 of
part I of chapter 60 of the laws of 2015, 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
[$155,600,000] $167,600,000, 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
including  IT initiatives for the division of state police, 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 subdivi-
sion (b) of this section and such bonds and notes shall contain  on  the
face  thereof a statement to such effect. Except for purposes of comply-
ing with the internal revenue code, any interest income earned  on  bond
proceeds shall only be used to pay debt service on such bonds.
  S  35.  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  32 of part I of chapter 60 of the laws of 2015, 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, the New York works economic development  fund,  projects  for  the
retention of professional football in western New York, the empire state
economic  development  fund,  the  clarkson-trudeau partnership, the New
York genome center, the cornell university college of  veterinary  medi-

S. 6405                            107                           A. 9005

cine,  the  olympic  regional  development  authority, a project at nano
Utica, onondaga county revitalization  projects,  Binghamton  university
school of pharmacy, New York power electronics manufacturing consortium,
regional infrastructure projects, A COMMERCIALIZATION CENTER IN CHAUTAU-
QUA  COUNTY,  AN  INDUSTRIAL  SCALE RESEARCH AND DEVELOPMENT FACILITY IN
CLINTON COUNTY, UPSTATE REVITALIZATION INITIATIVE PROJECTS,  MARKET  NEW
YORK  PROJECTS, 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 [two] THREE billion [eight] SIX hundred
[eighty-eight] FIFTY-THREE  million  two  hundred  fifty-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, the New
York works economic development fund,  projects  for  the  retention  of
professional  football  in  western  New York, the empire state economic
development fund, the clarkson-trudeau partnership, the New York  genome
center, the cornell university college of veterinary medicine, the olym-
pic  regional  development  authority, a project at nano Utica, onondaga
county revitalization projects, Binghamton university school of  pharma-
cy,  New  York  power  electronics  manufacturing  consortium,  regional
infrastructure projects, A COMMERCIALIZATION CENTER IN CHAUTAUQUA  COUN-
TY,  AN  INDUSTRIAL  SCALE  RESEARCH AND DEVELOPMENT FACILITY IN CLINTON
COUNTY, UPSTATE REVITALIZATION  INITIATIVE  PROJECTS,  MARKET  NEW  YORK
PROJECTS,  and  other  state  costs  associated  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 duration, 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 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.

S. 6405                            108                           A. 9005

  S  36.  Subdivision 3 of section 1285-p of the public authorities law,
as amended by section 33 of part I of chapter 60 of the laws of 2015, is
amended to read as follows:
  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] TWO billion [seven hundred seventy-five] EIGHT
million [seven] TWO hundred sixty thousand dollars, exclusive  of  bonds
issued  to fund any debt service reserve funds, pay costs of issuance 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  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 37. 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 34 of part I of chapter 60 of the laws
of 2015, 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
[$440,000,000] $550,000,000, 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
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 38. 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  35  of
part I of chapter 60 of the laws of 2015, 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  $197,000,000  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

S. 6405                            109                           A. 9005

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  [$469,800,000]  $509,600,000, 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 39. Subdivision 1 of section 386-b of the public authorities law, as
amended  by  section  36 of part I of chapter 60 of the laws of 2015, is
amended to read as follows:
  1. Notwithstanding any other provision of law  to  the  contrary,  the
authority, 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,
Indian reservation roads, and facilities, and transportation infrastruc-
ture   projects   including  aviation  projects,  non-MTA  mass  transit
projects, and rail service preservation projects, including work  appur-
tenant  and  ancillary  thereto. The aggregate principal amount of bonds
authorized to be issued pursuant to this section shall not exceed  [one]
TWO  billion  [six  hundred  ninety]  SEVEN  HUNDRED TWENTY-FIVE million
dollars [$1,690,000,000] $2,725,000,000, 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  authori-
ty,  the  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  40.  Paragraph  (c) of subdivision 19 of section 1680 of the public
authorities law, as amended by section 37 of part I of chapter 60 of the
laws of 2015, 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 eleven billion [two] SIX  hundred  [twenty-eight]  THREE  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

S. 6405                            110                           A. 9005

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 41. Paragraph (c) of subdivision 14 of section 1680  of  the  public
authorities law, as amended by section 38 of part I of chapter 60 of the
laws of 2015, 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

S. 6405                            111                           A. 9005

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 seven billion  [three]  FIVE  hundred
[ninety-two]  FORTY-EIGHT  million  [seven]  FOUR  hundred [fifty-three]
ELEVEN thousand dollars. The legislature 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  42. Subdivision 10-a of section 1680 of the public authorities law,
as amended by section 39 of part I of chapter 60 of the laws of 2015, 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 eight hundred [thir-
ty-eight] SIXTY-ONE million four hundred [fifty-eight] FIFTY-FOUR  thou-
sand  dollars.  Such amount shall be exclusive of bonds and notes issued
to fund any reserve fund or funds, costs of issuance and to  refund  any
outstanding  bonds and notes, issued on behalf of the state, relating to
a locally sponsored community college.
  S 43. Subdivision 1 of section 17 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 41 of part I of chapter 60 of the laws of 2015,  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
hereby authorized to issue bonds, notes  and  other  obligations  in  an
aggregate principal amount not to exceed six hundred [eleven] FORTY-SEV-
EN   million   [two   hundred   fifteen]   SIXTY-FIVE  thousand  dollars
[($611,215,000)]  ($647,065,000),  which  authorization  increases   the
aggregate principal amount of bonds, notes and other obligations author-
ized by section 40 of chapter 309 of the laws of 1996, and shall include
all bonds, notes and other obligations issued pursuant to chapter 211 of
the  laws  of  1990,  as  amended  or supplemented. The proceeds of such
bonds, notes or other obligations shall be paid to the state, for depos-
it in the youth facilities improvement fund,  to  pay  for  all  or  any
portion  of  the amount or amounts paid by the state from appropriations
or reappropriations made to the office of children and  family  services
from  the  youth  facilities  improvement fund for capital projects. The
aggregate amount of bonds, notes and 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 office of children and
family services; 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  hundred  [eleven]
FORTY-SEVEN  million  [two  hundred fifteen] SIXTY-FIVE thousand dollars
[($611,215,000)] ($647,065,000), 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

S. 6405                            112                           A. 9005

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 44. Paragraph b of subdivision 2 of section  9-a  of  section  1  of
chapter 392 of the laws of 1973, constituting the New York state medical
care  facilities  finance agency act, as amended by section 42 of part I
of chapter 60 of the laws of 2015, is amended to read as follows:
  b. The agency shall have power and is hereby authorized from  time  to
time  to  issue negotiable bonds and notes in conformity with applicable
provisions of the uniform commercial code in such principal  amount  as,
in  the  opinion  of  the  agency, shall be necessary, after taking into
account other moneys which may be available for the purpose, to  provide
sufficient  funds  to  the  facilities  development  corporation, or any
successor agency, for the financing or refinancing of or for the design,
construction, acquisition, reconstruction, rehabilitation or improvement
of mental health services facilities pursuant to  paragraph  a  of  this
subdivision,  the payment of interest on mental health services improve-
ment bonds and mental health services improvement notes issued for  such
purposes,  the establishment of reserves to secure such bonds and notes,
the cost or premium of bond insurance or  the  costs  of  any  financial
mechanisms  which  may  be used to reduce the debt service that would be
payable by the agency on its mental health services facilities  improve-
ment  bonds  and notes and all other expenditures of the agency incident
to and necessary or convenient to providing the  facilities  development
corporation,  or  any  successor agency, with funds for the financing or
refinancing of or for any such design, construction, acquisition, recon-
struction, rehabilitation or improvement and for the refunding of mental
hygiene improvement bonds issued pursuant to section 47-b of the private
housing finance law; provided, however, that the agency shall not  issue
mental  health  services  facilities improvement bonds and mental health
services facilities improvement notes in an aggregate  principal  amount
exceeding  [seven]  EIGHT  billion [seven hundred twenty-two] TWENTY-ONE
million eight hundred fifteen thousand dollars, excluding mental  health
services facilities improvement bonds and mental health services facili-
ties  improvement  notes  issued  to  refund  outstanding  mental health
services facilities improvement bonds and mental health services facili-
ties improvement notes; provided, however, that upon any such  refunding
or  repayment  of  mental  health  services facilities improvement bonds
and/or mental health services facilities  improvement  notes  the  total
aggregate principal amount of outstanding mental health services facili-
ties  improvement  bonds  and mental health facilities improvement notes
may be greater than [seven] EIGHT  billion  [seven  hundred  twenty-two]
TWENTY-ONE  million  eight  hundred  fifteen  thousand  dollars only if,
except as hereinafter provided with respect to  mental  health  services
facilities  bonds  and mental health services facilities notes issued to

S. 6405                            113                           A. 9005

refund mental hygiene improvement bonds authorized to be issued pursuant
to the provisions of section 47-b of the private  housing  finance  law,
the  present  value  of  the  aggregate debt service of the refunding or
repayment  bonds  to be issued shall not exceed the present value of the
aggregate debt service of the  bonds  to  be  refunded  or  repaid.  For
purposes hereof, the present values 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  obli-
gations, 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 thereof 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 authority including estimated accrued interest from the sale  there-
of.  Such  bonds,  other  than bonds issued to refund outstanding bonds,
shall be scheduled to mature over a  term  not  to  exceed  the  average
useful  life, as certified by the facilities development corporation, of
the projects for which the bonds are issued, and in any case  shall  not
exceed  thirty  years  and the maximum maturity of notes or any renewals
thereof shall not exceed five years from the date of the original  issue
of such notes. Notwithstanding the provisions of this section, the agen-
cy  shall have the power and is hereby authorized to issue mental health
services facilities improvement  bonds  and/or  mental  health  services
facilities  improvement  notes  to  refund  outstanding  mental  hygiene
improvement bonds authorized to be issued pursuant to the provisions  of
section  47-b of the private housing finance law and the amount of bonds
issued or outstanding for  such  purposes  shall  not  be  included  for
purposes  of  determining  the  amount  of bonds issued pursuant to this
section. The director of the budget shall allocate the aggregate princi-
pal authorized to be issued by the agency among  the  office  of  mental
health,  office  for  people  with  developmental  disabilities, and the
office of alcoholism and substance abuse services, in consultation  with
their respective commissioners to finance bondable appropriations previ-
ously approved by the legislature.
  S  45.  Paragraph  (b) of subdivision 3 of section 1 and clause (B) of
subparagraph (iii) of paragraph (j) of subdivision 4  of  section  1  of
part D of chapter 63 of the laws of 2005 relating to the composition and
responsibilities of the New York state higher education capital matching
grant  board,  as  amended  by section 43 of part I of chapter 60 of the
laws of 2015, is amended to read as follows:
  (b) Within amounts appropriated therefor, the board is hereby  author-
ized  and  directed  to award matching capital grants totaling [210] 240
million dollars. Each college shall be eligible for a grant award amount
as determined by the calculations pursuant to subdivision five  of  this
section.  In  addition,  such  colleges shall be eligible to compete for
additional funds pursuant to paragraph (h) of subdivision four  of  this
section.
  (B)  The  dormitory authority shall not issue any bonds or notes in an
amount in excess of [210] 240 million dollars for the purposes  of  this
section;  excluding  bonds  or  notes  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. Except for purposes of complying with the internal revenue

S. 6405                            114                           A. 9005

code,  any  interest  on  bond  proceeds  shall only be used to pay debt
service on such bonds.
  S 46. Notwithstanding any other provision of law to the contrary, from
the  taxes,  interest and penalties collected or received by the commis-
sioner of taxation and finance in respect of the tax imposed by the city
of New York pursuant to the authority of section  1210,  1211,  1212  or
1212-A  of the tax law,the comptroller shall pay, as directed in writing
by the director of the budget, the sum of $16,666,667 on or  before  the
twelfth  day  of  each  month  from  such  taxes, penalties and interest
collected or received by such commissioner during the previous month  to
(i) any issuers of state-related debt for the purposes of paying princi-
pal,  interest, and related expenses, or for retiring or defeasing bonds
previously issued, including any  accrued  interest  or  other  expenses
related  thereto,  for any state-related bonding program or programs, or
to (ii) a governmental fund or funds of the state  treasury.  The  comp-
troller shall make the first payment to issuers of state-related debt or
the  government  funds  on  the twelfth day of May, 2016 from the taxes,
penalties and interest collected or received during April 2016  and  the
last payment on or before the twelfth day of April, 2019 from the taxes,
penalties   and  interest  collected  or  received  during  March  2019.
Provided,  however,  that  in  no  event  shall  such  payments   exceed
$200,000,000  in  any  state fiscal year; and provided further that such
payments shall not reduce the  reasonable  costs  of  such  commissioner
under paragraph (b) of section 1261 of the tax law.
  S  47.  This  act shall take effect immediately and shall be deemed to
have been in full force and effect on and after April 1, 2016; provided,
however, with the exception of item 5 of the miscellaneous category  set
forth  within  section  two of this act:  (a) the provisions of sections
one through eight, and sections twelve through twenty of this act  shall
expire  March  31,  2017,  when  upon  such  date the provisions of such
sections shall be deemed repealed; and (b)  the  provisions  of  section
forty-six  of  this  act  shall expire upon the last payment made by the
comptroller pursuant to section forty-six of this  act  when  upon  such
date  the  provisions of such section shall be deemed repealed; provided
that the state comptroller shall notify the  legislative  bill  drafting
commission  upon  the  occurrence  of  the  last payment provided for in
section forty-six of this act in order that the commission may  maintain
an  accurate  and  timely effective database of the official text of the
laws of the state  of  New  York  in  furtherance  of  effectuating  the
provisions  of section 44 of the legislative law and section 70-b of the
public officers law.
  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 N of this act shall  be
as specifically set forth in the last section of such Parts.

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

    S. 6405--A                                            A. 9005--A

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

                            January 14, 2016
                               ___________

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 to amend the executive law, in relation to the appointment of an
  independent special counsel to review matters  involving  the  use  of
  deadly  physical  force  by  a  police  officer; to amend the criminal
  procedure law, in relation to grand jury reports and proceedings,  the
  district  attorney's  letter  and leave to appeal; to amend the county
  law, in relation to the appointment of a special district attorney; to
  amend the penal law, in relation to unlawful grand jury disclosure; to
  amend the executive law, in  relation  to  establishing  a  model  law
  enforcement  use  of  force  policy  and  to  reporting  duties of law
  enforcement  departments  with  respect  to  enforcement  of   certain
  violations  and misdemeanors; and to amend the criminal procedure law,
  in relation to the contents of an application  for  a  search  warrant
  (Part A); to amend 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,  in  relation  to  the
  effectiveness  thereof  (Part B); to amend the tax law, in relation to
  suspending the transfer of monies into the emergency services  revolv-
  ing  loan fund from the public safety communications account (Part C);
  to amend the executive law in relation to transferring  certain  func-
  tions  to  the  division of state police from the division of homeland
  security and emergency services (Part D); to amend chapter 268 of  the
  laws  of  1996,  amending  the education law and the state finance law
  relating to providing a recruitment incentive  and  retention  program
  for  certain  active  members of the New York army national guard, New
  York air national guard, and New York naval militia,  in  relation  to
  the effectiveness of such chapter (Part E); to amend chapter 83 of the
  laws of 1995 amending the state finance law and other laws relating to

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
              

                      [ ] is old law to be omitted.
                                                           LBD12670-02-6

S. 6405--A                          2                         A. 9005--A

  bonds,  notes,  and revenues, in relation to making certain provisions
  permanent; and to amend chapter 1 of the laws  of  2005  amending  the
  state  finance law relating to restricting contacts in the procurement
  process and the recording of contacts relating thereto, in relation to
  making  certain  provisions  permanent (Part F); to amend the workers'
  compensation law, in relation to the authorization of certain  provid-
  ers,  the  computation  of average weekly wages basis of compensation,
  penalties of the workers' compensation board, an assumption  of  work-
  ers'  compensation  liability  insurance  policy and fund for reopened
  cases financing agreement, the authority to issue aggregate penalties,
  deposits into the aggregate trust fund, the pooled individual self-in-
  sured employer fund, workers'  compensation  board,  workers'  compen-
  sation  board's  designation  to  review  appeals or any review of any
  orders, authorizations of assessments for annual expenses, payment  of
  claims  of  affected World Trade Center volunteers and to allow public
  group self-insured employers to offer alternative coverage;  to  amend
  the  public authorities law, in relation to the assumption of workers'
  compensation liability insurance policy, and the dormitory authority's
  authority to issue bonds to reduce assessments imposed on self-insured
  employers; to amend the insurance law, in relation to large deductible
  programs; and to repeal certain provisions of the  public  authorities
  law  relating thereto (Part G); to amend the workers' compensation law
  and the insurance law, in relation to provide paid family leave  bene-
  fits;  and to repeal sections 223 and 224 of the workers' compensation
  law, relating to disability benefits (Part H);  to  amend  the  public
  authorities law, in relation to establishing the New York State Design
  and  Construction Corporation act (Part I); to amend the civil service
  law, in relation to the state's contribution to  the  cost  of  health
  insurance  premiums  for  retirees  of  the state and their dependents
  (Part J);  to  amend  the  civil  service  law,  in  relation  to  the
  reimbursement of medicare premium charges (Part K); to amend the civil
  service  law,  in  relation  to  the  expiration of public arbitration
  panels (Part L); to amend the state finance law, in  relation  to  the
  dedicated  infrastructure investment fund (Part M); to provide for the
  administration of certain funds and accounts related  to  the  2016-17
  budget, authorizing certain payments and transfers; to amend the state
  finance  law, in relation to the rainy day reserve fund, the dedicated
  infrastructure investment fund infrastructure investment account,  and
  the  school  tax  relief  fund;  to  amend  the  state finance law, in
  relation to payments, transfers  and  deposits;  to  amend  the  state
  finance law, in relation to the period for which appropriations can be
  made;  to  amend  chapter  60  of  the laws of 2015, providing for the
  administration of certain funds and accounts related  to  the  2015-16
  budget,  in  relation to certain transfers and to the effectiveness of
  certain provisions thereof; to amend the New York state urban develop-
  ment corporation act, in relation to funding project costs for certain
  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 hous-
  ing program bonds and notes; to amend chapter 329 of the laws of 1991,
  amending the state finance law and other laws relating to  the  estab-
  lishment  of  the dedicated highway and bridge trust fund, in relation
  to the issuance of bonds; to amend  the  public  authorities  law,  in
  relation  to  the  issuance  of bonds; to amend the public authorities
  law, in relation to the dormitory authority; to amend  chapter  61  of

S. 6405--A                          3                         A. 9005--A

  the  laws  of  2005  relating  to  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 the issuance of bonds; to  amend  the  public  authorities
  law,  in  relation to the state environmental infrastructure projects;
  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  chal-
  lenge grant program; to amend chapter 81 of the laws of 2002, relating
  to  providing  for  the  administration  of certain funds and accounts
  related to the 2002-2003 budget, in relation to increasing the  aggre-
  gate amount of bonds to be issued by the New York state urban develop-
  ment  corporation; to amend the public authorities law, in relation to
  financing of peace bridge  and  transportation  capital  projects;  to
  amend  the  public  authorities  law,  in  relation  to dormitories at
  certain educational institutions  other  than  state  operated  insti-
  tutions  and  statutory or contract colleges under the jurisdiction of
  the state university of New York; to amend the New York state  medical
  care  facilities  finance  agency act, in relation to bonds and mental
  health facilities improvement notes; to amend chapter 63 of  the  laws
  of  2005,  relating to the composition and responsibilities of the New
  York state higher education capital matching grant board, in  relation
  to  increasing  the  amount  of authorized matching capital grants; to
  direct the distribution of local sales tax revenue from  the  city  of
  New  York;  and  providing  for  the repeal of certain provisions upon
  expiration thereof (Part  N);  to  amend  the  public  lands  law,  in
  relation  to  state  aid  on  certain state leased or state owned land
  (Part O); and to amend the real property tax law, in relation to prop-
  erty tax benefits for anaerobic digestion of agricultural waste  (Part
  P)

  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 2016-2017
state  fiscal  year.  Each  component  is wholly contained within a Part
identified as Parts A through P. The effective date for each  particular
provision contained within such Part is set forth in the last section of
such Part. Any provision in any section contained within a Part, includ-
ing the effective date of the Part, which makes a reference to a section
"of  this  act", when used in connection with that particular component,
shall be deemed to mean and refer to the corresponding  section  of  the
Part  in  which  it  is  found. Section three of this act sets forth the
general effective date of this act.

                                 PART A

  Section 1. The executive law is amended by adding a new section 6-a to
read as follows:
  S 6-A. INDEPENDENT SPECIAL COUNSEL. 1. THE  GOVERNOR  MAY  APPOINT  AN
INDEPENDENT  SPECIAL  COUNSEL  TO  REVIEW  ANY MATTER INVOLVING CREDIBLE
ALLEGATIONS OF THE USE OF DEADLY PHYSICAL FORCE BY A POLICE  OFFICER  AS
DEFINED  IN  SUBDIVISION  THIRTY-FOUR  OF  SECTION  1.20 OF THE CRIMINAL

S. 6405--A                          4                         A. 9005--A

PROCEDURE LAW OR A PEACE OFFICER AS DEFINED IN SUBDIVISION  THIRTY-THREE
OF  SECTION 1.20 OF THE CRIMINAL PROCEDURE LAW, ACTING WITHIN HIS OR HER
OFFICIAL POWERS, DUTIES, FUNCTIONS, OR CAPACITY, AND WHERE  SUCH  DEADLY
PHYSICAL FORCE RESULTED IN THE DEATH OF AN UNARMED PERSON, AND
  (A)  AFTER  A  REVIEW  OF THE FACTS OF THE CASE, THE DISTRICT ATTORNEY
DECLINES TO PRESENT EVIDENCE TO A GRAND JURY REGARDING SUCH FATALITY; OR
  (B) AFTER PRESENTATION OF EVIDENCE TO  A  GRAND  JURY  REGARDING  SUCH
FATALITY, THE GRAND JURY DECLINES TO RETURN AN INDICTMENT ON ANY CHARGES
AGAINST SUCH POLICE OR PEACE OFFICER.
  2.  WHERE,  AS DESCRIBED IN PARAGRAPH (A) OR PARAGRAPH (B) OF SUBDIVI-
SION ONE OF THIS SECTION, THE  DISTRICT  ATTORNEY  DECLINES  TO  PRESENT
EVIDENCE  TO  A  GRAND  JURY  OR  PRESENTS  EVIDENCE  AND THE GRAND JURY
DECLINES TO RETURN AN INDICTMENT, THE DISTRICT  ATTORNEY  SHALL,  WITHIN
SIXTY DAYS OF THE OCCURRENCE OF EITHER PARAGRAPH (A) OR PARAGRAPH (B) OF
SUBDIVISION  ONE  OF THIS SECTION, BUT NO MORE THAN SIX MONTHS AFTER THE
DATE OF SUCH DEATH OF SUCH UNARMED PERSON AS  DESCRIBED  IN  SUBDIVISION
ONE OF THIS SECTION, PROVIDE TO THE INDEPENDENT SPECIAL COUNSEL: (I) ALL
EVIDENTIARY  MATERIALS  GATHERED DURING THE COURSE OF THE INVESTIGATION;
(II)  WHERE  APPLICABLE,  THE  GRAND   JURY   MINUTES,   INCLUDING   THE
INSTRUCTIONS  TO  THE GRAND JURY; (III) WHERE APPLICABLE, THE GRAND JURY
EXHIBITS; AND (IV) ANY RECORDS AND ANY OTHER EVIDENCE IN THE POSSESSION,
CUSTODY, AND CONTROL OF THE DISTRICT ATTORNEY, INCLUDING BUT NOT LIMITED
TO POLICE REPORTS, PHOTOGRAPHS,  SCIENTIFIC  REPORTS,  AUDIO  AND  VIDEO
RECORDINGS, AND PHYSICAL EVIDENCE.
  3. IF THE INDEPENDENT SPECIAL COUNSEL, AFTER A REVIEW OF ALL EVIDENTI-
ARY  AND  GRAND  JURY MATERIALS AS DESCRIBED IN THIS SECTION, DETERMINES
THAT THERE WERE: (A) SUBSTANTIAL ERRORS OF  SUCH  MAGNITUDE  THAT  THERE
EXISTS  A  REASONABLE PROBABILITY THAT AN INDICTMENT WOULD HAVE RESULTED
BUT FOR THESE ERRORS, AND THAT THE PRESUMPTION OF REGULARITY AFFORDED TO
SUCH PROCEEDINGS CAN NO LONGER APPLY; OR (B) THERE EXISTS NEWLY  DISCOV-
ERED EVIDENCE OF SUCH MAGNITUDE THAT THERE EXISTS A REASONABLE PROBABIL-
ITY  THAT HAD SUCH EVIDENCE BEEN PRESENTED TO THE GRAND JURY, AN INDICT-
MENT WOULD HAVE RESULTED, THEN HE OR SHE  SHALL  REFER  THE  MATTER  FOR
CONSIDERATION  OF APPOINTMENT OF A SPECIAL DISTRICT ATTORNEY AS PROVIDED
IN SECTION SEVEN HUNDRED-ONE-A OF THE COUNTY LAW.
  4. THE EVIDENTIARY AND GRAND JURY MATERIALS PROVIDED TO THE  INDEPEND-
ENT  SPECIAL COUNSEL AS DESCRIBED IN THIS SECTION SHALL REMAIN CONFIDEN-
TIAL AND SHALL NOT BE SUBJECT TO DISCLOSURE UNDER  ARTICLE  SIX  OF  THE
PUBLIC  OFFICERS  LAW  AND, FOR PURPOSES OF THIS ARTICLE, THE RELEASE OF
EVIDENTIARY MATERIALS AND GRAND JURY MATERIALS BY THE DISTRICT  ATTORNEY
TO THE INDEPENDENT SPECIAL COUNSEL SHALL BE CONSIDERED ACTING WITHIN THE
SCOPE OF THE LAWFUL DISCHARGE OF THE DISTRICT ATTORNEY'S DUTIES PURSUANT
TO  PARAGRAPH  (A) OF SUBDIVISION FOUR OF SECTION 190.25 OF THE CRIMINAL
PROCEDURE LAW, AND  THEREFORE  NOT  UNLAWFUL  DISCLOSURE  UNDER  SECTION
215.70 OF THE PENAL LAW.
  5.  FOR  PURPOSES  OF THIS ARTICLE AND PURSUANT TO SUBDIVISION FOUR OF
SECTION 190.25 OF THE CRIMINAL PROCEDURE LAW, THE GRAND  JURY  MATERIALS
PROVIDED  TO THE INDEPENDENT SPECIAL COUNSEL SHALL REMAIN SECRET, EXCEPT
THAT THE INDEPENDENT  SPECIAL  COUNSEL  IS  PERMITTED  TO  DISCLOSE  THE
EVIDENTIARY AND GRAND JURY MATERIALS TO THE GOVERNOR, OR HIS DESIGNEE AS
PART  OF  A  RECOMMENDATION  MADE  PURSUANT TO SUBDIVISION THREE OF THIS
SECTION AND SUCH DISCLOSURE SHALL NOT BE AN UNLAWFUL GRAND JURY  DISCLO-
SURE UNDER SECTION 215.70 OF THE PENAL LAW.
  6.  EXCEPT  AS  OTHERWISE  PROVIDED  IN  THIS SECTION, THE INDEPENDENT
SPECIAL COUNSEL, THE GOVERNOR, AND MEMBERS OF THE GOVERNOR'S  STAFF  MAY
NOT  FURTHER  DISCLOSE  ANY  OF THE GRAND JURY MATERIALS AS DESCRIBED IN

S. 6405--A                          5                         A. 9005--A

THIS SECTION WITH THE EXCEPTION OF THE GRAND JURY INSTRUCTIONS  PROVIDED
TO THE GRAND JURY, UNLESS AUTHORIZED BY COURT ORDER ISSUED UPON APPLICA-
TION,  PURSUANT  TO  SUBDIVISION  FOUR OF SECTION 190.25 OF THE CRIMINAL
PROCEDURE  LAW.  FOR  THE  LIMITED  AND EXCLUSIVE PURPOSE OF MAKING SUCH
APPLICATION TO DISCLOSE GRAND JURY  MATERIAL,  THE  INDEPENDENT  SPECIAL
COUNSEL SHALL BE DEEMED A "DISTRICT ATTORNEY."
  S  2. Subdivision 1 of section 190.85 of the criminal procedure law is
amended by adding a new paragraph (d) to read as follows:
  (D) STATING ITS FINDINGS AFTER INVESTIGATION OF AN INCIDENT  INVOLVING
THE  USE  OF  DEADLY  PHYSICAL  FORCE  BY A POLICE OFFICER AS DEFINED IN
SUBDIVISION THIRTY-FOUR OF SECTION 1.20 OF THE CRIMINAL PROCEDURE LAW OR
A PEACE OFFICER AS DEFINED IN SUBDIVISION THIRTY-THREE OF  SECTION  1.20
OF THE CRIMINAL PROCEDURE LAW, ACTING WITHIN HIS OR HER OFFICIAL POWERS,
DUTIES,  FUNCTIONS,  OR  CAPACITY,  AND WHERE SUCH DEADLY PHYSICAL FORCE
RESULTED IN THE DEATH OF AN UNARMED PERSON. THE REPORT CREATED  PURSUANT
TO  THIS  PARAGRAPH  SHALL  INCLUDE,  BUT NOT BE LIMITED TO, THE CHARGES
PRESENTED, THE  LEGAL  INSTRUCTIONS,  AND  A  SUMMARY  OF  THE  EVIDENCE
PRESENTED,  PROVIDED  THAT  ALL  NAMES  AND  IDENTIFYING INFORMATION ARE
REDACTED FROM SUCH REPORT.
  S 3. The criminal procedure law is amended by  adding  a  new  section
190.86 to read as follows:
S 190.86 DISTRICT ATTORNEY LETTER.
  1. AFTER AN INVESTIGATION OF AN INCIDENT INVOLVING A POLICE OFFICER AS
DEFINED  IN SUBDIVISION THIRTY-FOUR OF SECTION 1.20 OF THIS CHAPTER OR A
PEACE OFFICER AS DEFINED IN SUBDIVISION THIRTY-THREE OF SECTION 1.20  OF
THIS  CHAPTER,  ACTING  WITHIN HIS OR HER OFFICIAL POWERS, DUTIES, FUNC-
TIONS, OR CAPACITY CONCERNING ACTS THAT INCLUDE THE USE OF DEADLY  PHYS-
ICAL FORCE AGAINST AN UNARMED PERSON, AND SUCH ENCOUNTER RESULTED IN THE
DEATH  OF  SUCH UNARMED PERSON, AND WHEN A GRAND JURY DECLINES TO RETURN
AN INDICTMENT ON ANY  CHARGES  AGAINST  SUCH  POLICE  OR  PEACE  OFFICER
REGARDING  SUCH DEATH, IN LIEU OF THE ISSUANCE OF A GRAND JURY REPORT AS
SET FORTH IN PARAGRAPH (D) OF SUBDIVISION ONE OF SECTION 190.85 OF  THIS
ARTICLE,  THE DISTRICT ATTORNEY MAY ISSUE A LETTER TO THE PUBLIC, WITH A
COPY TO THE GOVERNOR, AND TO THE COMMISSIONER, CHIEF, OR THE  EQUIVALENT
COMMANDING  OFFICER  OF THE DEPARTMENT OR AGENCY EMPLOYING THE POLICE OR
PEACE OFFICERS INVOLVED. IN  SUCH  LETTER,  THE  DISTRICT  ATTORNEY  MAY
EXPLAIN  THE  FACTS  OF THE CASE AND MAY ALSO MAKE RECOMMENDATIONS BASED
UPON THE RESULTS OF THE GRAND JURY'S INVESTIGATION.
  2. WHEN THE DISTRICT ATTORNEY ELECTS NOT TO PRESENT SUCH A  MATTER  AS
DESCRIBED  IN  SUBDIVISION  ONE  OF  THIS  SECTION  TO A GRAND JURY, THE
DISTRICT ATTORNEY MAY ISSUE A LETTER TO THE PUBLIC, WITH A COPY  TO  THE
GOVERNOR,  AND  TO THE COMMISSIONER, CHIEF, OR THE EQUIVALENT COMMANDING
OFFICER OF THE DEPARTMENT OR AGENCY EMPLOYING THE POLICE OR PEACE  OFFI-
CERS  INVOLVED.  IN  SUCH  LETTER, THE DISTRICT ATTORNEY MAY EXPLAIN THE
FACTS OF THE CASE, THE REASONING FOR NOT PRESENTING THE CASE TO A  GRAND
JURY, AND MAY ALSO MAKE APPROPRIATE RECOMMENDATIONS.
  3.  FOR  PURPOSES OF THIS ARTICLE, THE RELEASE OF SUCH A LETTER BY THE
DISTRICT ATTORNEY IN LIEU OF A GRAND JURY  REPORT  SHALL  BE  CONSIDERED
ACTING  WITHIN THE DISTRICT ATTORNEY'S OFFICIAL DUTIES AND THEREFORE NOT
UNLAWFUL DISCLOSURE UNDER SECTION 215.70 OF THE PENAL LAW.
  S 4. Subdivision 4 of section 190.25 of the criminal procedure law  is
amended by adding two new paragraphs (c) and (d) to read as follows:
  (C)  AFTER  PRESENTATION OF EVIDENCE TO A GRAND JURY INVOLVING THE USE
OF DEADLY PHYSICAL FORCE BY A POLICE OFFICER AS DEFINED  IN  SUBDIVISION
THIRTY-FOUR  OF  SECTION  1.20  OF THE CRIMINAL PROCEDURE LAW OR A PEACE
OFFICER AS DEFINED IN SUBDIVISION THIRTY-THREE OF SECTION  1.20  OF  THE

S. 6405--A                          6                         A. 9005--A

CRIMINAL  PROCEDURE  LAW,  ACTING  WITHIN  HIS  OR  HER OFFICIAL POWERS,
DUTIES, FUNCTIONS, OR CAPACITY, AND WHERE  SUCH  DEADLY  PHYSICAL  FORCE
RESULTED IN THE DEATH OF AN UNARMED PERSON, AND SUCH GRAND JURY DECLINES
TO  RETURN  AN  INDICTMENT TO ANY CHARGES AGAINST SUCH ON-DUTY POLICE OR
PEACE OFFICER WITH RESPECT TO SUCH DEATH, A DISTRICT ATTORNEY IS AUTHOR-
IZED TO PROVIDE GRAND JURY TESTIMONY, EVIDENCE, EXHIBITS AND  THE  LEGAL
INSTRUCTIONS  TO  THE INDEPENDENT SPECIAL COUNSEL, AS DEFINED IN SECTION
SIX-A OF THE EXECUTIVE LAW, WITHIN SIXTY DAYS OF THE COMPLETION  OF  ALL
GRAND JURY ACTION IN SUCH MATTER, INCLUDING THE ISSUANCE OF A GRAND JURY
REPORT PURSUANT TO PARAGRAPH (D) OF SUBDIVISION ONE OF SECTION 190.85 OF
THIS ARTICLE.
  (D) THE GRAND JURY MATERIALS PROVIDED TO THE INDEPENDENT SPECIAL COUN-
SEL, PURSUANT TO PARAGRAPH (C) OF THIS SUBDIVISION, SHALL REMAIN SECRET,
PURSUANT  TO THE PROVISIONS OF THIS SECTION, EXCEPT THAT THE INDEPENDENT
SPECIAL COUNSEL IS PERMITTED TO DISCLOSE THE GRAND JURY MATERIALS TO THE
GOVERNOR AND THE GOVERNOR'S STAFF  AS  PART  OF  A  RECOMMENDATION  MADE
PURSUANT  TO  SECTION  SIX-A  OF  THE  EXECUTIVE LAW AND THEREFORE, SUCH
DISCLOSURE SHALL NOT BE AN UNLAWFUL GRAND JURY DISCLOSURE UNDER  SECTION
215.70  OF THE PENAL LAW. THE INDEPENDENT SPECIAL COUNSEL, THE GOVERNOR,
AND MEMBERS OF THE GOVERNOR'S STAFF MAY  NOT  DISCLOSE  ANY  GRAND  JURY
MATERIAL,  EXCEPT  AS  AUTHORIZED BY COURT ORDER ISSUED UPON APPLICATION
PURSUANT TO THIS SECTION, WITH THE EXCEPTION OF THE  LEGAL  INSTRUCTIONS
PROVIDED TO THE GRAND JURY WHICH HEARD EVIDENCE, AS PROVIDED IN SUBDIVI-
SION  SIX  OF SECTION SIX-A OF THE EXECUTIVE LAW. THE LEGAL INSTRUCTIONS
MAY BE MADE PUBLIC PROVIDED THAT ALL NAMES AND  IDENTIFYING  INFORMATION
ARE  REDACTED.  FOR  THE  LIMITED  AND  EXCLUSIVE PURPOSE OF MAKING SUCH
APPLICATION, THE INDEPENDENT SPECIAL COUNSEL SHALL BE DEEMED A "DISTRICT
ATTORNEY." GRAND JURY MATERIAL PROVIDED TO THE INDEPENDENT SPECIAL COUN-
SEL SHALL REMAIN CONFIDENTIAL AND SHALL NOT  BE  SUBJECT  TO  DISCLOSURE
UNDER ARTICLE SIX OF THE PUBLIC OFFICERS LAW.
  S  5.  The county law is amended by adding a new section 701-a to read
as follows:
  S 701-A. SPECIAL DISTRICT ATTORNEY. NOTWITHSTANDING ANY OTHER  LAW  TO
THE  CONTRARY,  WHENEVER CREDIBLE ALLEGATIONS OF THE USE OF DEADLY PHYS-
ICAL FORCE BY A POLICE OFFICER AS DEFINED IN SUBDIVISION THIRTY-FOUR  OF
SECTION 1.20 OF THE CRIMINAL PROCEDURE LAW OR A PEACE OFFICER AS DEFINED
IN  SUBDIVISION  THIRTY-THREE  OF SECTION 1.20 OF THE CRIMINAL PROCEDURE
LAW, ACTING WITHIN HIS OR HER OFFICIAL  POWERS,  DUTIES,  FUNCTIONS,  OR
CAPACITY,  AND WHERE SUCH DEADLY PHYSICAL FORCE RESULTED IN THE DEATH OF
AN UNARMED PERSON, ARE RECEIVED BY THE GOVERNOR, OR HIS DESIGNEE  PURSU-
ANT  TO  SECTION SIX-A OF THE EXECUTIVE LAW, THE GOVERNOR SHALL HAVE THE
AUTHORITY TO APPOINT A SPECIAL  DISTRICT  ATTORNEY  TO  INVESTIGATE  THE
ALLEGATIONS  AND,  WHERE  APPROPRIATE,  PROSECUTE THE CASE. SUCH SPECIAL
DISTRICT ATTORNEY SHALL BE AN ATTORNEY AT LAW RESIDING WITHIN THE STATE.
  2. THE SPECIAL DISTRICT ATTORNEY SHALL POSSESS AND  EXERCISE  ALL  THE
POWERS  AND  PERFORM  ALL  THE  DUTIES  IN  RESPECT  OF  SUCH ACTIONS OR
PROCEEDINGS, WHICH THE DISTRICT ATTORNEY IS AUTHORIZED  OR  REQUIRED  TO
EXERCISE  OR PERFORM. THE SPECIAL DISTRICT ATTORNEY SHALL BE PROVIDED BY
THE DISTRICT ATTORNEY AND/OR THE SPECIAL INDEPENDENT COUNSEL AS  DEFINED
IN  SUBDIVISION ONE OF SECTION SIX-A OF THE EXECUTIVE LAW, ALL EVIDENTI-
ARY MATERIALS AS SET FORTH IN SUBDIVISION TWO OF SECTION  SIX-A  OF  THE
EXECUTIVE LAW.
  S 6. Section 230.20 of the criminal procedure law is amended by adding
a new subdivision 5 to read as follows:
  5.  ANY PARTY AGGRIEVED BY AN ORDER OF THE APPELLATE DIVISION CONCERN-
ING A MOTION MADE PURSUANT TO SUBDIVISION TWO OF THIS SECTION  MAY  SEEK

S. 6405--A                          7                         A. 9005--A

LEAVE  TO  APPEAL  FROM  SUCH ORDER TO THE COURT OF APPEALS, PURSUANT TO
SUBDIVISION THREE OF SECTION 450.90 OF THIS CHAPTER.
  S 7. Section 450.90 of the criminal procedure law is amended by adding
a new subdivision 3 to read as follows:
  3.  PROVIDED  THAT  A  CERTIFICATE  GRANTING LEAVE TO APPEAL IS ISSUED
PURSUANT TO SECTION 460.20 OF THIS TITLE, AN APPEAL MAY BE TAKEN TO  THE
COURT  OF  APPEALS  BY  ANY PARTY AGGRIEVED BY AN ORDER OF THE APPELLATE
DIVISION CONCERNING A MOTION MADE PURSUANT TO SUBDIVISION TWO OF SECTION
230.20 OF THIS CHAPTER. UPON THE REQUEST OF EITHER  PARTY,  THE  HEARING
AND  DETERMINATION  OF  AN  APPEAL  GRANTED PURSUANT TO THIS SUBDIVISION
SHALL BE CONDUCTED IN AN EXPEDITIOUS MANNER. THE CHIEF ADMINISTRATOR  OF
THE  COURTS,  WITH THE ADVICE AND CONSENT OF THE ADMINISTRATIVE BOARD OF
THE COURTS, SHALL ADOPT RULES FOR THE EXPEDITIOUS BRIEFING, HEARING  AND
DETERMINATION OF SUCH APPEALS.
  S 8. Section 215.70 of the penal law, as amended by chapter 843 of the
laws of 1980, is amended to read as follows:
S 215.70 Unlawful grand jury disclosure.
  A  person  is  guilty  of unlawful grand jury disclosure when, being a
grand juror, a public prosecutor, a grand  jury  stenographer,  a  grand
jury interpreter, a police officer or a peace officer guarding a witness
in  a  grand  jury  proceeding,  or  a clerk, attendant, warden or other
public servant having official duties in or about a grand jury  room  or
proceeding,  or  a  public  officer  or  public employee, OR INDEPENDENT
SPECIAL COUNSEL, AS DEFINED IN SUBDIVISION ONE OF SECTION SIX-A  OF  THE
EXECUTIVE  LAW,  OR  ANYONE  TO  WHOM  THE  INDEPENDENT  SPECIAL COUNSEL
DISCLOSES GRAND JURY MATERIAL PURSUANT TO PARAGRAPH (D)  OF  SUBDIVISION
FOUR  OF  SECTION 190.25 OF THE CRIMINAL PROCEDURE LAW, he OR SHE inten-
tionally discloses to another the nature or substance of any grand  jury
testimony,  or  any  decision,  result or other matter attending a grand
jury proceeding which is required by law to be kept  secret,  except  in
the proper discharge of his OR HER official duties or upon written order
of  the  court.   Nothing contained herein shall prohibit a witness from
disclosing his OR HER own testimony.
  Unlawful grand jury disclosure is a class E felony.
  S 9. Subdivision 4 of section 840 of the executive law is  amended  by
adding a new paragraph (c) to read as follows:
  (C) AS APPROPRIATE, REVIEW AND UPDATE ITS MODEL LAW ENFORCEMENT USE OF
FORCE  POLICY  SUITABLE  FOR  ADOPTION  BY  ANY  LAW  ENFORCEMENT AGENCY
THROUGHOUT THE STATE.  THE MOST CURRENT VERSION OF SUCH POLICY SHALL  BE
FILED  WITH  THE  DIVISION  OF CRIMINAL JUSTICE SERVICES.   THE CHIEF OF
EVERY LOCAL POLICE DEPARTMENT, EACH COUNTY SHERIFF, AND THE  SUPERINTEN-
DENT  OF  STATE  POLICE MUST IMPLEMENT A USE OF FORCE POLICY. THE USE OF
FORCE POLICY SHALL PROVIDE COMPREHENSIVE  GUIDANCE  TO  LAW  ENFORCEMENT
OFFICERS  ON THE PROPER USE OF FORCE, CONSISTENT WITH CURRENT LAW, AS IT
RELATES TO THE USE OF FORCE WHILE ACTING  WITHIN  HIS  OR  HER  OFFICIAL
POWERS,  DUTIES OR FUNCTIONS. THE USE OF FORCE POLICY SHOULD BE CONSIST-
ENT WITH THE MODEL LAW ENFORCEMENT POLICY AS REQUIRED  BY  THIS  SECTION
EXCEPT  THAT  A  DEPARTMENT  SHALL  NOT BE LIMITED FROM IMPOSING FURTHER
RESTRICTIONS OR ADDITIONAL GUIDANCE ON THE PROPER USE OF FORCE.
  S 10. The executive law is amended by adding a new  section  837-s  to
read as follows:
  S  837-S. REPORTING DUTIES OF LAW ENFORCEMENT DEPARTMENTS WITH RESPECT
TO ENFORCEMENT OF CERTAIN VIOLATIONS AND MISDEMEANORS.  1. THE CHIEF  OF
EVERY  POLICE DEPARTMENT, EACH COUNTY SHERIFF, AND THE SUPERINTENDENT OF
STATE POLICE SHALL REPORT, ANNUALLY, TO THE DIVISION THE TOTAL NUMBER OF
ARRESTS MADE OR APPEARANCE TICKETS OR SUMMONSES ISSUED BY A LAW ENFORCE-

S. 6405--A                          8                         A. 9005--A

MENT OFFICER FOR OFFENSES WHICH DO NOT REQUIRE  THE  TAKING  OF  FINGER-
PRINTS  PURSUANT  TO  SUBDIVISION  ONE OF SECTION 160.10 OF THE CRIMINAL
PROCEDURE LAW. SUCH REPORTS SHALL BE IN THE FORM AND  MANNER  PRESCRIBED
BY THE DIVISION AND SHALL CONTAIN SUCH INFORMATION AS THE DIVISION DEEMS
NECESSARY INCLUDING, BUT NOT LIMITED TO, THE AGE, SEX, RACE AND ETHNICI-
TY OF THE PERSON ARRESTED OR TO WHOM AN APPEARANCE TICKET WAS ISSUED.
  2.  THE CHIEF OF EVERY POLICE DEPARTMENT, EACH COUNTY SHERIFF, AND THE
SUPERINTENDENT OF STATE POLICE SHALL REPORT TO THE DIVISION ANY  ARREST-
RELATED  DEATH  IN  THE  FORM  AND MANNER PRESCRIBED BY THE DIVISION. AN
ARREST-RELATED DEATH IS A DEATH  WHICH  OCCURS  DURING  LAW  ENFORCEMENT
CUSTODY  OR  AN  ATTEMPT TO ESTABLISH CUSTODY INCLUDING, BUT NOT LIMITED
TO, DEATHS CAUSED BY ANY USE OF FORCE.
  S 11. Subdivision 3 of section 690.35 of the criminal procedure law is
amended by adding a new paragraph (f) to read as follows:
  (F) A STATEMENT WHETHER THE  APPLICATION  FOR  THE  WARRANT  HAD  BEEN
PREVIOUSLY  SUBMITTED  TO  ANOTHER  JUDGE, AND IF SO, THE STATEMENT MUST
INCLUDE THE NAME OF THE JUDGE OR JUDGES  TO  WHOM  THE  APPLICATION  WAS
PREVIOUSLY  SUBMITTED,  THE  RESULT OF SUCH APPLICATION OR APPLICATIONS,
AND WHEN SUCH APPLICATION OR APPLICATIONS WERE MADE.
  S 12. Severability clause. If any clause, sentence, paragraph,  subdi-
vision,  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 13. This act shall take effect on the thirtieth day after  it  shall
have become a law and shall apply only to acts that occurred on or after
such effective date, except that section one of this act shall remain in
effect  until  the expiration of the term of the fifty-sixth governor of
New York State and that section eleven of this act shall take effect  on
the one hundred eightieth day after it shall have become a law.

                                 PART B

  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 25 of part B of chapter 55 of the laws of 2015,  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, [2016] 2017, 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, 2016.

                                 PART C

  Section 1. Paragraph (b) of subdivision 6 of section 186-f of the  tax
law,  as  amended  by  section  1 of part D of chapter 55 of the laws of
2014, is amended to read as follows:
  (b) The sum of one million  five  hundred  thousand  dollars  must  be
deposited into the New York state emergency services revolving loan fund
annually;  provided,  however, that such sums shall not be deposited for

S. 6405--A                          9                         A. 9005--A

state fiscal years two thousand eleven--two thousand twelve,  two  thou-
sand  twelve--two thousand thirteen, two thousand fourteen--two thousand
fifteen [and], two thousand fifteen--two thousand sixteen, TWO  THOUSAND
SIXTEEN--TWO THOUSAND SEVENTEEN AND TWO THOUSAND SEVENTEEN--TWO THOUSAND
EIGHTEEN;
  S 2. This act shall take effect immediately.

                                 PART D

  Section  1.  Notwithstanding any law to the contrary, the responsibil-
ities, duties and functions, pursuant to subdivision 2 of section 70  of
the  civil  service  law,  of  the intelligence and analysis unit of the
office of counterterrorism within the division of homeland security  and
emergency services shall be transferred to the division of state police.
  S  2.  Paragraphs  (f)  and (g) of subdivision 2 of section 709 of the
executive law, as amended by section 14 of part B of chapter 56  of  the
laws of 2010, are amended to read as follows:
  (f)  coordinate  state  resources  for  the collection and analysis of
information relating to [terrorist threats and terrorist activities  and
other]  natural  and  man-made disasters throughout the state subject to
any applicable laws, rules, or regulations;
  (g) coordinate and facilitate information sharing among local,  state,
and  federal  [law  enforcement] agencies to ensure appropriate intelli-
gence to assist in the early identification of and response  to  [poten-
tial  terrorist  activities  and  other] natural and man-made disasters,
subject to any applicable laws,  rules,  or  regulations  governing  the
release, disclosure or sharing of any such information;
  S  3.  Section 709-a of the executive law, as added by section 15-a of
part B of chapter 56 of the laws of 2010, is amended to read as follows:
  S 709-a. Office of counterterrorism. The  office  of  counterterrorism
shall develop and analyze the state's policies, protocols and strategies
relating to the prevention and detection of terrorist acts and terrorist
threats. The office shall also be responsible for [the collection, anal-
ysis  and  sharing  of  information  relating  to  terrorist threats and
terrorist activities throughout  the  state;]  coordinating  strategies,
protocols  and  first  responder equipment needs to detect a biological,
chemical or radiological terrorist act or threat; working  with  private
entities and local, state and federal agencies to conduct assessments of
the  vulnerability  of  critical infrastructure to terrorist attack; and
consulting with appropriate state  and  local  governments  and  private
entities  to  facilitate  and  foster  cooperation to better prepare the
state to prevent and detect threats and acts of terrorism.
  S 4. 1. Transfer of records. Upon the transfer of functions,  pursuant
to section 1 of this act, the division of homeland security and emergen-
cy services shall deliver to the division of state police, all pertinent
books, papers, records and property.
  2. Existing rights and remedies preserved. No existing right or remedy
of  any  character shall be lost, impaired or affected by reason of this
act.
  3. Pending actions and proceedings. No action or proceeding pending at
the time when this act shall take effect,  brought  by  or  against  the
division  of  homeland  security  and emergency services relating to the
function, power or duty transferred to or devolved upon the division  of
state  police  shall be affected by this act, but the same may be prose-
cuted or defended in the name of the division of state police  and  upon

S. 6405--A                         10                         A. 9005--A

the  application  to  the  court,  the division of state police shall be
substituted as a party.
  4.  Completion  of  unfinished  business. Any business or other matter
undertaken or commenced by the division of homeland security  and  emer-
gency  services  pertaining  to or connected with the functions, powers,
obligations and duties transferred and assigned to the division of state
police, pending on the effective date of this act, may be conducted  and
completed  by  the division of state police in the same manner and under
the same terms and conditions and with the same effect as  if  conducted
and  completed  by  the  division  of  homeland  security  and emergency
services.
  S 5. This act shall take effect immediately.

                                 PART E

  Section 1. Section 5 of chapter 268 of the laws of 1996, amending  the
education law and the state finance law relating to providing a recruit-
ment  incentive  and retention program for certain active members of the
New York army national guard, New York air national guard, and New  York
naval  militia,  as amended by section 24 of part A of chapter 57 of the
laws of 2011, is amended to read as follows:
  S 5. This act shall take effect January 1, 1997 and shall  expire  and
be  deemed  repealed  September 1, [2016] 2021; provided that any person
who has begun to receive the benefits of this act prior to  its  expira-
tion and repeal shall be entitled to continue to receive the benefits of
this act after its expiration and repeal until completion of a baccalau-
reate  degree  or  cessation  of  status  as an active member, whichever
occurs first.
  S 2. This act shall take effect immediately.

                                 PART F

  Section 1. Subdivision 5 of section 362 of the chapter 83 of the  laws
of 1995 amending the state finance law and other laws relating to bonds,
notes  and revenues, as amended by section 37 of part L of chapter 55 of
the laws of 2012, is amended to read as follows:
  5. Sections thirty-one through forty-two of this act shall take effect
on the thirtieth day after it shall have  become  a  law  and  shall  be
deemed  to  have  been  in  full  force and effect on and after April 1,
1995[; provided that section 163 of the state finance law, as  added  by
section  thirty-three  of this act shall remain in full force and effect
until June 30, 2016  at  which  time  it  shall  expire  and  be  deemed
repealed. Contracts executed prior to the expiration of such section 163
shall  remain  in full force and effect until the expiration of any such
contract notwithstanding the expiration of certain  provisions  of  this
act].
  S  2.  Section 16 of chapter 1 of the laws of 2005, amending the state
finance law relating to restricting contacts in the procurement  process
and the recording of contacts relating thereto, as amended by chapter 62
of the laws of 2014, is amended to read as follows:
  S  16. This act shall take effect immediately; provided, however, that
sections one, six, eight, nine, ten, eleven  and  fifteen  of  this  act
shall take effect January 1, 2006; and provided, however, the amendments
to  paragraph f of subdivision 9 of section 163 of the state finance law
made by section fifteen of this act shall not affect the repeal of  such
section  and shall be deemed repealed therewith; provided, further, that

S. 6405--A                         11                         A. 9005--A

the amendments to article 1-A of the legislative law, made by this  act,
shall not affect the repeal of such article pursuant to chapter 2 of the
laws  of  1999,  as  amended,  and  shall  be deemed repealed therewith;
provided, further, that sections thirteen and fourteen of this act shall
take  effect  January  1,  2006  [and  shall be deemed repealed July 31,
2016]; provided, further, that effective immediately, the advisory coun-
cil on procurement lobbying created pursuant to section twelve  of  this
act  shall  be constituted no later than sixty days following the effec-
tive date of this act, provided that effective sixty days following  the
effective date of this act, the advisory council on procurement lobbying
shall  be  authorized  to  establish  model guidelines and to add, amend
and/or repeal any rules or regulations necessary for the  implementation
of  its  duties  under sections twelve and thirteen of this act, and the
advisory council authorized to make and complete such  model  guidelines
on  or  before  the  effective  date  of  section  thirteen of this act;
provided, further, that procurement contracts for  which  bid  solicita-
tions  have been issued prior to the effective date of this act shall be
awarded pursuant to the provisions of law in effect at the time of issu-
ance.
  S 3. This act shall take effect immediately and  shall  be  deemed  to
have been in full force and effect on and after April 1, 2016.

                                 PART G

  Section  1.  Section 13-b of the workers' compensation law, as amended
by chapter 1068 of the laws of 1960, the section  heading  and  subdivi-
sions  1 and 2 as amended by chapter 473 of the laws of 2000, and subdi-
vision 3 as amended by section 85 of part A of chapter 58 of the laws of
2010, is amended to read as follows:
  S 13-b. Authorization of [physicians] PROVIDERS, medical  bureaus  and
laboratories  by  the  chair. 1. [Upon the recommendation of the medical
society of the county in which the physician's office is located or of a
board designated by such county society or of a board representing  duly
licensed  physicians  of  any  other  school of medical practice in such
county, the chair may authorize physicians licensed to practice medicine
in the state of New York to render medical care under this  chapter  and
to  perform independent medical examinations in accordance with subdivi-
sion four of section thirteen-a of this article. If, within  sixty  days
after  the  chair  requests  such recommendations the medical society of
such county or board fails to act, or if there is  no  such  society  in
such  county,  the  chair  shall  designate a board of three outstanding
physicians, who shall make the requisite recommendations.
  No such authorization shall be made in the absence of a recommendation
of the appropriate society or board or of a review and recommendation by
the medical appeals unit. No person shall render medical care or conduct
independent medical examinations under this chapter without such author-
ization by the chair, provided, that:] AS  USED  IN  THIS  CHAPTER,  THE
FOLLOWING  DEFINITIONS  SHALL  HAVE  THE FOLLOWING MEANINGS UNLESS THEIR
CONTEXT REQUIRES OTHERWISE:
  (A) "ACUPUNCTURIST" SHALL MEAN LICENSED AS HAVING COMPLETED  A  FORMAL
COURSE  OF STUDY AND HAVING PASSED AN EXAMINATION IN ACCORDANCE WITH THE
EDUCATION LAW, THE REGULATIONS OF THE COMMISSIONER OF EDUCATION, AND THE
REQUIREMENTS OF THE BOARD OF REGENTS. ACUPUNCTURISTS ARE REQUIRED BY THE
EDUCATION LAW TO ADVISE, IN WRITING, EACH  PATIENT  OF  THE  REQUIREMENT
THAT  HE OR SHE CONSULT WITH A PHYSICIAN FOR THE CONDITION OR CONDITIONS
NECESSITATING ACUPUNCTURE CARE, AS PRESCRIBED BY SUCH LAW.

S. 6405--A                         12                         A. 9005--A

  (B) "AUTHORIZATION AGREEMENT" SHALL  MEAN  AN  AGREEMENT  BETWEEN  THE
CHAIR  AND  THE  PROVIDER  SIGNED  BY THE PROVIDER DESIROUS OF RENDERING
HEALTH CARE AND/OR TREATMENT TO A CLAIMANT OR CLAIMANTS INJURED  IN  THE
COURSE  OF  THEIR EMPLOYMENT AND/OR TO CONDUCT INDEPENDENT MEDICAL EXAM-
INATIONS.
  (C)  "CHAIR"  OF  THE BOARD SHALL MEAN EITHER THE CHAIR OR THE CHAIR'S
DESIGNEE.
  (D) "CHIROPRACTOR" SHALL MEAN LICENSED AND HAVING COMPLETED TWO  YEARS
OF  PREPROFESSIONAL  COLLEGE  STUDY  AND A FOUR-YEAR RESIDENT PROGRAM IN
CHIROPRACTIC IN ACCORDANCE WITH THE EDUCATION LAW, AND  CONSISTENT  WITH
THE LICENSING REQUIREMENTS OF THE COMMISSIONER OF EDUCATION.
  (E)  "NURSE  PRACTITIONER"  SHALL  MEAN  A LICENSED PROFESSIONAL NURSE
CERTIFIED BY A NATIONAL CERTIFYING BODY AS HAVING COMPLETED THE REQUIRED
EDUCATIONAL PROGRAM IN ACCORDANCE WITH THE EDUCATION LAW AND  THE  REGU-
LATIONS OF THE COMMISSIONER OF EDUCATION.
  (F)  "OCCUPATIONAL  THERAPIST"  SHALL  MEAN  DULY LICENSED AS HAVING A
BACHELOR'S OR MASTER'S DEGREE IN OCCUPATIONAL THERAPY FROM A  REGISTERED
PROGRAM  WITH THE EDUCATION DEPARTMENT OR RECEIPT OF A DIPLOMA OR DEGREE
RESULTING FROM COMPLETION OF NOT LESS THAN FOUR YEARS  OF  POSTSECONDARY
STUDY,  WHICH INCLUDES THE PROFESSIONAL STUDY OF OCCUPATIONAL THERAPY IN
ACCORDANCE WITH THE EDUCATION LAW AND THE REGULATIONS OF THE COMMISSION-
ER OF EDUCATION.
  (G) "PHYSICAL THERAPIST" SHALL MEAN LICENSED IN  PHYSICAL  THERAPY  IN
ACCORDANCE  WITH THE EDUCATION LAW AND THE LICENSING REQUIREMENTS OF THE
COMMISSIONER OF EDUCATION.
  (H) "PHYSICIAN" SHALL MEAN LICENSED WITH A DEGREE OF DOCTOR  OF  MEDI-
CINE,  M.D.,  OR  DOCTOR OF OSTEOPATHY, D.O., OR AN EQUIVALENT DEGREE IN
ACCORDANCE WITH THE EDUCATION LAW AND THE LICENSING REQUIREMENTS OF  THE
STATE  BOARD  OF  MEDICINE  AND  THE  REGULATIONS OF THE COMMISSIONER OF
EDUCATION.
  (I) "PHYSICIANS' ASSISTANT" SHALL MEAN A  LICENSED  PROVIDER  WHO  HAS
GRADUATED  FROM  A TWO-TO-FOUR YEAR STATE-APPROVED PHYSICIANS' ASSISTANT
PROGRAM, HAS PASSED A  LICENSING  EXAMINATION,  AND  WHOSE  ACTIONS  AND
DUTIES ARE WITHIN THE SCOPE OF PRACTICE OF THE SUPERVISING PHYSICIAN, IN
ACCORDANCE WITH THE EDUCATION LAW AND THE REGULATIONS OF THE COMMISSION-
ER OF EDUCATION.
  (J)  "PODIATRIST"  SHALL  MEAN  LICENSED AS HAVING RECEIVED A DOCTORAL
DEGREE IN PODIATRY IN ACCORDANCE WITH THE REGULATIONS OF THE COMMISSION-
ER OF EDUCATION AND THE EDUCATION LAW, AND MUST SATISFACTORILY MEET  ALL
OTHER REQUIREMENTS OF THE STATE BOARD FOR PODIATRY.
  (K) "PROVIDER" SHALL MEAN A DULY LICENSED ACUPUNCTURIST, CHIROPRACTOR,
INDEPENDENT  MEDICAL  EXAMINER,  NURSE PRACTITIONER, PHYSICAL THERAPIST,
PHYSICIAN, PHYSICIANS' ASSISTANT, PODIATRIST,  PSYCHOLOGIST,  OR  SOCIAL
WORKER SUBJECT TO AN AUTHORIZATION AGREEMENT.
  (L)  "PSYCHOLOGIST"  SHALL MEAN LICENSED AS HAVING RECEIVED A DOCTORAL
DEGREE IN PSYCHOLOGY FROM A PROGRAM OF PSYCHOLOGY  REGISTERED  WITH  THE
DEPARTMENT OF EDUCATION OR THE SUBSTANTIAL EQUIVALENT THEREOF IN ACCORD-
ANCE  WITH  THE  EDUCATION  LAW, THE REQUIREMENTS OF THE STATE BOARD FOR
PSYCHOLOGY, AND THE REGULATIONS OF THE COMMISSIONER OF EDUCATION.
  (M) "SOCIAL WORKER" SHALL MEAN  LICENSED  CLINICAL  SOCIAL  WORKER.  A
LICENSED  CLINICAL SOCIAL WORKER HAS COMPLETED A MASTER'S OF SOCIAL WORK
THAT INCLUDES COMPLETION OF A CORE CURRICULUM OF AT LEAST TWELVE  CREDIT
HOURS  OF  CLINICAL  COURSES  OR  THE  EQUIVALENT POST-GRADUATE CLINICAL
COURSEWORK, IN ACCORDANCE WITH THE EDUCATION LAW AND THE COMMISSIONER OF
EDUCATION.

S. 6405--A                         13                         A. 9005--A

  [(a)] 2. Any [physician]  PROVIDER  licensed  [to  practice  medicine]
PURSUANT  TO  THE  EDUCATION LAW TO PROVIDE HEALTH CARE AND TREATMENT in
the state of New York may render emergency [medical] care AND  TREATMENT
IN  AN  EMERGENCY  HOSPITAL  OR  URGENT CARE SETTING PROVIDING EMERGENCY
TREATMENT  under  this  chapter without authorization by the chair under
this section; [and]
  [(b) A] (A) SUCH licensed [physician] PROVIDER AS  IDENTIFIED  IN  THE
OPENING  PARAGRAPH OF THIS SUBDIVISION who is [a member of a constituted
medical staff of any hospital] ON STAFF AT ANY HOSPITAL OR  URGENT  CARE
CENTER   PROVIDING   EMERGENCY  TREATMENT  may  [render]  CONTINUE  SUCH
[medical] HEALTH care under  this  chapter  while  an  injured  employee
remains a patient in such hospital OR URGENT CARE SETTING; and
  [(c)]  (B)  Under  the  [active and personal] DIRECT supervision of an
authorized [physician] PROVIDER, [medical] care may  be  rendered  by  a
registered  nurse  or other person trained in laboratory, THERAPEUTIC or
diagnostic techniques within the  scope  of  such  person's  specialized
training  and  qualifications.  This  supervision  shall be evidenced by
signed records of instructions for treatment OR CARE and signed  records
of  the  patient's  condition and progress. Reports of such treatment OR
CARE and supervision shall be made by such [physician] PROVIDER  to  the
chair on such forms and at such times as the chair may require.
  [(d)  Upon  the  referral which may be directive as to treatment of an
authorized physician physical therapy care may be  rendered  by  a  duly
licensed  physical  therapist.  Where  physical therapy care is rendered
records of the patient's condition and progress, together  with  records
of  instruction  for treatment, if any, shall be maintained by the phys-
ical therapist and physician. Said records shall  be  submitted  to  the
chair on such forms and at such times as the chair may require.
  (e) Upon the prescription or referral of an authorized physician occu-
pational  therapy  care  may be rendered by a duly licensed occupational
therapist. Where occupational therapy care is rendered  records  of  the
patient's  condition  and progress, together with records of instruction
for treatment, if any shall be maintained by the occupational  therapist
and physician. Said records shall be submitted to the chair on forms and
at such times as the chair may require.
  (f)] (C) Where it would place an unreasonable burden upon the employer
or carrier to arrange for, or for the claimant to attend, an independent
medical  examination by an authorized [physician] PROVIDER, the employer
or carrier shall arrange for such examination to be performed by a qual-
ified [physician] PROVIDER in  a  medical  facility  convenient  to  the
claimant.
  (D) UPON THE PRESCRIPTION OR REFERRAL OF AN AUTHORIZED PHYSICIAN, CARE
OR  TREATMENT  MAY  BE  RENDERED TO AN INJURED EMPLOYEE BY AN AUTHORIZED
PHYSICAL THERAPIST, OCCUPATIONAL THERAPIST OR ACUPUNCTURIST PROVIDED THE
CONDITIONS AND THE TREATMENT PERFORMED ARE AMONG THE CONDITIONS THAT THE
PHYSICAL THERAPIST, OCCUPATIONAL THERAPIST OR ACUPUNCTURIST  IS  AUTHOR-
IZED  TO  CARE  FOR  OR TREAT PURSUANT TO THE EDUCATION LAW OR THE REGU-
LATIONS OF THE COMMISSIONER OF EDUCATION.  WHERE ANY SUCH CARE OR TREAT-
MENT IS RENDERED, RECORDS  OF  THE  PATIENT'S  CONDITION  AND  PROGRESS,
TOGETHER  WITH  RECORDS  OF  INSTRUCTION FOR TREATMENT, IF ANY, SHALL BE
MAINTAINED BY THE PROVIDER OVERSEEING TREATMENT.  SAID RECORDS SHALL  BE
SUBMITTED  TO  THE  CHAIR  ON  FORMS  AND AT SUCH TIMES AS THE CHAIR MAY
REQUIRE.
  (E) A RECORD, REPORT OR OPINION OF A PHYSICAL THERAPIST,  OCCUPATIONAL
THERAPIST,  ACUPUNCTURIST  OR PHYSICIAN'S ASSISTANT SHALL NOT BE CONSID-
ERED AS EVIDENCE OF (1) THE CAUSAL RELATIONSHIP OF ANY CONDITION  TO  AN

S. 6405--A                         14                         A. 9005--A

ACCIDENT OR OCCUPATIONAL DISEASE UNDER THIS CHAPTER OR (2) DISABILITY OR
THE  DEGREE  THEREOF,  NOR  MAY ANY SUCH PROVIDER PERFORM AN INDEPENDENT
MEDICAL EXAMINATION CONCERNING A CLAIM UNDER THIS CHAPTER.
  [2] 3.  A [physician licensed to practice medicine in the state of New
York  who  is]  PROVIDER  PROPERLY LICENSED OR CERTIFIED PURSUANT TO THE
REGULATIONS OF THE COMMISSIONER OF EDUCATION AND THE REQUIREMENTS OF THE
EDUCATION LAW desirous of being authorized to  render  [medical]  HEALTH
care  under  this chapter and/or to conduct independent medical examina-
tions in accordance with paragraph (b) of subdivision  four  of  section
thirteen-a  and  section  one hundred thirty-seven of this chapter shall
[file an application for  authorization  under  this  chapter  with  the
medical  society in the county in which his or her office is located, or
with a board designated by such society, or with a board  designated  by
the chair as provided in this section. In such application the applicant
shall  state  his or her training and qualifications, and shall agree to
limit his or her professional activities  under  this  chapter  to  such
medical care and independent medical examinations, as his or her experi-
ence  and  training  qualify him or her to render] SIGN AN AUTHORIZATION
AGREEMENT.  A PROVIDER AUTHORIZED BY THE BOARD PRIOR  TO  THE  EFFECTIVE
DATE  OF  THIS  SUBDIVISION MAY CONTINUE TO TREAT OR PERFORM INDEPENDENT
MEDICAL EXAMINATIONS IN ACCORDANCE WITH HIS OR HER EARLIER AUTHORIZATION
PENDING EXECUTION OF A NEW AUTHORIZATION AGREEMENT WITHIN TWELVE  MONTHS
OF THE EFFECTIVE DATE OF THIS SECTION FOLLOWING NOTICES TO THE PROVIDER.
[The  applicant  shall  further agree to refrain] THE PROVIDER AGREES TO
ABIDE BY THE TERMS, CONDITIONS, AND LIMITATIONS OUTLINED IN THE AUTHORI-
ZATION AGREEMENT, INCLUDING, BUT NOT LIMITED TO REFRAINING  from  subse-
quently  treating  for  remuneration,  as  a private patient, any person
seeking medical treatment, or submitting to an independent medical exam-
ination, in connection with, or as a result of, any  injury  compensable
under  this  chapter,  if  he  or  she has been removed from the list of
[physicians] PROVIDERS authorized to render [medical] HEALTH care or  to
conduct  independent  medical examinations under this chapter, or if the
person seeking such treatment, or submitting to an  independent  medical
examination,  has  been  transferred  from his or her care in accordance
with the provisions of this chapter. This agreement  shall  run  to  the
benefit  of  the  injured  person  so  treated or examined, and shall be
available to him or her as a defense in any action by  such  [physician]
PROVIDER  for  payment  for  treatment OR CARE rendered by a [physician]
PROVIDER after he or she has been removed from the list of  [physicians]
PROVIDERS authorized to render [medical] HEALTH care or to conduct inde-
pendent  medical  examinations  under this chapter, or after the injured
person was transferred from his or  her  care  in  accordance  with  the
provisions of this chapter. [The medical society or the board designated
by  it,  or  the  board  as otherwise provided under this section, if it
deems such licensed physician duly qualified,  shall  recommend  to  the
chair  that  such  physician be authorized to render medical care and/or
conduct independent medical examinations under this  chapter,  and  such
recommendation  and  authorization  shall  specify  the character of the
medical care or independent medical examination which such physician  is
qualified  and authorized to render under this chapter. Such recommenda-
tions shall be advisory to the chair only and shall not  be  binding  or
conclusive  upon  him  or her. The licensed physician may present to the
medical society or board, evidences of additional qualifications at  any
time subsequent to his or her original application. If the medical soci-
ety or board fails to recommend to the chair that a physician be author-
ized  to render medical care and/or to conduct independent medical exam-

S. 6405--A                         15                         A. 9005--A

inations under this chapter, the physician may  appeal  to  the  medical
appeals  unit. The medical society or the board designated by it, or the
board as otherwise provided under this section, may upon its own  initi-
ative, or shall upon request of the chair, review at any time the quali-
fications  of  any  physician as to the character of the medical care or
independent medical examinations which such  physician  has  theretofore
been  authorized  to  render under this chapter and may recommend to the
chair that such physician be authorized to render  medical  care  or  to
conduct  independent  medical  examinations  thereafter of the character
which such physician is then  qualified  to  render.  On  such  advisory
recommendation  the  chair may review and after reasonable investigation
may revise the authorization of a physician in respect to the  character
of medical care and/or to conduct independent medical examinations which
he  or  she  is  authorized  to  render. If the medical society or board
recommends to the chair that a physician be authorized to render medical
care and/or to conduct independent medical examinations under this chap-
ter of a character different from the character of medical care or inde-
pendent medical examinations he or she has been  theretofore  authorized
to  render,  such  physician  may appeal from such recommendation to the
medical appeals unit.
  3] 4.  Laboratories and bureaus engaged in x-ray diagnosis  or  treat-
ment  or  in  physiotherapy  or  other  therapeutic procedures and which
participate in the diagnosis or treatment of injured [workmen] CLAIMANTS
under this chapter shall be operated or supervised by [qualified  physi-
cians  duly  authorized] QUALIFIED PHYSICIANS DULY AUTHORIZED under this
chapter and shall be subject to the provisions of section thirteen-c  of
this  article.  The person in charge of diagnostic clinical laboratories
[duly] authorized under this chapter shall  possess  the  qualifications
established  by  the  public  health  and  health  planning  council for
approval by the state commissioner of health or,  in  the  city  of  New
York,  the  qualifications  approved by the board of health of said city
and shall maintain the standards of work required for such approval.
  S 2. Section 13-d of the workers'  compensation  law,  as  amended  by
chapter  459 of the laws of 1944, the section heading and subdivisions 1
and 2 as amended by chapter 473 of the laws of 2000, paragraphs (a)  and
(b)  of subdivision 2 as amended and subdivision 5 as added by chapter 6
of the laws of 2007 and subdivision 4 as amended by chapter 1068 of  the
laws of 1960, is amended to read as follows:
  S  13-d. Removal of [physicians] PROVIDERS from lists of those author-
ized to render [medical] HEALTH care or to conduct  independent  medical
examinations.  1. [The medical society of the county in which the physi-
cian's office is located at the time or a board designated by such coun-
ty society or a board representing duly licensed physicians of any other
school of medical practice in such county shall  investigate,  hear  and
make  findings  with  respect to all charges as to professional or other
misconduct of any authorized physician as herein  provided  under  rules
and  procedure  to  be prescribed by the medical appeals unit, and shall
report evidence of such misconduct, with their findings and  recommenda-
tion with respect thereto, to the chair. Failure to commence such inves-
tigation within sixty days from the date the charges are referred to the
society  by the chair or submit findings and recommendations relating to
the charges within one hundred eighty days from the date the charges are
referred shall empower the chair to appoint, as  a  hearing  officer,  a
member  of  the  board,  employee, or other qualified hearing officer to
hear and report on the charges to the chair. A qualified  hearing  offi-

S. 6405--A                         16                         A. 9005--A

cer,  who is neither a member of the board, or employee thereof shall be
paid at a reasonable per diem rate to be fixed by the chair.
  Such  investigation,  hearing, findings, recommendation and report may
be made by the society or board of an adjoining county upon the  request
of  the medical society of the county in which the alleged misconduct or
infraction of this chapter occurred,  subject  to  the  time  limit  and
conditions  set  forth herein. The medical appeals unit shall review the
findings and recommendation of such medical society or board, or hearing
officer appointed by the chair upon application of the accused physician
and may reopen the matter and receive further  evidence.  The  findings,
decision  and  recommendation  of such society, board or hearing officer
appointed by the chair or medical appeals unit shall be advisory to  the
chair only, and shall not be binding or conclusive upon him or her.
  2.] The chair shall [remove from the list of physicians authorized to]
TEMPORARILY SUSPEND, REVOKE, OR OTHERWISE LIMIT THE AUTHORIZATION OF ANY
PROVIDER  TO  render  [medical]  HEALTH  care  under this chapter, or to
conduct independent medical examinations in  accordance  with  paragraph
(b) of subdivision four of section thirteen-a of this article, [the name
of  any physician who he or she shall find] SHOULD HE OR SHE FIND, after
reasonable investigation [is disqualified because such physician:], THAT
SUCH PROVIDER HAS FAILED TO RENDER COMPETENT, PROFESSIONAL,  OR  QUALITY
HEALTH CARE AND TREATMENT UNDER THIS CHAPTER.
  2.  A PROVIDER'S FAILURE TO PROVIDE THE STANDARD OF CARE OR HIS OR HER
BREACH OF THE DUTY TO PROVIDE COMPETENT, PROFESSIONAL, OR QUALITY HEALTH
CARE AND TREATMENT UNDER THIS CHAPTER CAN BE FOUND IN THE FOLLOWING ACTS
OF MISCONDUCT:
  (a) has [been guilty of] COMMITTED  professional,  MEDICAL,  or  other
misconduct or incompetency in connection with rendering medical services
under the law OR HAS VIOLATED ANY OF THE SPECIFIED GROUNDS FOR UNPROFES-
SIONAL  CONDUCT  AS  MORE  FULLY SET FORTH IN THE EDUCATION LAW, SPECIF-
ICALLY THE RULES OF THE BOARD OF REGENTS, THE OFFICE OF PROFESSIONS,  OR
THE REGULATIONS OF THE COMMISSIONER OF EDUCATION; or
  (b)  has  exceeded the limits of his or her professional competence in
rendering medical care or in conducting independent medical examinations
under the law[,] or has made materially false statements [regarding  his
or  her  qualifications in his or her application for the recommendation
of the medical society or board as provided  in  section  thirteen-b  of
this article] IN CONNECTION WITH THE AUTHORIZATION AGREEMENT; or
  (c)  has  failed  to  transmit copies of medical reports to claimant's
attorney or licensed representative as provided in  subdivision  (f)  of
section  thirteen  of  this  article;  or  has failed to submit full and
truthful medical reports of all his or her findings to the employer, and
directly to the chair or the board within the time  limits  provided  in
subdivision  four  of section thirteen-a of this article with the excep-
tion of injuries which do not require (1) more than ordinary  first  aid
or  more  than  two  treatments by a physician or person rendering first
aid, or (2) loss of time from regular duties of one day beyond the work-
ing day or shift; or
  (d) knowingly made a false statement or representation as to a materi-
al fact in any medical report made pursuant to this chapter or in testi-
fying or otherwise providing information for the purposes of this  chap-
ter; or
  (e)  has  solicited, or has employed another to solicit for himself or
herself or for another, professional treatment, examination or  care  of
an injured employee in connection with any claim under this chapter; or

S. 6405--A                         17                         A. 9005--A

  (f)  has  refused to appear before, to testify, to submit to a deposi-
tion, or to answer upon request of, the chair, board,  [medical  appeals
unit]  or  any duly authorized officer of the state, any legal question,
or to produce any relevant book [or], paper, OR RESPONSE concerning  his
or her conduct under any authorization [granted to him or her under this
chapter] OR AUTHORIZATION AGREEMENT; or
  (g) has directly or indirectly [requested, received or participated in
the division, transference, assignment, rebating, splitting or refunding
of a fee for, or has directly or indirectly requested, received or prof-
ited  by  means of a credit or other valuable consideration as a commis-
sion, discount or gratuity in connection with the furnishing of  medical
or  surgical  care,  an  independent  medical  examination, diagnosis or
treatment or service, including X-ray examination and treatment, or  for
or in connection with the sale, rental, supplying or furnishing of clin-
ical  laboratory  services  or  supplies,  X-ray  laboratory services or
supplies, inhalation therapy service or  equipment,  ambulance  service,
hospital or medical supplies, physiotherapy or other therapeutic service
or  equipment,  artificial  limbs, teeth or eyes, orthopedic or surgical
appliances or  supplies,  optical  appliances,  supplies  or  equipment,
devices  for  aid  of hearing, drugs, medication or medical supplies, or
any other goods, services or supplies prescribed for medical  diagnosis,
care  or  treatment, under this chapter; except that reasonable payment,
not exceeding the technical component fee permitted in the  medical  fee
schedule, established under this chapter for X-ray examinations, diagno-
sis or treatment, may be made by a physician duly authorized as a roent-
genologist  to any hospital furnishing facilities and equipment for such
examination, diagnosis or treatment, provided  such  hospital  does  not
also  submit  a  charge for the same services. Nothing contained in this
paragraph shall prohibit such physicians who practice  as  partners,  in
groups or as a professional corporation or as a university faculty prac-
tice  corporation  from  pooling fees and moneys received, either by the
partnership,  professional  corporation,  university  faculty   practice
corporation or group by the individual members thereof, for professional
services furnished by any individual professional member, or employee of
such  partnership,  corporation  or  group,  nor shall the professionals
constituting the partnerships, corporations,  or  groups  be  prohibited
from  sharing,  dividing or apportioning the fees and moneys received by
them or by the partnership, corporation or group in  accordance  with  a
partnership  or other agreement], WHILE TEMPORARILY SUSPENDED, BENEFITED
FROM THE SPLITTING OR POOLING OF FEES BY MANAGING OR DIRECTING A MEDICAL
PRACTICE EMPLOYING OR HIRING OTHER AUTHORIZED PROVIDERS TO RENDER TREAT-
MENT UNDER THIS CHAPTER, SUPERVISED CARE AND TREATMENT UNDER THIS  CHAP-
TER,  OR  SUBMITTED  FOR REIMBURSEMENT BOARD FORMS FOR SERVICES RENDERED
UNDER THIS CHAPTER; OR
  (H) HAS VIOLATED ANY OF THE PROVISIONS OUTLINED IN SECTION THIRTEEN OF
THIS ARTICLE, THE RULES, POLICIES, AND REGULATIONS  PROMULGATED  BY  THE
BOARD,  THE  PROVIDER'S  MEDICAL LICENSE REQUIREMENTS, AS MORE FULLY SET
FORTH IN THE PUBLIC HEALTH LAW AND THE  EDUCATION  LAW,  OR  SERIOUS  OR
RECURRING  VIOLATION  OF THE REQUIREMENTS SET FORTH IN THE AUTHORIZATION
AGREEMENT; OR
  (I) HAS BEEN SUBJECT TO A CONDITION, LIMITATION,  OR  FINDING  BY  THE
DEPARTMENT  OF  HEALTH  IN A REPORT, DETERMINATION, OR ANY TYPE OF ORDER
RESULTING FROM ALLEGATIONS OF MISCONDUCT.
  3. [Any person who violates or attempts to violate, and any person who
aids another to violate  or  attempts  to  induce  him  to  violate  the
provisions  of paragraph (g) of subdivision two of this section shall be

S. 6405--A                         18                         A. 9005--A

guilty of a misdemeanor] ONCE SUSPENDED, REVOKED, OR LIMITED, A  SURGEON
MAY PROVIDE ONLY REQUIRED AND NECESSARY POST-SURGICAL CARE AND TREATMENT
TO  A WORKERS' COMPENSATION PATIENT RECOVERING FROM A SURGICAL PROCEDURE
PERFORMED  WITHIN A REASONABLE TIME FRAME PRIOR TO THE EFFECTIVE DATE OF
THE PROVIDER'S AUTHORIZATION SUSPENSION OR REVOCATION.
  4. [Nothing] IN ADDITION TO THE POWER OR DUTY OF THE CHAIR  TO  TEMPO-
RARILY  SUSPEND,  REVOKE,  OR  OTHERWISE  LIMIT  THE  AUTHORIZATION OF A
PROVIDER IN THE EVENT THAT ONE OF THE ACTS OF PROFESSIONAL, MEDICAL,  OR
OTHER  MISCONDUCT  IS  FOUND  TO EXIST, NOTHING in this section shall be
construed as limiting in any respect the [power or duty of the chairman]
CHAIR'S AUTHORITY to [investigate instances of misconduct, either before
or after investigation by a medical society or board as herein provided,
or to temporarily suspend the authorization of any physician that he may
believe to be guilty of such misconduct] IMPOSE A  FINE  NOT  TO  EXCEED
FIVE THOUSAND DOLLARS.
  [5.  Whenever  the department of health shall conduct an investigation
with respect to charges of professional or other misconduct by a  physi-
cian  which  results  in  a  report, determination or consent order that
includes a finding of professional or other misconduct  or  incompetency
by  such  physician,  the  chair  shall have full power and authority to
temporarily suspend, revoke or otherwise limit the  authorization  under
this  chapter  of  any  physician upon such finding by the department of
health that the physician has  been  guilty  of  professional  or  other
misconduct.  The  recommendations  of  the department of health shall be
advisory to the chair only and shall not be binding or  conclusive  upon
the chair.]
  S  3.  Subdivision 2 of section 13-k of the workers' compensation law,
as amended by chapter 473 of the laws of 2000, is  amended  to  read  as
follows:
  2.  An  employee  injured  under  circumstances which make such injury
compensable under this article, when care is required for an  injury  to
the  foot  which injury or resultant condition therefrom may lawfully be
treated by a duly registered and licensed podiatrist of the state of New
York, may select to treat him or her any podiatrist  authorized  by  the
chair to render podiatry care, as hereinafter provided. If the injury or
condition is one which is without the limits prescribed by the education
law  for  podiatry  care  and treatment, or the injuries involved affect
other parts of the body in addition to the  foot,  the  said  podiatrist
must  so  advise  the  said  injured employee and instruct him or her to
consult a physician of said employee's choice for appropriate  care  and
treatment.  Such physician shall thenceforth have overall supervision of
the treatment of said patient  including  the  future  treatment  to  be
administered  to the patient by the podiatrist. If for any reason during
the period when podiatry treatment and care is  required,  the  employee
wishes  to  transfer his or her treatment and care to another authorized
podiatrist he or she may do so, in accordance with rules  prescribed  by
the  chair,  provided  however that the employer shall be liable for the
proper fees of the original podiatrist for the care and treatment he  or
she  shall have rendered. [A podiatrist licensed and registered to prac-
tice podiatry in the state of New York who is desirous of being  author-
ized  to render podiatry care under this section and/or to conduct inde-
pendent  medical  examinations  in  accordance  with  paragraph  (b)  of
subdivision three of this section shall file an application for authori-
zation under this section with the podiatry practice committee.  In such
application  he or she shall agree to refrain from subsequently treating
for remuneration, as a private  patient,  any  person  seeking  podiatry

S. 6405--A                         19                         A. 9005--A

treatment,  or  submitting  to  an  independent  medical examination, in
connection with, or as a result of, any injury  compensable  under  this
chapter,  if  he  or  she  has been removed from the list of podiatrists
authorized  to  render  podiatry  care or to conduct independent medical
examinations under this chapter, or if the person seeking such treatment
has been transferred from  his  or  her  care  in  accordance  with  the
provisions  of  this section. This agreement shall run to the benefit of
the injured person so treated or examined, and shall be available to him
or her as a defense in any action by such  podiatrist  for  payment  for
treatment rendered by a podiatrist after he or she has been removed from
the list of podiatrists authorized to render podiatry care or to conduct
independent  medical  examinations  under  this  section,  or  after the
injured person was transferred from his or her care in  accordance  with
the  provisions  of  this section. The podiatry practice committee if it
deems such licensed podiatrist duly qualified  shall  recommend  to  the
chair  that such podiatrist be authorized to render podiatry care and/or
to conduct independent medical examinations  under  this  section.  Such
recommendation  shall  be  advisory  to  the chair only and shall not be
binding or conclusive upon him or her.]  The  chair  shall  prepare  and
establish  a  schedule  for  the  state, or schedules limited to defined
localities, of charges and fees for podiatry treatment and care,  to  be
determined  in  accordance  with and to be subject to change pursuant to
rules promulgated by the chair. Before preparing such schedule  for  the
state  or  schedules  for limited localities the chair shall request the
podiatry practice committee to submit to him or  her  a  report  on  the
amount  of remuneration deemed by such committee to be fair and adequate
for the types of podiatry care to be rendered under  this  chapter,  but
consideration  shall  be  given to the view of other interested parties.
The amounts payable by the employer  for  such  treatment  and  services
shall be the fees and charges established by such schedule.
  Section 4. Section 13-g of the workers' compensation law is amended to
read as follows:
  S  13-g. Payment of bills for medical care. (1) Within forty-five days
after a bill FOR MEDICAL CARE OR SUPPLIES DELIVERED PURSUANT TO  SECTION
THIRTEEN  OF  THIS  CHAPTER  has  been  rendered to the employer [by the
hospital, physician or self-employed physical or occupational  therapist
who  has  rendered  treatment  pursuant  to  a referral from the injured
employee's authorized physician or authorized podiatrist  for  treatment
to  the injured employee,] such employer must pay the bill or notify the
MEDICAL CARE PROVIDER OR SUPPLIER IN THE FORMAT PRESCRIBED BY THE  CHAIR
[hospital, physician or self-employed physical or occupational therapist
in  writing] that the bill is not being paid and explain the reasons for
non-payment. In the event that the employer fails  to  make  payment  or
notify the hospital, physician or self-employed physical or occupational
therapist  within  such  forty-five day period that payment is not being
made, THE MEDICAL PROVIDER OR SUPPLIER [the hospital,  physician,  self-
employed physical therapist or self-employed occupational therapist] may
notify the [chair] BOARD IN THE FORMAT PRESCRIBED BY THE CHAIR [in writ-
ing]  that the bill has not been paid and request that the board make an
award for payment of such bill. 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 after said forty-five day period or  thirty
days after all other questions duly and timely raised in accordance with
the provisions of this chapter, relating to the employer's liability for
the payment of such amount, shall have been finally determined adversely
to the employer, whichever is later, in accordance with rules promulgat-

S. 6405--A                         20                         A. 9005--A

ed  by  the  chair, 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.
  In  the event that the employer has provided an explanation in writing
why the bill has not been paid, in part or in full, within the aforesaid
time period, and the parties can not agree as to the  value  of  medical
aid  rendered  under  this chapter, such value shall be decided by arbi-
tration [if requested by the hospital, physician or self-employed  phys-
ical  or  occupational  therapist,  in accordance with the provisions of
subdivision two or subdivision three of this  section,  as  appropriate,
and] AS SET FORTH IN rules and regulations promulgated by the chair.
  Where  a  [physician,  physical  or  occupational  therapist] bill FOR
MEDICAL CARE OR SUPPLIES 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
per cent (1 1/2%) per month payable to the [physician, physical or occu-
pational  therapist,]  MEDICAL  CARE  PROVIDER OR SUPPLIER in accordance
with the rules and regulations promulgated by the board. Interest  shall
be  calculated  from  the forty-fifth day after the bill was rendered or
from the thirtieth day after all other questions duly and timely  raised
in  accordance  with  the  provisions  of  this chapter, relating to the
employer's liability for the payment of such  amount,  shall  have  been
finally  determined  adversely  to  the employer, whichever is later, in
accordance with rules promulgated by the chair.
  (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] MEDICAL care provider OR
SUPPLIER 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 arbitrator 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 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 physician 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,

S. 6405--A                         21                         A. 9005--A

and  one physician, also a member of the medical society of the state of
New York, appointed by the chair of the workers' compensation board.  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 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 appointed by the president
of such organization, a physician designated by the employer or  carrier
and  a  physician  designated  by the chair of the workers' compensation
board provided however, that the 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 arbi-
tration committee shall be similarly selected and identical in  composi-
tion,  provided  that  the physical therapist member shall serve without
remuneration, and provided further that in the event a  physical  thera-
pist  is not available, the committee shall be comprised of three physi-
cians 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  chair  of the workers' compensation board provided,
however, that the 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  arbi-
tration  committee shall be similarly selected and identical in composi-
tion, provided that the occupational therapist member shall serve  with-
out 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 ARBITRATION COMMITTEE SHALL HAVE THREE
MEMBERS DESIGNATED BY THE CHAIR IN CONSULTATION WITH THE MEDICAL  DIREC-
TOR'S  OFFICE  OF THE WORKERS' COMPENSATION BOARD. The majority decision
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

S. 6405--A                         22                         A. 9005--A

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 by the chair
upon recommendation of the president of the hospital association 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. 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 not pay a fee to cover the
costs related to the conduct of such  arbitration.  Each  member  of  an
arbitration  committee  for  medical  bills, and each member of an arbi-
tration 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' compen-
sation board.
  [(5)](4) In claims where the employer has  failed  to  secure  compen-
sation  to  his  employees as required by section fifty of this chapter,
the board may make an award TO A MEDICAL CARE PROVIDER OR  SUPPLIER  for
the  value  of medical [and podiatry] services or SUPPLIES, OR treatment
rendered to such employees, in accordance with the schedules of fees and
charges prepared and established under the provisions of [section  thir-
teen,  subdivision  a, and section thirteen-k, subdivision two, of] this
chapter[, and for the reasonable value of hospital  care  in  accordance
with  the  charges currently in force in hospitals in the same community
for cases coming within the provisions  of  this  chapter].  Such  award
shall  be  made to the [physician, podiatrist, or hospital] MEDICAL CARE
PROVIDER OR SUPPLIER entitled thereto. A default in the payment of  such
award  may  be  enforced  in  the manner provided for the enforcement of
compensation awards as set forth in section twenty-six of this chapter.
  In all cases coming under this subdivision the payment of the claim of
the physician, podiatrist, or hospital for medical, podiatry, or  surgi-
cal  services  or treatment shall be subordinate to that of the claimant
or his beneficiaries.
  [(6)](5) Notwithstanding any  inconsistent  provision  of  law,  arbi-
tration  regarding  payments  for  inpatient  hospital  services for any
patient discharged on or after January first, nineteen  hundred  ninety-
one  and  prior  to  December  thirty-first, nineteen hundred ninety-six
shall be resolved in accordance with paragraph (d) of subdivision  three
of section twenty-eight hundred seven-c of the public health law.
  S  5.  Subdivision 2 of section 13-l of the workers' compensation law,
as amended by chapter 473 of the laws of 2000, is  amended  to  read  as
follows:
  2.  An  employee  injured  under  circumstances which make such injury
compensable under this article, when care  is  required  for  an  injury
which  consists solely of a condition which may lawfully be treated by a
chiropractor as defined in section sixty-five hundred fifty-one  of  the

S. 6405--A                         23                         A. 9005--A

education  law  may  select to treat him or her, any duly registered and
licensed chiropractor of the state of New York, authorized by the  chair
to  render  chiropractic  care as hereinafter provided. If the injury or
condition is one which is outside the limits prescribed by the education
law  for  chiropractic care and treatment, the said chiropractor must so
advise the said injured employee and instruct him or her  to  consult  a
physician  of said employee's choice for appropriate care and treatment.
Such physician shall thenceforth have supervision of  the  treatment  of
said  condition including the future treatment to be administered to the
patient by the chiropractor. [A chiropractor licensed and registered  to
practice chiropractic in the state of New York, who is desirous of being
authorized  to  render  chiropractic  care  under this section and/or to
conduct independent medical examinations in  accordance  with  paragraph
(b)  of  subdivision three of this section shall file an application for
authorization under this section with the chiropractic practice  commit-
tee.  In  such  application he or she shall agree to refrain from subse-
quently treating for remuneration, as  a  private  patient,  any  person
seeking  chiropractic treatment, or submitting to an independent medical
examination, in connection with, or as a result of, any injury compensa-
ble under this chapter, if he or she has been removed from the  list  of
chiropractors authorized to render chiropractic care or to conduct inde-
pendent  medical examinations under this chapter, or if the person seek-
ing such treatment has been transferred from his or her care in  accord-
ance  with  the  provisions of this section. This agreement shall run to
the benefit of the injured person so treated, or examined, and shall  be
available  to him or her as a defense in any action by such chiropractor
for payment rendered by a chiropractor after he or she has been  removed
from the list of chiropractors authorized to render chiropractic care or
to conduct independent medical examinations under this section, or after
the  injured  person  was transferred from his or her care in accordance
with the provisions of this section. The chiropractic practice committee
if it deems such licensed chiropractor duly qualified shall recommend to
the chair that such be authorized to render chiropractic care and/or  to
conduct independent medical examinations under this section. Such recom-
mendations  shall be advisory to the chair only and shall not be binding
or conclusive upon him or her.] The chair shall prepare and establish  a
schedule  for  the  state, or schedules limited to defined localities of
charges and fees for chiropractic treatment and care, to  be  determined
in accordance with and to be subject to change pursuant to rules promul-
gated  by  the  chair.   Before preparing such schedule for the state or
schedules for limited localities the chair shall request the  chiroprac-
tic practice committee to submit to him or her a report on the amount of
remuneration  deemed  by  such committee to be fair and adequate for the
types of chiropractic care  to  be  rendered  under  this  chapter,  but
consideration  shall  be  given to the view of other interested parties,
the amounts payable by the employer  for  such  treatment  and  services
shall be the fees and charges established by such schedule.
  S  6.  Subdivisions  2  and  3  and  paragraph (b) of subdivision 4 of
section 13-m of the workers' compensation law, subdivision 2 as added by
chapter 589 of the laws of 1989 and subdivision 3 and paragraph  (b)  of
subdivision 4 as amended by chapter 473 of the laws of 2000, are amended
to read as follows:
  2.  (a)  An  injured  employee, injured under circumstances which make
such injury compensable under this article, may  lawfully  be  treated[,
upon  the  referral of an authorized physician,] by a psychologist, duly
registered and licensed by the state of  New  York,  authorized  by  the

S. 6405--A                         24                         A. 9005--A

chairman  to  render psychological care pursuant to [this] section THIR-
TEEN-B OF THIS ARTICLE.  Such services shall be within the scope of such
psychologist's specialized training and  qualifications  as  defined  in
article one hundred fifty-three of the education law.
  (b)  Medical  bureaus,  medical  centers jointly operated by labor and
management representatives, hospitals and health  maintenance  organiza-
tions, authorized to provide medical care pursuant to section thirteen-c
of this chapter, may provide psychological services when required[, upon
the  referral of an authorized physician, provided such care is rendered
by a duly registered, licensed and authorized psychologist, as  required
by this section].
  (c)  A  psychologist  rendering service pursuant to this section shall
maintain records of the patient's psychological condition and treatment,
and such records or reports shall be submitted to the chairman  on  such
forms and at such times as the chairman may require.
  3.  [A psychologist, licensed and registered to practice psychology in
the state of New York, who is desirous of  being  authorized  to  render
psychological  care  under  this  section  and/or to conduct independent
medical examinations in accordance with  paragraph  (b)  of  subdivision
four  of  this section shall file an application for authorization under
this section with the psychology practice committee. The applicant shall
agree to refrain from  subsequently  treating  for  remuneration,  as  a
private  patient, any person seeking psychological treatment, or submit-
ting to an independent medical examination, in connection with, or as  a
result  of,  any injury compensable under this chapter, if he or she has
been removed from the list of psychologists authorized to render psycho-
logical care under this chapter. This agreement shall run to the benefit
of the injured person so treated, and shall be available as a defense in
any action by such psychologist for payment for  treatment  rendered  by
such  psychologist  after  being  removed from the list of psychologists
authorized to  render  psychological  care  or  to  conduct  independent
medical examinations under this section. The psychology practice commit-
tee  if  it deems such licensed psychologist duly qualified shall recom-
mend to the chair that such person be authorized to render psychological
care and/or to  conduct  independent  medical  examinations  under  this
section.  Such  recommendations  shall be only advisory to the chair and
shall not be binding or conclusive.] The chair shall prepare and  estab-
lish a schedule for the state or schedules limited to defined localities
of  charges  and fees for psychological treatment and care, to be deter-
mined in accordance with and be subject  to  change  pursuant  to  rules
promulgated  by  the chair. Before preparing such schedule for the state
or schedules for limited localities the chair shall request the psychol-
ogy practice committee to submit to such chair a report on the amount of
remuneration deemed by such committee to be fair and  adequate  for  the
types  of  psychological  care  to  be  rendered under this chapter, but
consideration shall be given to the view of  other  interested  parties.
The  amounts  payable  by  the  employer for such treatment and services
shall be the fees and charges established by such schedule.
  (b) Upon receipt of the notice provided for by paragraph (a)  of  this
subdivision,  the  employer, the carrier, and the claimant each shall be
entitled to have the claimant  examined  by  a  qualified  psychologist,
authorized  by  the chair in accordance with [subdivision three of this]
section THIRTEEN-B OF THIS ARTICLE and section one hundred  thirty-seven
of this chapter, at a medical facility convenient to the claimant and in
the presence of the claimant's psychologist, and refusal by the claimant
to  submit to such independent medical examination at such time or times

S. 6405--A                         25                         A. 9005--A

as may reasonably be necessary in the opinion of the board shall bar the
claimant from recovering compensation, for any period during which he or
she has refused to submit to such examination.
  S  7. Section 14 of the workers' compensation law, as amended by chap-
ter 925 of the laws of 1937, subdivisions 1 and 2 as amended by  chapter
94  of  the laws of 1946, subdivision 3 as amended by chapter 277 of the
laws of 1941, subdivision 5 as amended by chapter 730  of  the  laws  of
1978,  subdivision  6  as  amended  by chapter 6 of the laws of 2007 and
subdivision 7 as amended by chapter 169 of the laws of 2007, is  amended
to read as follows:
  S 14. Weekly wages basis of compensation. Except as otherwise provided
in this chapter, the average weekly wages of the injured employee at the
time  of  the  injury  shall be taken as the basis upon which to compute
compensation or death benefits, and shall be determined as follows:
  1. [If the injured employee shall have worked  in  the  employment  in
which  he  was working at the time of the accident, whether for the same
employer or not, during substantially the whole of the year  immediately
preceding his injury, his average annual earnings shall consist of three
hundred times the average daily wage or salary for a six-day worker, and
two  hundred sixty times the average daily wage or salary for a five-day
worker, which he shall have earned in such employment  during  the  days
when so employed;
  2.  If  the  injured employee shall not have worked in such employment
during substantially the whole of such year, his  average  annual  earn-
ings,  if  a  six-day  worker,  shall consist of three hundred times the
average daily wage or salary, and, if a five-day worker, two hundred and
sixty times the average daily wage or salary, which an employee  of  the
same class working substantially the whole of such immediately preceding
year in the same or in a similar employment in the same or a neighboring
place  shall  have  earned  in  such  employment during the days when so
employed;
  3. If either of the foregoing methods of arriving at the annual  aver-
age  earnings  of  an  injured  employee cannot reasonably and fairly be
applied, such annual average earnings  shall  be  such  sum  as,  having
regard  to  the  previous  earnings of the injured employee and of other
employees of the same or most similar class, working in the same or most
similar employment, or other employment as defined in this  chapter,  in
the  same or neighboring locality, shall reasonably represent the annual
earning capacity of the injured employee in the employment in  which  he
was  working at the time of the accident, provided, however, his average
annual earnings shall consist of not less than  two  hundred  times  the
average  daily wage or salary which he shall have earned in such employ-
ment during the days when so employed, further provided,  however,  that
if the injured employee shall have been in the military or naval service
of  the  United  States or of the state of New York within twelve months
prior to his injury, and his average annual earnings  cannot  be  fairly
determined under subdivisions one and two, then the average annual earn-
ings  shall  be  determined by multiplying his average daily wage during
the days so employed by not less than two hundred and forty;
  4. The average weekly wages of an employee shall  be  one-fifty-second
part  of  his average annual earnings;] THE AVERAGE WEEKLY WAGE SHALL BE
DETERMINED BY COMPUTING THE TOTAL WAGES PAID TO THE EMPLOYEE DURING  THE
THIRTEEN  WEEKS IMMEDIATELY PRECEDING THE DATE OF INJURY AND DIVIDING BY
THIRTEEN, PROVIDED THAT:
  A. IF THE EMPLOYEE WORKED LESS THAN THIRTEEN WEEKS IN  THE  EMPLOYMENT
IN  WHICH  THE  EMPLOYEE  WAS  INJURED, THE AVERAGE WEEKLY WAGE SHALL BE

S. 6405--A                         26                         A. 9005--A

BASED UPON THE TOTAL WAGE EARNED BY THE EMPLOYEE IN  THE  EMPLOYMENT  IN
WHICH  THE  EMPLOYEE  WAS  INJURED, DIVIDED BY THE TOTAL NUMBER OF WEEKS
ACTUALLY WORKED IN THAT EMPLOYMENT;
  B.  IF  THE  INJURED  EMPLOYEE  SUSTAINS  A  COMPENSABLE INJURY BEFORE
COMPLETING HIS OR HER FIRST WORK WEEK, OR IF THE INJURED EMPLOYEE  IS  A
SEASONAL  EMPLOYEE, OR IF THE EARNINGS ARE AT AN IRREGULAR RATE, SUCH AS
PIECEWORK, OR ON A COMMISSION BASIS, OR ARE SPECIFIED TO  BE  BI-WEEKLY,
MONTHLY, OR OTHER PERIOD, THEN THE AVERAGE WEEKLY WAGE SHALL BE TAKEN AS
THE ACTUAL WEEKLY EARNINGS AVERAGED FOR THIS PERIOD OF TIME, NOT EXCEED-
ING ONE YEAR;
  C.  IF THERE IS INSUFFICIENT EVIDENCE AVAILABLE TO DETERMINE THE EARN-
INGS OF THE EMPLOYEE UNDER THE FOREGOING METHODS, OR IF THE PAY HAS  NOT
BEEN  DESIGNATED FOR THE WORK REQUIRED, THE AVERAGE WEEKLY WAGE SHALL BE
BASED UPON THE PREVIOUS EARNINGS OF THE INJURED EMPLOYEE  AND  OF  OTHER
EMPLOYEES OF THE SAME OR MOST SIMILAR CLASS, WORKING IN THE SAME OR MOST
SIMILAR  EMPLOYMENT,  OR OTHER EMPLOYMENT AS DEFINED IN THIS CHAPTER, IN
THE SAME OR NEIGHBORING LOCALITY, THAT SHALL  REASONABLY  REPRESENT  THE
ANNUAL  EARNING  CAPACITY  OF  THE INJURED EMPLOYEE IN THE EMPLOYMENT IN
WHICH HE OR SHE WAS WORKING AT THE TIME OF THE ACCIDENT FOR A PERIOD  OF
THIRTEEN  WEEKS  PRIOR TO THE INJURY OR, IF THAT METHOD DOES NOT CONSTI-
TUTE SUFFICIENT EVIDENCE OF THE AVERAGE WEEKLY WAGE, EARNINGS DATA FOR A
PERIOD NOT EXCEEDING ONE YEAR PRIOR TO THE INJURY;
  D. PROVIDED, FURTHER, HOWEVER, THAT ONLY IN THE EVENT  THAT  THERE  IS
INSUFFICIENT EVIDENCE ASCERTAINED UNDER THE FOREGOING METHODS OF COMPUT-
ING  THE  AVERAGE WEEKLY WAGE OF THE EMPLOYEE BY REASON OF THE NATURE OF
THE EMPLOYMENT OR WHERE FOR ANY OTHER REASON THE METHODS WILL NOT FAIRLY
AND ACCURATELY COMPUTE THE AVERAGE WEEKLY WAGE, COMPUTATION OF THE AVER-
AGE WEEKLY WAGE MAY BE DETERMINED BY SUCH OTHER MANNER AND BY SUCH OTHER
METHOD AS WILL BE BASED UPON THE FACTS  PRESENTED  TO  FAIRLY  DETERMINE
SUCH EMPLOYEE'S AVERAGE WEEKLY WAGE;
  E.  IF  A CLAIM IS ESTABLISHED AS AN OCCUPATIONAL DISEASE, THE AVERAGE
WEEKLY WAGE SHALL BE BASED ON EARNINGS AS OF THE DATE OF DISABLEMENT.
  [5.] 2. If it be established that the injured employee was  under  the
age  of  twenty-five  when injured, and that under normal conditions his
wages would be expected to increase, that  fact  may  be  considered  in
arriving at his average weekly wages.
  [6.]  3.  If the injured employee is concurrently engaged in more than
one employment at the time of  injury,  the  employee's  average  weekly
wages  shall  be  calculated  upon  the  basis  of wages earned from all
concurrent employments covered under this chapter. The employer in whose
employment the employee was injured shall be  liable  for  the  benefits
that  would  have  been payable if the employee had had no other employ-
ment. Any additional benefits resulting from  the  increase  in  average
weekly wages due to the employee's concurrent employments shall be paya-
ble  [in  the  first  instance]  by the employer in whose employment the
employee was injured [and shall be reimbursed by the special  disability
fund created under subdivision eight of section fifteen of this article,
but  only if such claim is presented in accordance with subparagraph two
of paragraph (h) of subdivision eight of section fifteen of  this  arti-
cle.] The employer in whose employment the employee was injured shall be
liable for all medical costs.
  [7.]  4.  The  average  weekly wages of a jockey, apprentice jockey or
exercise person licensed under article two or four of the racing,  pari-
mutuel wagering and breeding law shall be computed based upon all of the
earnings of such jockey, apprentice jockey or exercise person, including
those derived from outside of the state.

S. 6405--A                         27                         A. 9005--A

  S  8. Subdivision 1 of section 20 of the workers' compensation law, as
amended by chapter 635 of the laws  of  1996,  is  amended  to  read  as
follows:
  1.   At any time after the expiration of the first seven days of disa-
bility on the part of an injured employee, or  at  any  time  after  the
employee's  death,  a  claim  for  compensation  may be presented to the
employer or to the chair.  The board shall have full power and authority
to determine  all  questions  in  relation  to  the  payment  of  claims
presented  to  it for compensation under the provisions of this chapter.
The chair or board shall make or cause to be made such investigation  as
it  deems necessary, and upon application of either party, shall order a
hearing, and within thirty  days  after  a  claim  for  compensation  is
submitted under this section, or such hearing closed, shall make or deny
an  award, determining such claim for compensation, and file the same in
the office of the chair. Immediately after such filing the  chair  shall
send  to the parties a copy of the decision.  Upon a hearing pursuant to
this section either party may present evidence  and  be  represented  by
counsel.    The decision of the board shall be final as to all questions
of fact, and, except as provided in section twenty-three of  this  arti-
cle,  as to all questions of law.  Except as provided in section twenty-
seven of this article, all awards of the board shall draw simple  inter-
est  from  thirty  days after the making thereof at the rate provided in
section five thousand four of the civil practice law and rules.  Whenev-
er a hearing or proceeding for the determination of a claim for  compen-
sation  is  begun  before  a referee, pursuant to the provisions of this
chapter, such hearing or proceeding or any  adjourned  hearing  [thereon
shall], INCLUDING A REFERRAL FOR DECISION, MAY continue before [the same
referee  until  a  final determination awarding or denying compensation,
except in the absence, inability or  disqualification  to  act  of  such
referee,  or  for  other  good  cause,  in  which  event such hearing or
proceeding may be continued before another referee by order of the chair
or board] ANY REFEREE AS DETERMINED BY THE BOARD.
  S 9. Section 23 of  the  workers'  compensation  law,  as  amended  by
section  10  of part GG of chapter 57 of the laws of 2013, 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 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

S. 6405--A                         28                         A. 9005--A

by  the full board. 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 determination in  the  same  manner  as  herein
above  provided  for an award or decision of a referee.  If the decision
or determination was that of a unanimous 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 impartial specialist, the board may  in
its  sole  discretion review and affirm, modify or rescind such decision
or determination 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
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

S. 6405--A                         29                         A. 9005--A

dollars  upon  the employer or insurance carrier, which penalty shall be
added to the compensation and paid to the claimant. WHENEVER AN APPLICA-
TION IS MADE TO THE BOARD BY THE EMPLOYER OR  INSURANCE  CARRIER  FOR  A
MODIFICATION  OR  RESCISSION  OR REVIEW OF AN AWARD OR DECISION, AND THE
BOARD SHALL FIND THAT SUCH APPLICATION WAS MADE FOR THE PURPOSE OF DELAY
AND UPON FRIVOLOUS GROUNDS, THE BOARD MAY IMPOSE A PENALTY  PURSUANT  TO
PARAGRAPH  (F) OF SUBDIVISION THREE OF SECTION TWENTY-FIVE OF THIS ARTI-
CLE.  UPON A FINDING THAT AN APPLICATION HAS BEEN MADE TO THE BOARD  FOR
THE  PURPOSE  OF  DELAY  AND UPON FRIVOLOUS GROUNDS, AND THE EMPLOYER OR
CARRIER HAS MADE PAYMENT TO THE  CLAIMANT  OF  ALL  COMPENSATION  AS  IT
BECOMES  DUE DURING THE PENDENCY OF THE APPLICATION, NO PENALTY PURSUANT
TO PARAGRAPH (F) OF SUBDIVISION THREE OF  SECTION  TWENTY-FIVE  OF  THIS
ARTICLE  SHALL  BE  IMPOSED.  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  subdivi-
sion  five of section fifty-two of this chapter 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 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 10. Paragraph (f) of subdivision 3 of section  25  of  the  workers'
compensation  law,  as  amended  by  chapter 316 of the laws of 1991, is
amended to read as follows:
  (f) If the employer or  its  insurance  carrier  shall  fail  to  make
payments  of compensation according to the terms of the award within ten
days or the uninsured employers' fund shall fail  to  make  payments  of
compensation  according  to  the  terms  of the award within thirty days
after such ten day period except in case of an application to the  board
for  a  modification, rescission or review of such award, there shall be
imposed a penalty equal to twenty percent  of  the  unpaid  compensation
which  shall be paid to the injured worker or his or her dependents, and
there shall also be imposed an assessment of fifty dollars, which  shall
be paid into the state treasury.  WHENEVER AN APPLICATION IS MADE TO THE
BOARD BY THE EMPLOYER OR INSURANCE CARRIER FOR A MODIFICATION OR RESCIS-
SION  OR REVIEW OF AN AWARD OR DECISION IN ACCORDANCE WITH SECTION TWEN-
TY-THREE OF THIS ARTICLE, AND THE BOARD SHALL FIND THAT SUCH APPLICATION
WAS MADE FOR THE PURPOSE OF DELAY AND UPON FRIVOLOUS GROUNDS, THE  BOARD
MAY  IMPOSE A PENALTY EQUAL TO TWENTY PERCENT OF THE UNPAID COMPENSATION
WHICH SHALL BE PAID TO THE INJURED WORKER OR HIS OR HER DEPENDENTS,  AND
THERE  SHALL ALSO BE IMPOSED AN ASSESSMENT OF FIFTY DOLLARS, WHICH SHALL
BE PAID INTO THE STATE TREASURY.
  S 11. The closing paragraph of  paragraph  (a)  of  subdivision  2  of
section  25  of the workers' compensation law, as amended by chapter 635
of the laws of 1996, is amended to read as follows:
  If the insurance carrier shall fail either to file notice  of  contro-
versy  or  begin payment of compensation within the prescribed period or
within ten days after receipt of  a  copy  of  the  notice  required  in
section  one hundred ten of this chapter, whichever period is the great-
er, the board may[, after a hearing,] impose a penalty in the amount  of
three hundred dollars, which shall be in addition to all other penalties

S. 6405--A                         30                         A. 9005--A

provided  for  in  this  chapter and shall be paid to the claimant. Such
penalty shall be collected in like manner as an award of compensation.
  S 12.  Subdivisions 1 and 7 of section 27 of the workers' compensation
law, subdivision 1 as amended by chapter 192 of the laws of 1949, subdi-
vision 7 as amended by chapter 62 of the laws of 1989, the closing para-
graph  of  subdivision 7 as amended by chapter 6 of the laws of 2007 and
as further amended by section 104 of part A of chapter 62 of the laws of
2011, are 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 SIXTEEN  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 SIXTEEN 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.
  7. [For the purpose of securing the solvency of  the  aggregate  trust
fund,  there shall be required, in addition to the payments hereinbefore
provided for, a payment on each award, as follows:
  (a) In the mandatory type cases based on an accident occurring  on  or
subsequent to July first, nineteen hundred forty-one up to and including
June  thirtieth, nineteen hundred forty-three an amount equal to six per
centum of the present value of each such case paid into such fund;
  (b) In the mandatory type cases based on an accident occurring  on  or
subsequent  to  July first, nineteen hundred forty-three an amount equal
to ten per centum of the present value of each such case paid into  such
fund;
  (c)  In the discretionary type cases based on an accident occurring up
to and including June thirtieth, nineteen hundred thirty-nine an  amount
equal  to sixteen per centum of the present value of each such case paid
into such fund;
  (d) In the discretionary type cases based on an accident occurring  on
or  subsequent  to  July  first,  nineteen hundred thirty-nine an amount
equal to ten per centum of the present value of each such case paid into
such fund.
  Such additional payments shall be required until the  surplus  of  the
fund  equals  or  exceeds  one  per centum of the total outstanding loss
reserves as shown by three successive annual reports of the fund to  the
superintendent  of  financial services and such additional payment shall
be required as a payment upon each award based on an accident  occurring
prior  to  July  first next succeeding the third such annual report, but
not as a payment upon any award based on an  accident  occurring  on  or
after  said  July first; provided, however, that if and when the surplus
of the fund as shown by any annual report thereafter shall be less  than
one  per  centum  of the total outstanding loss reserves, then the addi-
tional payments as provided in paragraphs (a), (b), (c) and (d) of  this
subdivision  shall  be resumed and shall be payable upon any award based
on an accident occurring on or after  July  first  next  succeeding  the

S. 6405--A                         31                         A. 9005--A

close  of the year for which such annual report is made. Thereafter, the
suspension or resumption of additional  payments  as  required  by  this
subdivision  shall  be  governed  by the foregoing provisions. Such loss
reserves  shall  be computed based upon the tables specified in subdivi-
sion five of this section and interest at a standard to be determined by
the  superintendent  of  financial  services  by  regulation.]  FOR  THE
PURPOSES OF INSURING THE SOLVENCY OF THE AGGREGATE TRUST FUND SUBSEQUENT
TO THE FIRST DAY OF JANUARY, TWO THOUSAND SIXTEEN, THE SUPERINTENDENT OF
FINANCIAL  SERVICES,  IN  ACCORDANCE WITH SUBDIVISION TWO OF SECTION ONE
HUNDRED EIGHT OF THIS CHAPTER, MAY DIRECT CARRIERS TO DEPOSIT  NOT  MORE
THAN  TWO  PERCENT  OF  WRITTEN  PREMIUMS INTO THE WORKERS' COMPENSATION
GUARANTEE FUND ESTABLISHED BY ARTICLE SIX OF THIS  CHAPTER.  SUCH  FUNDS
SHALL BE TRANSFERRED TO THE AGGREGATE TRUST FUND TO ENABLE THE AGGREGATE
TRUST FUND TO MEET ITS OBLIGATIONS UNDER THIS SECTION.
  S  13.  Subdivisions  3  and 4 of section 25-a of the workers' compen-
sation law, subdivision 3 as amended by section 13 of part GG of chapter
57 of the laws of 2013, subdivision 4 as amended by chapter 395  of  the
laws  of  1964,  and  the  closing paragraph of subdivision 4 as further
amended by section 104 of part A of chapter 62 of the laws of 2011,  are
amended to read as follows:
  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
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

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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, and
(4) a reserve equal to ten per cent of the sum of items (1), (2) and (3)
of this paragraph. Annually, as soon as practicable after January  first
in  each  year,  the chair shall ascertain the condition of the fund and
[whenever the assets shall fall below the prescribed minimum  as  herein
provided  the  chair] shall collect:  (A) DEBT SERVICE AMOUNT SUFFICIENT
TO COVER DEBT SERVICE AND ASSOCIATED COSTS TO BE PAID DURING THE  CALEN-
DAR  YEAR  BY  THE DORMITORY AUTHORITY, AS CALCULATED IN ACCORDANCE WITH
SUBDIVISION FOUR OF THIS SECTION AND (B) WHENEVER  THE  VALUE  OF  OTHER
ASSETS  FALL  BELOW  THE  PRESCRIBED  MINIMUM TO BE MAINTAINED AS HEREIN
PROVIDED, an amount sufficient to restore the  fund  to  the  prescribed
minimum.    SUCH  ASSESSMENTS  SHALL  BE 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. 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
INCLUDING,  WITHOUT  LIMITATION, BY OBTAINING AN "ASSUMPTION OF WORKERS'
COMPENSATION LIABILITY INSURANCE POLICY" AS DEFINED IN  SECTION  SIXTEEN
HUNDRED  EIGHTY-L  OF THE PUBLIC AUTHORITIES LAW.  The chair may examine

S. 6405--A                         33                         A. 9005--A

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.
  4. THE CHAIR AND THE COMMISSIONER OF TAXATION AND FINANCE ARE  AUTHOR-
IZED AND DIRECTED TO ENTER INTO A FINANCING AGREEMENT WITH THE DORMITORY
AUTHORITY,  TO BE KNOWN AS THE "FUND FOR REOPENED CASES FINANCING AGREE-
MENT". SUCH AGREEMENT SHALL SET FORTH THE PROCESS  FOR  CALCULATING  THE
ANNUAL  DEBT  SERVICE OF THE BONDS ISSUED BY THE DORMITORY AUTHORITY AND
ANY OTHER ASSOCIATED COSTS IN CONNECTION  WITH  THE  FUND  FOR  REOPENED
CASES,  AS  SET  FORTH IN SECTION SIXTEEN HUNDRED EIGHTY-L 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  FUND
FOR REOPENED CASES 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 DEBT SERVICE ASSESSMENT AS SET FORTH  IN  SUBDIVISION  THREE  OF
THIS  SECTION.  ALL  MONIES  RECEIVED ON ACCOUNT OF ANY ASSESSMENT UNDER
SUBDIVISION THREE OF THIS SECTION AND THIS SUBDIVISION SHALL BE  APPLIED
IN  ACCORDANCE WITH THIS SUBDIVISION AND IN ACCORDANCE WITH THE FUND FOR
REOPENED CASES FINANCING AGREEMENT UNTIL THE  FINANCIAL  OBLIGATIONS  OF
THE  DORMITORY AUTHORITY IN RESPECT TO ITS CONTRACT WITH ITS BONDHOLDERS
ARE MET AND ALL ASSOCIATED COSTS PAYABLE TO OR BY THE DORMITORY AUTHORI-
TY 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 BONDHOLD-
ERS.
  THE FUND FOR REOPENED CASES FINANCING AGREEMENT MAY RESTRICT DISBURSE-
MENTS, INVESTMENTS, OR REBATES, AND MAY PRESCRIBE A SYSTEM  OF  ACCOUNTS
APPLICABLE  TO  THE  FUND  FOR  REOPENED  CASES  AS  CONSISTENT WITH THE
PROVISIONS OF THIS SECTION 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
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.
  (A) The commissioner of taxation and finance shall be the custodian of
such [special] fund for reopened cases and,  UNLESS  OTHERWISE  PROVIDED
FOR IN THE FUND FOR REOPENED CASES FINANCING AGREEMENT, shall invest any
surplus  OR  RESERVE monies thereof in securities which constitute legal
investments for savings banks under the laws of this state and in inter-
est bearing certificates of deposit of a bank or trust  company  located
and  authorized  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

S. 6405--A                         34                         A. 9005--A

amount of such certificates of deposit, and may sell any of the  securi-
ties  or  certificates  of  deposit  in  which such fund is invested, if
necessary for the proper administration or in the best interest of  such
fund.  Disbursements  from  such  fund for compensation provided by this
section shall be paid by the commissioner of taxation and  finance  upon
vouchers  signed by the [chairman] CHAIR OF THE BOARD UNLESS THE FINANC-
ING  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  [chairman]  CHAIR OF THE WORKERS' COMPENSATION BOARD a statement of
the fund, setting forth the balance of monies in the said fund as of the
beginning of the year, the income of the fund, a summary of payments out
of the fund on account of compensation ordered to be paid by the  board,
medical  and  other expense, 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 [chairman] CHAIR, and a copy thereof shall  be  trans-
mitted  by  the  [chairman]  CHAIR  to  the  superintendent of financial
services. The superintendent of financial services may examine into  the
condition  of  such  fund at any time on his OR HER own initiative or on
request of the [chairman] CHAIR or representative of the fund. He OR SHE
shall verify the receipts and  disbursements  of  the  fund,  and  shall
ascertain  the  liability  of the fund upon all cases in which awards of
compensation have been made and charged  against  said  fund  and  shall
render  a  report  of  such  facts to the [chairman] CHAIR.  Such report
shall also be open to public inspection in the office of the  [chairman]
CHAIR.    THE CHAIR, NOT LESS THAN NINETY DAYS AFTER THE ISSUANCE OF THE
DORMITORY AUTHORITY'S ANNUAL AUDIT, SHALL FURNISH TO  THE  PRESIDENT  OF
THE  SENATE AND THE SPEAKER OF THE ASSEMBLY THE FOLLOWING REPORTS ON THE
FUND FOR REOPENED CASES: A REVENUE AND OPERATING  EXPENSE  STATEMENT;  A
FINANCING  PLAN;  A  REPORT  CONCERNING  THE ASSETS AND LIABILITIES; THE
NUMBER OF AGREEMENTS TO PROCURE MANAGEMENT OF SUCH CLAIMS; THE NUMBER OF
ASSUMPTION  OF  WORKERS'  COMPENSATION  LIABILITY   INSURANCE   POLICIES
EXECUTED  SELLING  SUCH CLAIMS; THE NUMBER OF CLAIMANTS REMAINING IN THE
FUND; THE ESTIMATED CURRENT UNFUNDED LIABILITY OF THE FUND WITH  RESPECT
TO  SUCH CLAIMS; AND A DEBT ISSUANCE REPORT INCLUDING BUT NOT LIMITED TO
(I) PLEDGED ASSESSMENT REVENUE AND FINANCING COVERAGE, (II) DEBT SERVICE
MATURITIES, (III) INTEREST RATE EXCHANGE OR SIMILAR AGREEMENTS, AND (IV)
FINANCING AND ISSUANCE COSTS.
  THE COMMISSIONER OF TAXATION AND FINANCE MAY ESTABLISH WITHIN THE FUND
FOR REOPENED CASES 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  FUND  FOR
REOPENED CASES FINANCING AGREEMENT.
  S  14. Subdivision (i) of section 32 of the workers' compensation law,
as added by chapter 6 of the laws of 2007 and  paragraph  5  as  further
amended  by  section 104 of part A of chapter 62 of the laws of 2011, is
amended to read as follows:
  (i) (1) The waiver agreement management office may  contract  with  AN
INSURANCE  CARRIER,  SELF-INSURED  EMPLOYER, STATE INSURANCE FUND OR any
third party to ASSUME  LIABILITY  FOR,  manage,  administer,  or  settle
claims  on  its  behalf, so long as (A) such contract is approved by the
special disability fund advisory committee and (B)  such  [third]  party
shall  agree  to be subject to any guidelines or directives as the chair
may issue.

S. 6405--A                         35                         A. 9005--A

  (2) The chair MAY, with approval of the special disability fund  advi-
sory  committee  and  on  such terms as the committee deems appropriate,
[shall have discretion to] procure  one  or  more  private  entities  to
assume  the  liability for and [management, administration or settlement
of]  MANAGE,  ADMINISTER OR SETTLE all or a portion of the claims in the
special disability fund INCLUDING, WITHOUT LIMITATION, BY OBTAINING  "AN
ASSUMPTION  OF  WORKERS'  COMPENSATION  LIABILITY  INSURANCE  POLICY" AS
DEFINED FOR PURPOSES OF SECTION SIXTEEN HUNDRED EIGHTY-L OF  THE  PUBLIC
AUTHORITIES  LAW.  ANY SUCH POLICY SHALL EXPRESSLY PROVIDE AND, NOTWITH-
STANDING ANY OTHER PROVISION OF LAW, OPERATE TO RELEASE FROM ANY FURTHER
LIABILITY (1) THE SPECIAL DISABILITY FUND AND (2) THE INSURANCE CARRIER,
INCLUDING AS THE CASE MAY BE THE STATE INSURANCE FUND, ORIGINALLY LIABLE
FOR ANY CLAIM COVERED BY THE ASSUMPTION OF WORKERS' COMPENSATION LIABIL-
ITY INSURANCE POLICY SECURING SUCH FURTHER AND FUTURE CONTINGENT LIABIL-
ITY AS MAY ARISE FOR ANY SUCH CLAIM, INCLUDING FROM  PRIOR  INJURIES  TO
EMPLOYEES  AND  BE  INCURRED BY REASON OF ANY CHANGE IN THE CONDITION OF
SUCH EMPLOYEES FOR PAYMENT OF ADDITIONAL  COMPENSATION.  NOTWITHSTANDING
ANY  OTHER PROVISIONS OF LAW, NO CONSULTATION OR APPROVAL OF ANY EMPLOY-
ER, INSURANCE CARRIER, SELF-INSURER OR THE STATE INSURANCE FUND SHALL BE
REQUIRED BEFORE SUCH OFFICE MAY ENTER INTO ANY  SUCH  POLICY  OR  WAIVER
AGREEMENT,  OR  BEFORE THE BOARD MAY APPROVE SUCH WAIVER AGREEMENT.  Any
such procurement shall be conducted in  accordance  with  state  finance
law,  except as otherwise set forth below. The chair shall not award any
contract that has not been approved by the special disability fund advi-
sory committee. Notwithstanding the foregoing, the chair of the workers'
compensation board may, if approved by the special disability fund advi-
sory committee, and on such terms as the committee deems appropriate:
  (A) waive any informality in a bid, and either  reject  all  bids  and
again  advertise  for bids, or interview at least two responsible quali-
fied bidders and negotiate and enter into a contract with one or more of
such bidders; or
  (B) group claims to be assigned, in whole or in  part,  based  on  the
insurance carrier, self-insured employer or state insurance fund that is
receiving  or will receive reimbursement on those claims from the second
disability fund. Such grouping shall be permissible notwithstanding that
any insurance carrier may have greater access to information, or may  be
able to provide better terms, in regard to claims so grouped.
  (3)  [Any such contract shall expressly provide that the special disa-
bility fund is no longer liable for the claims covered by the  contract,
and  require security of either cash, an indemnity policy, or such secu-
rity as is otherwise sufficient to cover any losses incurred as a result
of the failure or default of the entity or  entities  awarded  any  such
contract,  including  as  a result of the insolvency of any such entity.
The chair may waive all or part of such security, and may  impose  other
reasonable  methods  of  insuring  payment, upon approval of the special
disability fund advisory committee] ANY POLICY  EXECUTED  BY  THE  CHAIR
PURSUANT  TO THIS SECTION SHALL BE IN THE FORM OF AN ASSUMPTION OF WORK-
ERS' COMPENSATION LIABILITY INSURANCE POLICY SECURING SUCH  FURTHER  AND
FUTURE  CONTINGENT LIABILITY AS MAY ARISE FROM ANY CLAIM COVERED BY SUCH
POLICY, INCLUDING PRIOR INJURIES TO WORKERS AND BE INCURRED BY REASON OF
ANY CHANGE IN THE CONDITION OF SUCH WORKERS WARRANTING THE BOARD  MAKING
SUBSEQUENT  AWARDS  FOR  PAYMENT OF ADDITIONAL COMPENSATION. SUCH POLICY
SHALL BE IN A FORM APPROVED BY THE SUPERINTENDENT OF FINANCIAL  SERVICES
AND ISSUED BY THE STATE INSURANCE FUND OR ANY INSURANCE COMPANY LICENSED
TO  ISSUE  THIS CLASS OF INSURANCE IN THIS STATE. IN THE EVENT THAT SUCH
POLICY IS ISSUED BY AN INSURANCE COMPANY OTHER THAN THE STATE  INSURANCE

S. 6405--A                         36                         A. 9005--A

FUND,  THEN  SAID  POLICY SHALL BE DEEMED OF THE KIND SPECIFIED IN PARA-
GRAPH FIFTEEN OF SUBSECTION (A) OF  SECTION  ONE  THOUSAND  ONE  HUNDRED
THIRTEEN  OF  THE INSURANCE LAW AND COVERED BY THE WORKERS' COMPENSATION
SECURITY  FUND AS CREATED AND GOVERNED BY ARTICLE SIX-A OF THIS CHAPTER.
SUCH POLICY SHALL ONLY BE ISSUED FOR A SINGLE COMPLETE PREMIUM  PAID  IN
ADVANCE  AND  IN AN AMOUNT DEEMED ACCEPTABLE BY THE CHAIR AND THE SUPER-
INTENDENT OF FINANCIAL  SERVICES.  WHEN  ISSUED  SUCH  POLICY  SHALL  BE
NON-CANCELLABLE WITHOUT RECOURSE FOR ANY CAUSE DURING THE CONTINUANCE OF
THE LIABILITY SECURED AND SO COVERED.
  (4)  Notwithstanding  any  other provision of this article, the waiver
agreement management office may request in writing any information rele-
vant to its entry into or management of waiver agreements from  (A)  any
insurance carrier, employer, or the state insurance fund, if that entity
has submitted a claim for reimbursement from the special disability fund
as  to  the claimant to whom the information relates; or (B) the special
funds conservation committee. The party to  whom  the  request  is  made
shall  provide  the  requested  information  within fourteen days of the
request, unless before that date it files an objection with the board to
any information which is subject to  a  recognized  privilege  or  whose
production is otherwise barred by law. The objecting party shall provide
the  requested  information  within  five  business  days of the board's
rejection of its objection.
  (5) No carrier, self-insured employer  or  the  state  insurance  fund
shall assume the liability for, or management, administration or settle-
ment of any claims under this section on which it holds reserves, beyond
such  reserves  as  are permitted by regulation of the superintendent of
financial services for purposes of this provision. No carrier may assume
liability for any claims in the special disability fund under this para-
graph unless the carrier maintains, on a  stand  alone  basis,  separate
from  its  parent  or  any affiliated entities, an interactive financial
strength rating from a nationally recognized statistical  rating  organ-
ization  that  is  considered secure or deemed acceptable by the special
disability fund advisory committee.
  (6) The director of the budget shall notify in writing the  chairs  of
the  senate  finance committee and the assembly ways and means committee
of any plans to transfer all or a portion of  the  portfolio  of  claims
determined  to be eligible for reimbursement from the special disability
fund or to [contract with any party to take responsibility in  whole  or
in  part  for  the  administration  of a material portion of the claims,
including the procurement process to be used to select parties  involved
in  such  transfer  or  contract]  ENTER  INTO AN ASSUMPTION OF WORKERS'
COMPENSATION LIABILITY INSURANCE POLICY, not less than  forty-five  days
prior  to  the  commencement  of  such process. At any time borrowing is
anticipated to settle claims, the chief executive officer of the  dormi-
tory  authority  of the state of New York and the director of the budget
shall provide a report to the chairs of the senate finance committee and
the assembly ways and means committee on a  planned  bond  sale  of  the
authority  and such report shall include, but not be limited to: (A) the
maximum amount of  bonds  expected  to  be  sold  by  the  authority  in
connection with a sale agreement; (B) the expected maximum interest rate
and  maturity  date  of such bonds; (C) the expected amount of the bonds
that will be fixed and/or variable  interest  rate;  (D)  the  estimated
costs  of issuance; (E) the estimated level or levels of reserve fund or
funds, if any; (F) the estimated cost of bond issuance, if any; (G)  the
anticipated  use  or  uses of the proceeds; (H) the maximum expected net
proceeds that will be paid to the state as a result of the  issuance  of

S. 6405--A                         37                         A. 9005--A

such  bonds;  and  (I)  the  process to be used to select parties to the
transaction. Any such expectations and estimates in the report shall not
be deemed a substantive limitation on the  authority  of  the  dormitory
authority of the state of New York.
  S 15. Subdivisions 1 and 8 of section 151 of the workers' compensation
law,  as  added  by  section  22 of part GG of chapter 57 of the laws of
2013, are amended to read as follows:
  1. The annual expenses necessary  for  the  board  to  administer  the
provisions  of  this  chapter,  the volunteer ambulance workers' benefit
law, the volunteer firefighters' benefit law,  the  disability  benefits
law,  and  the  workmen's  compensation act for civil defense volunteers
shall be borne by 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
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 AGGREGATE assessment amount
described  in subdivision three of section twenty-five-a of this chapter
for the fund for reopened cases IN ACCORDANCE WITH EACH FINANCING AGREE-
MENT DESCRIBED IN SUCH SECTION, 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 AGGREGATE amount
described in subparagraph four of paragraph (h) of subdivision eight  of
section  fifteen  of  this chapter PURSUANT TO A SPECIAL DISABILITY FUND
FINANCING AGREEMENT ENTERED INTO BY THE  DORMITORY  AUTHORITY  PRIOR  TO
MARCH  THIRTY-FIRST,  TWO  THOUSAND THIRTEEN PURSUANT TO SECTION SIXTEEN
HUNDRED EIGHTY-L OF THE PUBLIC AUTHORITIES LAW, and then to  fully  fund
the  AGGREGATE amount described in SUBPARAGRAPH FOUR OF PARAGRAPH (H) OF
SUBDIVISION EIGHT OF SECTION FIFTEEN, IN SUBDIVISION  THREE  OF  SECTION
TWENTY-FIVE-A  OF THIS CHAPTER AND IN section fifty-c of this chapter in
accordance with  each  SUCH  then  applicable  SPECIAL  DISABILITY  FUND
FINANCING AGREEMENT ENTERED INTO BY THE DORMITORY AUTHORITY ON OR SUBSE-
QUENT  TO MARCH THIRTY-FIRST, TWO THOUSAND THIRTEEN, PURSUANT TO SECTION
SIXTEEN HUNDRED EIGHTY-L OF THE PUBLIC AUTHORITIES LAW, WITH  EACH  SUCH
THEN APPLICABLE FUND FOR REOPENED CASES FINANCING AGREEMENT ENTERED INTO
BY  THE DORMITORY AUTHORITY PURSUANT TO SUCH PROVISION OR WITH EACH THEN
APPLICABLE SELF-INSURED  BOND  financing  agreement  [pursuant  to  such
provisions]  ENTERED INTO BY THE DORMITORY AUTHORITY PURSUANT TO SECTION
SIXTEEN HUNDRED EIGHTY-L OF THE PUBLIC  AUTHORITIES  LAW,  RESPECTIVELY,
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.
  8.  The  foregoing and every other [prevision] PROVISION of law to the
contrary notwithstanding, all moneys received on account of the  assess-
ment authorized by this section shall be deposited upon receipt into the
administrative clearing account held by the commissioner of taxation and
finance  and  applied,  as  pledged assessments for purposes of sections
sixteen hundred eighty-l and sixteen  hundred  eighty-q  of  the  public

S. 6405--A                         38                         A. 9005--A

authorities law and prior to any other application: first, in accordance
with any other provision of any special disability fund financing agree-
ment entered into prior to March thirty-first, two thousand thirteen, to
the  extent  required to fully fund the then current payment and reserve
requirements under such financing agreement WITH RESPECT  TO  THE  BONDS
ISSUED  BY  THE  DORMITORY AUTHORITY PURSUANT TO SECTION SIXTEEN HUNDRED
EIGHTY-L OF THE PUBLIC AUTHORITIES LAW PRIOR TO SUCH DATE;  and  second,
in  accordance  with  each  special  disability fund financing agreement
ENTERED INTO ON OR SUBSEQUENT TO MARCH THIRTY-FIRST, TWO THOUSAND  THIR-
TEEN, EACH FUND FOR REOPENED CASES FINANCING AGREEMENT and each self-in-
sured bond financing agreement, to the extent required to fully fund the
then  current payment and reserve requirements under each such financing
agreement [entered into after March thirty-first, two thousand thirteen]
with respect to bonds issued by  the  dormitory  authority  pursuant  to
either  section  sixteen  hundred  eighty-l  or  section sixteen hundred
eighty-q of the public authorities law, on a pari  passu  basis  without
preference or priority among all such other bonds. Such monies shall not
be  commingled with any other monies in the commissioner's custody prior
to the completion of such application and shall not be deemed to be part
of the state treasury or of any funds under management of the  state  OR
BE  DEEMED  MONEY OF THE STATE OR MONEY UNDER CONTROL OF THE STATE. This
section shall not be deemed  to  authorize  any  infringement  upon  the
rights  of  holders  of  such  bonds  issued  or to be issued under such
sections of the public authorities law. The provisions of  this  section
may  be  included  by  the  dormitory authority in any contract with the
holders of any such bonds. The operation of this section and the  appli-
cation  of  the  receipts  of  the assessment authorized by this section
shall be subject to the provisions of each financing  agreement  author-
ized pursuant to subparagraph four of paragraph (h) of subdivision eight
of  section  fifteen  [or  to]  OF THIS CHAPTER, section fifty-c of this
chapter, OR SUBDIVISION THREE OF SECTION TWENTY-FIVE-A 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.
  S 16. Subdivision 3 of section 25 of the workers' compensation law  is
amended by adding a new paragraph (g) to read as follows:
  (G) NOTWITHSTANDING ANY OTHER PROVISION IN THIS CHAPTER, THE CHAIR MAY
BY  REGULATION  ELECT TO ESTABLISH A PERFORMANCE STANDARD CONCERNING THE
SUBJECT OF ANY PENALTY OR ASSESSMENT PROVISION APPLICABLE TO  AN  INSUR-
ANCE  CARRIER OR SELF-INSURED EMPLOYER, WHERE SUCH PENALTY OR ASSESSMENT
IS REMITTABLE TO THE NEW YORK STATE  TREASURY,  OR  CHAIR,  BUT  NOT  TO
CLAIMANTS  OR  ANY  OTHER  PAYEE OR FUND, AND IMPOSE A SINGLE PENALTY OR
ASSESSMENT UPON THE FAILURE TO  MEET  THAT  PROMULGATED  STANDARD,  WITH
NOTICE  TO  THE CARRIER OR SELF-INSURED EMPLOYER. THE PENALTY OR ASSESS-
MENT IMPOSED IN THE AGGREGATE SHALL BE PAYABLE TO THE CHAIR. SUCH AGGRE-
GATE PENALTY OR ASSESSMENT IMPOSED IN THE AGGREGATE SHALL BE PAYABLE  TO
THE CHAIR.  SUCH AGGREGATE PENALTY OR ASSESSMENT SHALL BE BASED UPON THE
NUMBER  OF  VIOLATIONS  AS  MULTIPLIED AGAINST THE APPLICABLE PENALTY OR
ASSESSMENT, BUT MAY BE NEGOTIATED BY THE CHAIR'S DESIGNEE IN FULL SATIS-
FACTION OF THE PENALTY OR ASSESSMENT.  A  FINAL  AGREEMENT  BETWEEN  THE
CHAIR'S DESIGNEE AND THE CARRIER OR SELF-INSURED EMPLOYER MAY BE SUBMIT-
TED  AND APPROVED SUBJECT TO SECTION THIRTY-TWO OF THIS ARTICLE, WITHOUT
NOTICE TO ANY CLAIMANT. ANY AGGREGATE PENALTY OR  ASSESSMENT  ISSUED  IN
THIS  SECTION  SHALL  BE  ISSUED ADMINISTRATIVELY, AND THE CHAIR MAY, BY
REGULATION, SPECIFY THE METHOD OF REVIEW  OR  REDETERMINATION,  AND  THE
PRESENTMENT  OF  EVIDENCE  AND  OBJECTIONS  SHALL  OCCUR SOLELY UPON THE

S. 6405--A                         39                         A. 9005--A

DOCUMENTATION. THE CARRIER OR SELF-INSURED EMPLOYER SHALL RECEIVE CREDIT
FOR ANY INSTANCES IN WHICH THE AGGREGATE PENALTY OR ASSESSMENT IS INCLU-
SIVE OF A PENALTY OR ASSESSMENT PREVIOUSLY ISSUED AND PAID IN  AN  INDI-
VIDUAL  CLAIM  OR PROCEEDING. A FINAL DETERMINATION IS SUBJECT TO REVIEW
UNDER SECTION TWENTY-THREE OF THIS  ARTICLE,  EXCEPT  THAT  NO  STAY  IN
PAYMENT  OF THE PENALTY OR ASSESSMENT SHALL APPLY PENDING THE OUTCOME OF
THE APPLICATION FOR ADMINISTRATIVE REVIEW. FAILURE TO  PAY  THE  FINALLY
DETERMINED  PENALTY  OR  ASSESSMENT, OR THE PENALTY OR ASSESSMENT AGREED
UPON PURSUANT TO SECTION THIRTY-TWO OF THIS ARTICLE, WITHIN TEN DAYS  OF
FILING,  SHALL  RESULT  IN  THE  IMPOSITION OF A TWENTY PERCENT PENALTY,
PAYABLE TO THE CHAIR. IN  THE  EVENT  OF  THE  CARRIER  OR  SELF-INSURED
EMPLOYER  INSTITUTING OR CONTINUING AN ISSUE WITHOUT REASONABLE GROUNDS,
THE PROVISIONS OF SUBDIVISION THREE OF SECTION ONE HUNDRED FOURTEEN-A OF
THIS CHAPTER SHALL BE APPLICABLE.
  S 17.  Subparagraph (c) of paragraph 7 of subdivision 3-a  of  section
50  of  the workers' compensation law, as amended by section 4 of part R
of chapter 56 of the laws of 2010, is amended to read as follows:
  (c) Upon the assumption of the assets and liabilities of a group self-
insurer by the chair or his or her designee pursuant  to  regulation  of
the chair, all records, documents and files of whatever nature, pertain-
ing to the group self-insurer, INCLUDING BUT NOT LIMITED TO ANY PROCURE-
MENT  RECORDS OF THE GROUP SELF-INSURER WITH RESPECT TO AN ASSUMPTION OF
WORKERS'  COMPENSATION  LIABILITY  INSURANCE  POLICY,  be  they  in  the
possession of the group self-insurer or a third party, and all remaining
assets  of  the  group  self-insurer,  shall  become the property of the
chair[. All] AND ANY SUCH ASSUMPTION OF WORKERS' COMPENSATION  LIABILITY
INSURANCE POLICY SHALL BE DEEMED OWNED AND ENFORCEABLE BY THE CHAIR FROM
ALL custodians of such records and/or funds shall turn over to the chair
or his designee all such original records upon demand.
  S 18. Subdivision 3 of section 50 of the workers' compensation law, as
amended by section 3 of part G of chapter 57 of the laws of 2011 and the
closing paragraph as further amended by section 104 of part A of chapter
62 of the laws of 2011, is amended to read as follows:
  3.  By  furnishing  satisfactory  proof  to the chair of his financial
ability to pay such compensation for himself, [or to  pay  such  compen-
sation  on behalf of a group of employers in accordance with subdivision
ten of this section, in which case the chair shall require the] IN WHICH
CASE ALL ELIGIBLE INDIVIDUAL SELF-INSURED EMPLOYERS  SHALL  COLLECTIVELY
SECURE  THEIR  LIABILITY  FOR THE PAYMENT OF WORKERS' COMPENSATION OBLI-
GATIONS THROUGH PARTICIPATION  IN  THE  POOLED  INDIVIDUAL  SELF-INSURED
EMPLOYER  FUND. NOTWITHSTANDING ANY OTHER PROVISION OF THIS SECTION, THE
CHAIR SHALL, BY REGULATION, SET  MINIMUM  CREDIT,  FINANCIAL,  OR  OTHER
CONDITIONS  THAT  AN INDIVIDUAL SELF-INSURED EMPLOYER MUST MEET IN ORDER
TO PARTICIPATE IN THE POOLED SECURITY SYSTEM. IN THE EVENT ANY  EXISTING
INDIVIDUAL SELF-INSURED EMPLOYER IS UNABLE TO MEET THE CONDITIONS SET BY
THE  CHAIR,  THE  EXISTING  INDIVIDUAL  SELF-INSURED  EMPLOYER  SHALL BE
EXCLUDED  FROM  PARTICIPATION  IN  THE  POOLED  INDIVIDUAL  SELF-INSURED
EMPLOYER  FUND  AND  THE EXISTING INDIVIDUAL SELF-INSURED EMPLOYER SHALL
POST A SEPARATE SECURITY DEPOSIT IN THE MANNER PROVIDED BY PARAGRAPH (H)
OF THIS SUBDIVISION. THE CHAIR SHALL  PROMULGATE  REGULATIONS  REQUIRING
THE  CHAIR  TO  SET AN AGGREGATE SECURITY REQUIREMENT FOR ALL INDIVIDUAL
SELF-INSURED EMPLOYERS PARTICIPATING IN THE POOLED  INDIVIDUAL  SELF-IN-
SURED  EMPLOYER  FUND  BASED ON A REVIEW OF ALL PARTICIPATING INDIVIDUAL
SELF-INSURED EMPLOYERS ANNUAL REPORTS AND ANY OTHER INFORMATION  AS  MAY
BE  SPECIFIED  BY THE CHAIR. THE CHAIR SHALL PROCURE AND MAINTAIN IN THE
POOLED INDIVIDUAL SELF-INSURED EMPLOYER FUND A COMBINATION OF  CASH  AND

S. 6405--A                         40                         A. 9005--A

INVESTMENT  SECURITIES  SATISFACTORY  TO  PROVIDE  ADEQUATE  SECURITY TO
SECURE THE PAYMENT OF THE AGGREGATE WORKERS' COMPENSATION OBLIGATIONS OF
ALL INDIVIDUAL SELF-INSURED EMPLOYERS PARTICIPATING IN THE FUND AS  WELL
AS ANY AMOUNTS AS MAY BE REASONABLY NECESSARY TO PAY FOR THE ADMINISTRA-
TIVE AND OTHER ACTIVITIES OF THE FUND. THIS AMOUNT SHALL BE KNOWN AS THE
AGGREGATE POOLED SECURITY AMOUNT. EACH PARTICIPATING INDIVIDUAL SELF-IN-
SURED  EMPLOYER  SHALL  PAY THE INITIAL ENTRY FEE REQUIRED HEREIN DURING
THEIR FIRST YEAR OF PARTICIPATION IN THE  FUND.  THIS  AMOUNT  SHALL  BE
KNOWN AS THE POOL DEPOSIT FEE. THEREAFTER, ON AN ANNUAL BASIS, THE CHAIR
SHALL  EVALUATE  THE  CONDITION  AND SUFFICIENCY OF THE AGGREGATE POOLED
SECURITY AMOUNT. WHERE NECESSARY, THE CHAIR SHALL REQUIRE  EACH  PARTIC-
IPATING  INDIVIDUAL SELF-INSURED EMPLOYER TO PAY A PARTICIPATION FEE, ON
A PRO RATA BASIS, SUFFICIENT TO BRING THE POOLED INDIVIDUAL SELF-INSURED
EMPLOYER FUND UP TO THE AGGREGATE POOLED SECURITY  AMOUNT.  THIS  AMOUNT
SHALL BE KNOWN AS THE POOL PARTICIPATION FEE. A PARTICIPATING INDIVIDUAL
SELF-INSURED EMPLOYER'S OBLIGATION TO PAY EITHER THE POOL DEPOSIT FEE OR
SUBSEQUENT  POOL  PARTICIPATION  FEES  SHALL CONTINUE, REGARDLESS OF THE
INDIVIDUAL SELF-INSURED EMPLOYER'S CESSATION  OF  PARTICIPATION  IN  THE
POOLED  INDIVIDUAL SELF-INSURED EMPLOYER FUND, FOR SO LONG AS THE FORMER
SELF-INSURED EMPLOYER SHALL CONTINUE TO HAVE WORKERS' COMPENSATION OBLI-
GATIONS ATTRIBUTABLE TO ITS PERIOD OF PARTICIPATION IN THE POOLED  INDI-
VIDUAL SELF-INSURED EMPLOYER FUND.
  (A) IN ORDER TO PROVIDE FOR THE AGGREGATE POOLED SECURITY AMOUNT, EACH
PARTICIPATING  INDIVIDUAL  SELF-INSURED  EMPLOYER SHALL PAY TO THE CHAIR
ITS POOL DEPOSIT FEE AND ANY ANNUAL POOL PARTICIPATION FEE WITHIN THIRTY
DAYS OF DEMAND BY THE CHAIR. THE AMOUNT OF THE POOL DEPOSIT FEE AND POOL
PARTICIPATION FEE PAID BY  EACH  PARTICIPATING  INDIVIDUAL  SELF-INSURED
EMPLOYER  SHALL  BE  SET  BY  THE  CHAIR, BASED ON HIS OR HER REASONABLE
CONSIDERATION, OF ALL THE FOLLOWING FACTORS:
  (I) THE TOTAL AMOUNT NEEDED TO PROVIDE  THE  POOLED  SECURITY  DEPOSIT
AMOUNT;
  (II)  THE  INDIVIDUAL SELF-INSURED EMPLOYER'S PAID OR INCURRED LIABIL-
ITIES AS REFLECTED IN ITS ANNUAL REPORT;
  (III) THE FINANCIAL STRENGTH AND CREDITWORTHINESS  OF  THE  INDIVIDUAL
SELF-INSURED EMPLOYER;
  (IV) ANY OTHER REASONABLE FACTORS AS MAY BE AUTHORIZED BY REGULATION.
  (B)  WITHIN  THIRTY (30) BUSINESS DAYS OF THE PARTICIPATING INDIVIDUAL
SELF-INSURED EMPLOYER PAYING ITS  POOL  DEPOSIT  FEE,  THE  CHAIR  SHALL
RELEASE  THE  SECURITY  DEPOSIT  POSTED BY THE SELF-INSURED EMPLOYER AND
HELD BY THE CHAIR PURSUANT  TO  PARAGRAPH  (H)  OF  THIS  SECTION.  UPON
PAYMENT  OF  THE  POOL DEPOSIT FEE AND ANY SUBSEQUENT POOL PARTICIPATION
FEES, AND EXCEPT AS PROVIDED HEREIN, THE INDIVIDUAL SELF-INSURED EMPLOY-
ER LOSES ALL RIGHT, TITLE, AND INTEREST IN THE POOL DEPOSIT FEE AND POOL
PARTICIPATION FEE. TO THE EXTENT THAT IN ANY ONE YEAR THE  POOL  DEPOSIT
FEE  OR  POOL  PARTICIPATION  FEE  PAID  BY ALL PARTICIPATING INDIVIDUAL
SELF-INSURERS IS NOT EXHAUSTED IN THE PURCHASE OF INVESTMENT  SECURITIES
OBTAINED  BY  THE CHAIR AS PART OF THE AGGREGATE POOLED SECURITY AMOUNT,
THE SURPLUS SHALL REMAIN WITH THE CHAIR AND THE PRINCIPAL  AND  INTEREST
EARNED  ON  THAT SURPLUS SHALL BE USED TO REDUCE ANY FUTURE POOL FEES IN
SUBSEQUENT YEARS.
  (C) IF ANY PARTICIPATING INDIVIDUAL SELF-INSURED EMPLOYER  OBJECTS  TO
THE  CALCULATION,  POSTING,  OR  ANY OTHER ASPECT OF ITS POOL FEES, UPON
PAYMENT OF THE POOL FEE IN THE TIME PROVIDED, THE  EMPLOYER  SHALL  HAVE
THE  RIGHT TO APPEAL THE POOL FEE TO THE CHAIR, WHO SHALL HAVE EXCLUSIVE
JURISDICTION OVER THIS DISPUTE. IF ANY PARTICIPATING INDIVIDUAL SELF-IN-
SURED EMPLOYER FAILS TO PAY EITHER ITS POOL DEPOSIT FEE OR POOL  PARTIC-

S. 6405--A                         41                         A. 9005--A

IPATION  FEE  IN  THE  TIME PROVIDED, THE EMPLOYER SHALL: (I) BE REMOVED
FROM THE POOLED INDIVIDUAL SELF-INSURED EMPLOYER FUND; AND  (II)  PAY  A
PENALTY  OF  NOT  LESS  THAN  TEN (10) PERCENT NOR MORE THAN THIRTY (30)
PERCENT  OF  ITS  POOL  FEE.  THE  PENALTY SHALL BE PAID DIRECTLY TO THE
POOLED INDIVIDUAL SELF-INSURED EMPLOYER FUND.  IN  THE  EVENT  THAT  THE
SELF-INSURED EMPLOYER FAILS OR NEGLECTS TO PAY THE PENALTY WITHIN THIRTY
DAYS,  THE EMPLOYER SHALL BE DEEMED IN DEFAULT IN THE PAYMENT OF COMPEN-
SATION TO ITS EMPLOYEES AND THE CHAIR MAY FILE A  JUDGMENT  AGAINST  THE
SELF-INSURED  EMPLOYER, PURSUANT TO THE PROVISIONS OF SECTION TWENTY-SIX
OF THIS CHAPTER, IN THE AMOUNT OF THE UNPAID PENALTY. THE CHAIR MAY ALSO
REVOKE THE AUTHORIZATION TO SELF-INSURE OF ANY  INDIVIDUAL  SELF-INSURED
EMPLOYER  WHO FAILS TO PAY A POOL FEE IN THE TIME PROVIDED IN WHICH CASE
THE EMPLOYER MUST INSURE THE PAYMENT OF SUCH COMPENSATION IN  THE  STATE
FUND  OR  WITH  ANY  STOCK CORPORATION, MUTUAL CORPORATION OR RECIPROCAL
INSURER AUTHORIZED TO TRANSACT THE  BUSINESS  OF  WORKERS'  COMPENSATION
INSURANCE  IN  THIS  STATE THROUGH A POLICY ISSUED UNDER THE LAW OF THIS
STATE WITHIN THIRTY DAYS.
  (D) UPON THE CHAIR'S POSTING OF THE AGGREGATE POOLED  SECURITY  AMOUNT
IN THE POOLED INDIVIDUAL SELF-INSURED EMPLOYER FUND, SAID SECURITY SHALL
BE PAID OVER TO THE COMMISSIONER OF TAX AND FINANCE, AS CUSTODIAN OF THE
FUND UNTIL THE CHAIR DETERMINES THAT A PARTICIPATING INDIVIDUAL SELF-IN-
SURED EMPLOYER HAS FAILED OR NEGLECTED TO MEET ITS WORKERS' COMPENSATION
OBLIGATIONS  AS  REQUIRED  BY  THIS  CHAPTER,  AND THE CHAIR DIRECTS THE
COMMISSIONER OF TAX AND FINANCE TO COMMENCE PAYMENT OF SUCH UNMET  SELF-
INSURANCE  OBLIGATIONS  THE POOLED INDIVIDUAL SELF-INSURED EMPLOYER FUND
CONSISTENT WITH THE PROVISIONS OF PARAGRAPH  (E)  OF  THIS  SUBDIVISION.
UPON  ORDERING  THE  POOLED  INDIVIDUAL  SELF-INSURED  EMPLOYER  FUND TO
COMMENCE PAYMENT, THE COMMISSIONER OF TAX AND FINANCE SHALL UTILIZE  THE
AGGREGATE  POOLED SECURITY AMOUNT NECESSARY TO MEET THE WORKERS' COMPEN-
SATION OBLIGATIONS OF THE DEFAULTING PARTICIPATING  INDIVIDUAL  SELF-IN-
SURED EMPLOYER. IN THE EVENT ADDITIONAL FUNDS ARE NEEDED IN FUTURE YEARS
TO  MEET THE WORKERS' COMPENSATION OBLIGATIONS OF ANY FORMER PARTICIPAT-
ING INDIVIDUAL  SELF-INSURED  EMPLOYER,  WHO  THEREAFTER  DEFAULTS  WITH
RESPECT  TO  ITS OBLIGATIONS INCURRED DURING ITS PERIOD OF PARTICIPATION
IN THE POOLED INDIVIDUAL SELF-INSURED EMPLOYER  FUND,  THE  CHAIR  SHALL
DIRECT  THE  COMMISSIONER  OF  TAX  AND FINANCE TO MAKE AVAILABLE TO THE
POOLED INDIVIDUAL SELF-INSURED EMPLOYER FUND ANY PORTIONS OF THE  AGGRE-
GATE  POOLED  SECURITY AMOUNT AS MAY BE NEEDED TO PAY THOSE BENEFITS. IN
THE DISCRETION OF THE CHAIR, IN THE EVENT THAT THE  OBLIGATIONS  ASSOCI-
ATED WITH THE DEFAULT OF PARTICIPATING INDIVIDUAL SELF-INSURED EMPLOYERS
ARE  SUCH  THAT  THEY  JEOPARDIZE  THE SOLVENCY OF THE POOLED INDIVIDUAL
SELF-INSURED EMPLOYER FUND, THE CHAIR MAY  REQUEST  THAT  THE  DORMITORY
AUTHORITY  OF THE STATE OF NEW YORK ISSUE BONDS, CONSISTENT WITH SECTION
SIXTEEN HUNDRED EIGHTY-Q OF THE PUBLIC AUTHORITIES LAW, AND PURSUANT  TO
SELF-INSURED BOND FINANCE AGREEMENT DESCRIBED IN SECTION FIFTY-C OF THIS
ARTICLE TO MEET SUCH UNMET OBLIGATIONS OF SELF-INSURED EMPLOYERS.
  (E)  THE CASH PORTION OF THE AGGREGATE POOLED SECURITY AMOUNT SHALL BE
SEGREGATED FROM ALL OTHER FUNDS HELD  UNDER  THE  WORKERS'  COMPENSATION
LAW,  AND  SHALL  BE INVESTED AS HEREIN PROVIDED FOR THE SOLE BENEFIT OF
THE POOLED INDIVIDUAL SELF-INSURED EMPLOYER FUND, AND MAY  NOT  BE  USED
FOR  ANY OTHER PURPOSE BY THE STATE. THE COMMISSIONER OF TAX AND FINANCE
SHALL BE THE CUSTODIAN OF THE POOLED  INDIVIDUAL  SELF-INSURED  EMPLOYER
FUND  AND  ALL DISBURSEMENTS FROM SAID FUND SHALL BE MADE BY THE COMMIS-
SIONER OF TAX AND FINANCE UPON VOUCHERS SIGNED BY THE CHAIR OF THE WORK-
ERS' COMPENSATION BOARD OR HIS OR HER DESIGNEE. MONIES NOT REQUIRED  FOR
IMMEDIATE USE OR DISBURSEMENT MAY BE INVESTED BY THE COMMISSIONER OF TAX

S. 6405--A                         42                         A. 9005--A

AND  FINANCE IN OBLIGATIONS OF THE STATE OR THE UNITED STATES GOVERNMENT
OR OBLIGATIONS THE PRINCIPAL AND INTEREST OF WHICH ARE GUARANTEED BY THE
STATE OR THE UNITED STATES OR IN ANY  OTHER  OBLIGATIONS  IN  WHICH  THE
COMPTROLLER  OF  THE  STATE  IS AUTHORIZED TO INVEST PURSUANT TO SECTION
NINETY-EIGHT OF THE STATE FINANCE  LAW.  THE  COMMISSIONER  OF  TAX  AND
FINANCE  MAY  SELL  ANY  OF THE SECURITIES OR CERTIFICATES OF DEPOSIT IN
WHICH SAID FUND IS INVESTED, IF ADVISABLE FOR ITS PROPER  ADMINISTRATION
OR  IN THE BEST INTEREST OF SUCH FUND, AND ALL EARNINGS FROM THE INVEST-
MENTS OF SUCH FUND SHALL BE CREDITED TO SUCH FUND.
  (F) THE CHAIR SHALL IMPLEMENT THE PROVISIONS OF  THIS  SUBDIVISION  BY
PROMULGATING  RULES  AND  REGULATIONS  BUT  NO SUCH RULES OR REGULATIONS
SHALL BE NECESSARY FOR ANY PROVISION OF THIS SUBDIVISION  TO  BE  EFFEC-
TIVE.
  (G) FOR THOSE INDIVIDUAL EMPLOYERS SELF-INSURING PURSUANT TO PARAGRAPH
(H)  OF THIS SUBDIVISION, SAID EMPLOYERS SHALL ALSO PAY AN ANNUAL FEE TO
THE CHAIR FOR DEPOSIT INTO THE POOLED  INDIVIDUAL  SELF-INSURANCE  FUND.
THE  CHAIR  SHALL  CALCULATE  THIS ANNUAL FEE IN THE SAME MANNER AS POOL
FEES SET FORTH ABOVE.
  (H) FOR THOSE EMPLOYERS WHO SELF-INSURED INDIVIDUALLY AS OF THE EFFEC-
TIVE DATE OF THE POOLED INDIVIDUAL SELF-INSURED EMPLOYER FUND BUT  WHICH
DO  NOT MEET THE QUALIFICATIONS FOR PARTICIPATION THEREIN, AND FOR THOSE
EMPLOYERS WHO SELF-INSURE FOR ARTICLE 9 BENEFITS, SUCH INDIVIDUAL  SELF-
INSURED  EMPLOYER SHALL deposit with the chair of such securities as the
chair may deem necessary of the kind  prescribed  in  subdivisions  one,
two,  three,  four  and five, and subparagraph (a) of paragraph three of
subdivision seven of section two hundred thirty-five of the banking law,
or the deposit of cash, or the filing of irrevocable letters  of  credit
issued by a qualified banking institution as defined by rules promulgat-
ed  by  the chair or the filing of a bond of a surety company authorized
to transact business in this state, in an amount to be determined by the
chair, or the posting and filing as aforesaid of a combination  of  such
securities,  cash,  irrevocable  letters of credit and surety bond in an
amount to be determined by the chair, to secure his liability to pay the
compensation provided in this chapter. Any  such  surety  bond  must  be
approved as to form by the chair. If an employer [or group of employers]
posts  and  files a combination of securities, cash, irrevocable letters
of credit and surety bond as aforesaid, and if it becomes  necessary  to
use the same to pay the compensation provided in this chapter, the chair
shall first use such securities or cash or irrevocable letters of credit
and,  when  the  full  amount  thereof has been exhausted, he shall then
require the surety to pay forthwith to the chair all or any part of  the
penal  sum  of  the bond for that purpose. The chair may also require an
agreement on the part of the employer [or group of employers] to pay any
awards commuted under section twenty-seven of  this  chapter,  into  the
special  fund  of the state fund, as a condition of his being allowed to
remain [uninsured] SELF-INSURED pursuant  to  this  section.  The  chair
shall  have  the  authority  to  deny the application of an employer [or
group of employers] to pay such compensation for himself  or  to  revoke
his  consent  furnished,  under this section at any time, for good cause
shown. [The] AN INDIVIDUAL employer [or group of  employers]  qualifying
under this subdivision shall be known as [a] AN INDIVIDUAL self-insurer.
  If  for  any  reason the status of an employer [or group of employers]
under this subdivision is terminated, the securities or the surety bond,
or the securities, cash, or irrevocable letters  of  credit  and  surety
bond,  on  deposit referred to herein shall remain in the custody of the
chair for such time as the chair may deem proper and warranted under the

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circumstances. In lieu thereof, and at the discretion of the chair,  the
employer, his or her heirs or assigns or others carrying on or liquidat-
ing  such  business,  may execute an assumption of workers' compensation
liability  insurance  policy securing such further and future contingent
liability as may arise from prior injuries to workers and be incurred by
reason of any change in condition of such workers warranting  the  board
making  subsequent  awards  for payment of additional compensation. Such
policy shall be in a form approved by the  superintendent  of  financial
services  and issued by the state fund or any insurance company licensed
to issue this class of insurance in this state. In the event  that  such
policy is issued by an insurance company other than the state fund, then
said  policy  shall be deemed of the kind specified in paragraph fifteen
of subsection (a) of section one thousand one hundred  thirteen  of  the
insurance  law and covered by the workers' compensation security fund as
created and governed by article six-A of this chapter. It shall only  be
issued  for a single complete premium payment in advance by the employer
[or group of employers] and in an amount deemed acceptable by the  chair
and the superintendent of financial services.  In lieu of the applicable
premium  charge  ordinarily  required  to  be imposed by a carrier, said
premium shall include a surcharge in an amount to be determined  by  the
chair  to:  (i)  satisfy  all  assessment liability due and owing to the
board and/or the chair under this chapter; and (ii) satisfy  all  future
assessment  liability  under this section[, and which surcharge shall be
adjusted from time to time to reflect any changes to the  assessment  of
group self-insured employers, including any changes enacted by the chap-
ter of the laws of two thousand eleven amending sections fifteen and one
hundred  fifty-one  of this chapter]. Said surcharge shall be payable to
the board simultaneous to the execution of the  assumption  of  workers'
compensation  liability  insurance  policy. However, the payment of said
surcharge does not relieve the carrier from any other liability, includ-
ing liability owed to the superintendent of financial services  pursuant
to  article six-A of this chapter. When issued such policy shall be non-
cancellable without recourse for any cause during the continuance of the
liability secured and so covered.
  (I) THERE IS ESTABLISHED AN ADVISORY COMMITTEE FOR THE POOLED INDIVID-
UAL SELF-INSURED EMPLOYER FUND WHOSE MEMBERSHIP  SHALL  CONSIST  OF  THE
CHAIR  OR  HIS  OR  HER  DESIGNEE,  FOUR  REPRESENTATIVES  OF INDIVIDUAL
SELF-INSURERS NOMINATED BY THE NEW YORK STATE SELF-INSURANCE ASSOCIATION
AND APPROVED BY THE CHAIR, AND FOUR  MEMBERS  TO  BE  APPOINTED  BY  THE
GOVERNOR AS FOLLOWS: ONE UPON NOMINATION OF THE SPEAKER OF THE ASSEMBLY,
ONE  UPON  NOMINATION  OF THE TEMPORARY PRESIDENT OF THE SENATE, AND TWO
OTHERS WITHOUT LIMITATION. THE ADVISORY COMMITTEE  SHALL  MEET  NO  LESS
THAN  ANNUALLY  AND  SHALL  PREPARE A REPORT AVAILABLE TO THE PUBLIC FOR
INSPECTION ON OR BEFORE FEBRUARY FIRST, OF EACH YEAR MAKING  RECOMMENDA-
TIONS CONCERNING:
  (I) THE STANDARDS FOR PARTICIPATION IN THE POOL;
  (II) THE ADEQUACY OF THE FUNDING OF THE POOL;
  (III) PAYMENT OF CLAIMS INSURED BY DEFAULTED POOL PARTICIPANTS;
  (IV) THE LONG TERM VIABILITY OF THE POOL; AND
  (V)  SUCH  OTHER  TOPICS RELATED TO THE POOL AS THE ADVISORY COMMITTEE
MAY DEEM NECESSARY.
  S 19. Paragraphs c, f, and g of subdivision 5 of  section  50  of  the
workers'  compensation  law,  as  amended  by chapter 139 of the laws of
2008, are amended to read as follows:
  c. (1) The chair and the department of audit and control  as  soon  as
practicable after May first, nineteen hundred sixty, and annually there-

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after, as soon as practicable after April first in each succeeding year,
shall ascertain the total amount of net expenses, including (a) adminis-
trative  expenses,  which  shall  include  the  direct costs of personal
services,  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, and (b) all direct  or  indirect  costs
incurred  by  the board during the preceding fiscal year in carrying out
the provisions of subdivision three and three-a of this  section  EXCEPT
THOSE  EXPENSES  ASSOCIATED  WITH  THE  POOLED  INDIVIDUAL  SELF-INSURED
EMPLOYERS FUND.  Such expenses shall be adjusted  quarterly  to  reflect
any  change  in circumstances, and shall be assessed against all private
self-insured employers, including for this purpose active and terminated
group self-insurers, active individual self-insured employers, and indi-
vidual self-insured employers who have ceased to exercise the  privilege
of  self-insurance  INCLUDING  THOSE  INDIVIDUAL  SELF-INSURED EMPLOYERS
PARTICIPATING IN THE POOLED INDIVIDUAL SELF-INSURED EMPLOYERS FUND.
  (2) Such expenses shall be assessed against all self-insurers  includ-
ing for this purpose employers who have ceased to exercise the privilege
of  self-insurance. The basis of apportionment of the assessment against
each self-insurer shall be a sum equal to that proportion of the  amount
which  the  indemnity  payment  for  each self-insurer bore to the total
indemnity payments for all self-insurers for  the  calendar  year  which
ended  within the preceding state fiscal year. All such assessments when
collected shall be deposited into a fund which shall be  used  to  reim-
burse  the  appropriations theretofore made by the state for the payment
of the expenses of administering this chapter.
  [(3) Pure premium for assessments made prior  to  January  first,  two
thousand  nine  against individual and group self-insurers who ceased to
self-insure shall be based on payroll at  the  time  the  individual  or
group  self-insurer  has  ceased  to  self-insure,  reduced  by a factor
reflecting the reduction in the group or individual self-insurer's self-
insurance liabilities since ceasing to self-insure.]
  f. Whenever the chair shall determine that the compensation and  bene-
fits  provided by this chapter may be unpaid by reason of the default of
an insolvent private self-insured employer, including  a  private  group
self-insurer,  EXCEPT  AN INDIVIDUAL SELF-INSURED EMPLOYER PARTICIPATING
IN THE POOLED INDIVIDUAL SELF-INSURED EMPLOYERS FUND,  the  chair  shall
pay  such  compensation  and  benefits  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.  Such
payments shall be considered expenses of administration. The chair shall
be reimbursed therefor from the surety bond, cash or securities held or,
if  such surety bond, securities or cash is insufficient, by the employ-
er, its receiver, liquidator, rehabilitator or  trustee  in  bankruptcy.
All  moneys  reimbursed  to  the  chair  or recovered by the chair in an
action or proceeding to secure such  reimbursement  shall  forthwith  be
applied  as a credit against the expenses on which the assessment levied
upon all private self-insured employers, in accordance with paragraphs c
and e of this subdivision, is calculated.
  g. Whenever the chair shall determine that the compensation and  bene-
fits  provided by this chapter may be unpaid by reason of the default of
an insolvent private self-insured employer, including  a  private  group
self-insurer,  EXCEPT  AN INDIVIDUAL SELF-INSURED EMPLOYER PARTICIPATING
IN THE POOLED INDIVIDUAL SELF-INSURED EMPLOYERS FUND,  the  chair  shall
levy an assessment against all private self-insured employers, including

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private  group  self-insurers,  in accordance with paragraphs c and e of
this subdivision to assure prompt payment of such compensation and bene-
fits. Whenever compensation and benefits are unpaid by  reason  of  such
default,  the  chair  shall  promptly pay such compensation and benefits
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. Nothing in this paragraph shall preclude
the chair from recovering the moneys it expends from its  administrative
expenses  against  the defaulted individual self-insurer, or the members
of the defaulted group self-insurer,  as  otherwise  permitted  by  this
chapter.
  S  20.  Section  134  of  the  workers' compensation law is amended by
adding a new subdivision 5 to read as follows:
  5. IN ACCORDANCE WITH RULES ADOPTED BY  THE  DEPARTMENT  OF  LABOR  IN
CONSULTATION  WITH THE DEPARTMENT OF FINANCIAL SERVICES AND THE WORKERS'
COMPENSATION BOARD AND UPON RECEIPT  OF  THE  WRITTEN  NOTIFICATION  SET
FORTH  IN SUBDIVISION TWO OF THIS SECTION, THE EMPLOYER'S NAME AND OTHER
RELEVANT INFORMATION SHALL BE ADDED TO A PUBLISHED LIST OF ALL EMPLOYERS
WHOSE MOST RECENT ANNUAL PAYROLL IS IN EXCESS OF EIGHT HUNDRED  THOUSAND
DOLLARS  AND  WHOSE  MOST  RECENT EXPERIENCE RATING EXCEEDS THE LEVEL OF
1.2. NO EMPLOYER SHALL BE REMOVED FROM SUCH LIST UNTIL SUCH TIME AS  THE
EMPLOYER  SUBMITS  TO  THE  DEPARTMENT  OF  LABOR  THE  CERTIFICATION OF
COMPLETION  OF  THE  WORKPLACE  SAFETY  AND  LOSS   PREVENTION   PROGRAM
PRESCRIBED  HEREIN.  INSURERS  THAT ISSUE WORKERS' COMPENSATION COVERAGE
SHALL CONSULT SUCH LIST PRIOR TO ISSUING A POLICY AND SHALL, IF APPLICA-
BLE, IMPOSE THE SURCHARGE OF  THE  EMPLOYER'S  MANUAL  RATE  PREMIUM  IN
ACCORDANCE WITH SUBDIVISION THREE OF THIS SECTION MEASURED FROM THE DATE
OF WRITTEN NOTIFICATION IN SUBDIVISION TWO OF THIS SECTION.
  S  21.  Section  140  of  the workers' compensation law, as amended by
chapter 57 of the laws of 1951, is amended to read as follows:
  S 140. [Workmen's] WORKERS' compensation board. The [workmen's]  WORK-
ERS'  compensation board in the department of labor is hereby continued.
Such board shall consist of [thirteen] SEVEN members,  at  least  [four]
THREE of whom shall be attorneys and counsellors-at-law duly admitted to
practice  in  this state. The members of the board shall be appointed by
the governor, by and with the advice and  consent  of  the  senate.  The
members of the board in office, together with the additional members and
the  members  appointed  to  fill  vacancies,  if  any, at the time this
section takes effect, shall continue, notwithstanding the appointment of
any of the members for a term expiring on  a  different  date,  to  hold
office  for  terms to be assigned by the governor by and with the advice
and consent of the senate[; two such terms to expire on  December  thir-
ty-first,  nineteen  hundred  fifty;  two  to expire on December thirty-
first, nineteen hundred fifty-one; two to  expire  on  December  thirty-
first,   nineteen   hundred   fifty-two;   two  to  expire  on  December
thirty-first, nineteen hundred fifty-three; two to  expire  on  December
thirty-first,  nineteen  hundred  fifty-four;  two to expire on December
thirty-first, nineteen hundred fifty-five; and one to expire on December
thirty-first, nineteen hundred fifty-six. The]. UPON THE EXPIRATION OF A
SEVEN YEAR TERM, THE members next appointed, except to  fill  a  vacancy
created  otherwise  than  by  expiration of term, shall be appointed for
terms of seven years. The governor shall designate one of the members of
the board as chairman and another as vice-chairman.
  S 22. Section 142 of the workers' compensation law, as added by  chap-
ter  74  of the laws of 1945, subdivision 2 as amended by chapter 608 of
the laws of 1989, the opening paragraph of subdivision 2 as  amended  by

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section  12  of  part GG of chapter 57 of the laws of 2013, section 5 as
amended by chapter 924 of the laws of 1990, subdivision 6  as  added  by
chapter  635  of  the laws of 1996 and subdivision 7 as added by chapter
452 of the laws of 2005, is amended to read as follows:
  S  142.  General powers and duties of the [workmen's] WORKERS' compen-
sation board. 1.  The [workmen's] WORKERS' compensation board shall have
power to hear and determine all claims for compensation or  benefits  or
relating  to special funds created under the provisions of this chapter,
in the manner provided by this chapter; to require medical  service  for
injured employees as provided by this chapter; to approve and fix attor-
ney's fees and claims for medical service to the extent provided in this
chapter;  to  excuse failure to give notice either of injury or death of
an employee, to approve agreements, to modify or rescind awards, to make
conclusions of fact and rulings of law,  to  certify  questions  to  the
appellate  division  of  the  supreme court, to enter orders in appealed
cases, to determine the time for the payment of compensation,  to  order
the  reimbursement  of  employers for amounts advanced, to assess penal-
ties, to commute awards, to compromise actions  for  the  collection  of
awards,  to  require or permit employers to deposit the present value of
awards in the aggregate trust fund of the state fund,  to  determine  by
rule  the assignment of a minor's right to sue a third party, to require
guardianship for minor dependents, to hear and  determine  claims  under
the  occupational  disease  act, to order physical examinations, to take
testimony by depositions; and to have and exercise all other powers  and
duties,   exclusive   of  purely  administrative  functions,  originally
conferred or imposed upon the [workmen's] WORKERS' compensation  commis-
sion  by  this  chapter,  or  by  any  other statute, and by chapter six
hundred and  seventy-four  of  the  laws  of  nineteen  hundred  fifteen
conferred  and  imposed  upon  the industrial commission, and by chapter
fifty of the laws of nineteen hundred twenty-one conferred  and  imposed
upon the industrial board. For the purpose of exercising such powers and
performing  such  duties,  the  [workmen's]  WORKERS' compensation board
shall be deemed to be a continuation of the  industrial  board  provided
for  by  the provisions of the labor law; and all proceedings under this
chapter pending before such board are hereby transferred to  the  [work-
men's]  WORKERS'  compensation  board without prejudice to the rights of
any party to such proceeding.
  The [workmen's] WORKERS' compensation board, subject to the provisions
of this chapter and of the  provisions  of  the  labor  law  as  to  the
distribution  of  functions,  shall  succeed  to all the rights, powers,
duties and obligations  of  the  department  of  labor,  the  industrial
commissioner  and  the  industrial  board,  in  so far as they relate to
[workmen's] WORKERS' compensation,  as  heretofore  constituted,  except
such  as  are  vested  in  the chairman of the board by this article and
except with respect to article six of this chapter.
  Whenever the term "industrial board" or the "chairman" or "vice-chair-
man" thereof appears in this chapter or in the provisions of  the  labor
law  after  the time this article takes effect, it shall be construed to
mean the [workmen's] WORKERS' compensation board or the chairman  there-
of,  as created by the provisions of this chapter, as may be required by
the context unless the contrary shall be indicated.
  2. [Any] EXCEPT AS SET FORTH IN SUBDIVISION THREE OF THIS SECTION, ANY
review, hearing, rehearing, inquiry or investigation required or author-
ized 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  determination  of  a

S. 6405--A                         47                         A. 9005--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 appli-
cation 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 pend-
ing 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 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 peri-
od or periods for the continuance thereof.
  3.  THE  CHAIR  OF  THE  BOARD, OR CHAIR'S DESIGNEE, MAY DESIGNATE ANY
BOARD EMPLOYEE WHO IS LICENSED TO PRACTICE LAW IN THE STATE OF NEW  YORK
OR  A SINGLE BOARD MEMBER TO CONDUCT AN APPELLATE REHEARING OR REVIEW OF
ANY ORDER, DECISION OR DETERMINATION WHICH RESOLVES  ANY  ISSUES,  OTHER
THAN  THE  DETERMINATION  OF  COMPENSABILITY IN A CONTROVERTED CLAIM AND
REVERSE, MODIFY OR AFFIRM SUCH ORDER, DECISION OR DETERMINATION. IN  THE
ABSENCE  OF  A  DESIGNATION,  AND  IN  THE  CASE  OF  THE DETERMINATIONS
MENTIONED ABOVE, THE REHEARING OR REVIEW SHALL BE CONDUCTED BY A  THREE-
MEMBER  PANEL  OF BOARD MEMBERS. DISCRETION AS TO DESIGNATIONS IS SOLELY
WITH THE CHAIR OR THE CHAIR'S DESIGNEE, AND SHALL NOT BE BASED UPON  THE
REQUEST  OF  ANY  PARTY,  NOR SHALL ANY DESIGNATION BE SUBJECT TO REVIEW
UNDER SECTION TWENTY-THREE OF THIS  CHAPTER.  THE  ORDER,  DECISION,  OR
DETERMINATION  ISSUED  BY  ANY  SUCH  DESIGNATED BOARD EMPLOYEE OR BOARD
MEMBER ON SUCH A CLAIM SHALL BE DEEMED THE ORDER, DECISION, OR  DETERMI-
NATION OF THE BOARD FROM THE DATE OF THE FILING THEREOF IN THE OFFICE OF
THE  SECRETARY  OF  THE  BOARD UNLESS THE BOARD, ON ITS OWN MOTION OR ON
APPLICATION DULY MADE TO IT, MODIFY OR RESCIND SUCH DECISION. THE  CHAIR
MAY  PROMULGATE  RULES,  OR  THE  BOARD MAY PROMULGATE A SUBJECT NUMBER,
REGARDING REHEARING AND REVIEW DESIGNATIONS UNDER THIS SUBDIVISION.
  Notwithstanding any provision in  this  section  to  the  contrary,  a
member  of  the board may be designated by the chair to act individually
in the hearing and determination of any claim  under  this  chapter,  or
conduct  any  investigation, hearing or inquiry hereunder, or review and
rescind any order, decision or determination upon any claim and  restore
such  claim  for  further  trial  hearing  and evidence or consideration
except that such member may not conduct any appellate rehearing  of  any
case  or  otherwise review any order, decision or determination upon any
claim and reverse, modify or affirm such  order,  decision  or  determi-
nation  which  by  the  provisions  of  this section shall be reheard or
reviewed by the board or a panel thereof.
  [3.] 4. The members of the [workmen's] WORKERS' compensation board,  a
referee or any other officer or employee of the board if duly authorized

S. 6405--A                         48                         A. 9005--A

by  the  chairman,  may  administer oaths and take affidavits in matters
relating to the provisions of this chapter.
  The members of the [workmen's] WORKERS' compensation board, the refer-
ees and any other officer of the board designated by the chairman, shall
have power:
  a.  To  issue subpoenas for and compel the attendance of witnesses and
the  production  of  books,  contracts,  papers,  documents  and   other
evidence;
  b.  To  hear  testimony  and  take or cause to be taken depositions of
witnesses residing within or without this state in the manner prescribed
by law for like depositions in  civil  actions  in  the  supreme  court.
Subpoenas  and  commissions  to take testimony shall be issued under the
seal of the board.
  [4.] 5. Notwithstanding the provisions of any other law,  neither  the
industrial  commissioner nor any board or other agency of the department
of labor shall in any way direct, review, modify or reverse any decision
or finding of the board nor shall the  industrial  commissioner  or  any
board  or  other  agency of the department of labor supervise or control
the board or its members in  the  exercise  of  any  powers  or  in  the
performance of any duties under this chapter.
  [5.]  6. The workers' compensation board shall keep an accurate record
of all hearings held. Where the decision of a referee is affirmed by the
board upon review, OR WHERE THE DECISION IS MODIFIED  IN  PART,  BUT  IS
AFFIRMED  AS TO THE SUBSTANTIAL PORTION OF ISSUES RAISED UPON THE APPLI-
CATION FOR REVIEW OR IF REVIEW IS DENIED, the board shall assess against
each insurance carrier or employer seeking such review the  sum  of  one
hundred  fifty dollars and may assess against any other party the sum of
twenty dollars. The amount so secured from these  assessments  shall  be
paid into the state treasury.
  [6.] 7. The workers' compensation board shall not release any informa-
tion acquired pursuant to section five hundred thirty-seven of the labor
law  and  section  one  hundred  seventy-one-a of the tax law unless the
release of such information is required to further fraud control  activ-
ities  undertaken  by  the  workers' compensation board pursuant to this
chapter, in which case release of such information shall be  subject  to
the  restrictions  contained in section five hundred thirty-seven of the
labor law and section one hundred seventy-one-a of the tax law.
  [7.] 8. Where there has been a motor  vehicle  accident  which  caused
personal injury and there is a dispute as to whether the injury occurred
in  the  course  of  employment,  the workers' compensation board shall,
after notice to the  no-fault  carrier  and  the  workers'  compensation
carrier,  hold an expedited hearing on the issue of whether the accident
occurred during the course of employment.
  S 23. Subdivision 6 of section 151 of the workers' compensation law is
amended by adding a new paragraph (c) to read as follows:
  (C) EFFECTIVE IMMEDIATELY, NOTWITHSTANDING ANY LAW  TO  THE  CONTRARY,
PURSUANT  TO  THE  PROVISIONS  OF  THIS CHAPTER, THE ASSESSMENT RESERVES
REMITTED TO THE CHAIR PURSUANT TO THIS PARAGRAPH SHALL, AT  THE  REQUEST
OF THE DIRECTOR OF THE BUDGET, BE DISTRIBUTED AS FOLLOWS:
  (I)  EFFECTIVE  IMMEDIATELY,  THE  CHAIR  OF THE WORKERS' COMPENSATION
BOARD SHALL AUTHORIZE THE BOARD TO EXPEND UP TO SIXTY MILLION DOLLARS TO
IMPLEMENT INFRASTRUCTURE AND SYSTEM UPGRADES CONSISTENT WITH RECOMMENDA-
TIONS OF THE WORKERS'  COMPENSATION  BOARD  REDESIGN  AND  REENGINEERING
PROJECT.
  (II)  EFFECTIVE  IMMEDIATELY,  THE  CHAIR OF THE WORKERS' COMPENSATION
BOARD SHALL AUTHORIZE THE BOARD TO EXPEND UP TO  FIFTY  MILLION  DOLLARS

S. 6405--A                         49                         A. 9005--A

FOR:  (A)  TRANSFER INTO THE TRAINING AND EDUCATIONAL PROGRAM ON OCCUPA-
TIONAL SAFETY AND HEALTH FUND CREATED PURSUANT TO CHAPTER EIGHT  HUNDRED
EIGHTY-SIX OF THE LAWS OF NINETEEN HUNDRED EIGHTY-FIVE AND SECTION NINE-
TY-SEVEN-C OF THE STATE FINANCE LAW; (B) THE DEPARTMENT OF LABOR OCCUPA-
TIONAL  SAFETY  AND  HEALTH  PROGRAM;  (C)  TRANSFER  INTO THE UNINSURED
EMPLOYERS' FUND PURSUANT TO SUBDIVISION TWO OF SECTION  TWENTY-SIX-A  OF
THIS CHAPTER IN CONNECTION WITH PAYMENT OF CLAIMS MADE PURSUANT TO ARTI-
CLE  EIGHT-A  OF  THIS  CHAPTER;  (D)  A REDUCTION IN LIABILITIES OF THE
SPECIAL DISABILITY FUND PURSUANT TO SUBDIVISION EIGHT OF SECTION FIFTEEN
OF THIS CHAPTER AND/OR THE FUND FOR REOPENED CASES PURSUANT  TO  SECTION
TWENTY-FIVE-A  OF  THIS  CHAPTER;  AND/OR  (E) TRANSFER TO OR PAYMENT ON
BEHALF OF THE SUPERINTENDENT OF FINANCIAL SERVICES FOR COSTS  ASSOCIATED
WITH  THE IMPLEMENTATION OF THE PAID FAMILY LEAVE ACT OF ARTICLE NINE OF
THIS CHAPTER.
  (III) AS SOON AS PRACTICABLE ON OR AFTER  APRIL  FIRST,  TWO  THOUSAND
SIXTEEN, THE CHAIR OF THE WORKERS' COMPENSATION BOARD SHALL TRANSFER ONE
HUNDRED  FORTY  MILLION DOLLARS TO THE STATE INSURANCE FUND, FOR PARTIAL
PAYMENT AND PARTIAL SATISFACTION OF THE STATE'S OBLIGATIONS TO THE STATE
INSURANCE FUND UNDER WORKERS' COMPENSATION  LAW  SECTION  EIGHTY-EIGHT-C
FOR TWO THOUSAND SIXTEEN.
  (IV)  AS  SOON  AS  PRACTICABLE  ON OR AFTER APRIL FIRST, TWO THOUSAND
SEVENTEEN, THE CHAIR OF THE WORKERS' COMPENSATION BOARD  SHALL  TRANSFER
ONE  HUNDRED  MILLION  DOLLARS  TO THE STATE INSURANCE FUND, FOR PARTIAL
PAYMENT AND PARTIAL SATISFACTION OF THE STATE'S OBLIGATIONS TO THE STATE
INSURANCE FUND UNDER WORKERS' COMPENSATION  LAW  SECTION  EIGHTY-EIGHT-C
FOR TWO THOUSAND SEVENTEEN.
  (V) AS SOON AS PRACTICABLE ON OR AFTER APRIL FIRST, TWO THOUSAND EIGH-
TEEN,  THE  CHAIR  OF THE WORKERS' COMPENSATION BOARD SHALL TRANSFER ONE
HUNDRED MILLION DOLLARS TO THE STATE INSURANCE FUND, FOR PARTIAL PAYMENT
AND PARTIAL SATISFACTION OF THE STATE'S OBLIGATIONS TO THE STATE  INSUR-
ANCE FUND UNDER WORKERS' COMPENSATION LAW SECTION EIGHTY-EIGHT-C FOR TWO
THOUSAND EIGHTEEN.
  (VI)  AS  SOON  AS  PRACTICABLE  ON OR AFTER APRIL FIRST, TWO THOUSAND
NINETEEN, THE CHAIR OF THE WORKERS' COMPENSATION  BOARD  SHALL  TRANSFER
THIRTY-FIVE  MILLION  DOLLARS  TO  THE STATE INSURANCE FUND, FOR PARTIAL
PAYMENT AND PARTIAL SATISFACTION OF THE STATE'S OBLIGATIONS TO THE STATE
INSURANCE FUND UNDER WORKERS' COMPENSATION  LAW  SECTION  EIGHTY-EIGHT-C
FOR TWO THOUSAND NINETEEN.
  ANY  AND  ALL  FUNDS  REMAINING AFTER ACCOUNTING FOR THE TRANSFERS AND
EXPENDITURES 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 FOR THE PURPOSE OF REDUCING BUDGET GAPS.
  ANNUALLY, THE WORKERS' COMPENSATION BOARD WILL PROVIDE TO THE DIRECTOR
OF THE BUDGET, THE CHAIR OF THE SENATE FINANCE COMMITTEE, AND THE  CHAIR
OF  THE  ASSEMBLY  WAYS AND MEANS COMMITTEE, AN ACCOUNTING OF SUCH FUNDS
AND ALL ASSOCIATED INCOME RECEIVED. SUCH ACCOUNTING WILL CONTINUE  UNTIL
MARCH THIRTY-FIRST, TWO THOUSAND TWENTY.
  S  24. Section 167 of the workers' compensation law, as added by chap-
ter 446 of the laws of 2006, is amended to read as follows:
  S 167. Claims of volunteers. For persons  who  participated  in  World
Trade Center rescue, recovery and clean-up operations as volunteers, the
uninsured  employers' fund shall be deemed to be the employer [only] for
the purposes of administering and paying claims pursuant to  this  arti-
cle.  Benefits  under  this  chapter shall be payable to such volunteers
[only] IN THE FIRST INSTANCE AND to the extent that funds are  available
out of funds appropriated to the United States Department of Labor under

S. 6405--A                         50                         A. 9005--A

Public  Law  109-148  to reimburse the uninsured employer's fund for the
payment of such benefits AND THEREAFTER FROM  THE  UNINSURED  EMPLOYERS'
FUND.  THE  UNINSURED  EMPLOYERS'  FUND  MAY PAY FOR VOLUNTEERS' MEDICAL
TREATMENT  NOTWITHSTANDING  SUCH  MEDICAL EXPENSES HAVING BEEN DENIED BY
THE WORLD TRADE CENTER HEALTH ORGANIZATION.
  S 25. Subdivisions 1 and 2 of section 354 of the workers' compensation
law, subdivision 1 as amended by chapter 6 of  the  laws  of  2007,  and
subdivision  2  as added by chapter 635 of the laws of 1996, are amended
to read as follows:
  1. Each preferred provider organization shall  provide  at  least  two
HEALTH providers in every medical specialty CONSISTENT WITH SECTION 13-B
OF  THIS  CHAPTER  from  which  the employee may choose and at least two
hospitals from which the employee may choose in the event that hospital-
ization is necessary. The commissioner of health may waive  such  numer-
ical requirements upon a finding that the geographical area in which the
preferred provider organization is located cannot meet the requirements.
  2.  An  employee , NOT SUBJECT TO A COLLECTIVE BARGAINING AGREEMENT OR
SUBJECT TO A COLLECTIVE BARGAINING AGREEMENT DATED  ON  OR  AFTER  APRIL
FIRST, TWO THOUSAND SIXTEEN, may seek medical treatment from outside the
preferred  provider  organization  [thirty]  ONE HUNDRED AND TWENTY days
after his or her  first  visit  to  a  preferred  provider  organization
provider.  In  the  event  that  such  employee  seeks medical treatment
outside the preferred provider organization the employer may  require  a
second  opinion  from a provider within the preferred provider organiza-
tion.  FOR COLLECTIVE BARGAINING AGREEMENTS ENTERED  INTO  BEFORE  APRIL
FIRST,  TWO  THOUSAND  SIXTEEN,  THE EMPLOYEE MAY SEEK MEDICAL TREATMENT
FROM OUTSIDE A PREFERRED PROVIDER ORGANIZATION THIRTY DAYS AFTER HIS  OR
HER FIRST VISIT WITH THE PREFERRED PROVIDER ORGANIZATION.
  S 26. Paragraphs 1 and 2 and subparagraph (a) of paragraph 5 of subdi-
vision  3-a  of section 50 of the workers' compensation law, paragraph 1
and subparagraph (a) of paragraph 5 as amended by  chapter  139  of  the
laws of 2008 and paragraph 2 and subsection (d)(1)(e) of paragraph 5 and
subsection (a) of paragraph 6 of subdivision 3-a as amended by section 4
of  part  G  of  chapter  57 of the laws of 2011, are amended to read as
follows:
  (1) Definitions. As used in this chapter the  term  "employers"  shall
include:  (a) employers with related activity in a given industry [which
shall include municipal corporations as that term is defined in sections
two and six-n of the  general  municipal  law,]  employing  persons  who
perform  work in connection with the given industry, (b) an incorporated
or unincorporated association or associations consisting exclusively  of
such  employers  provided  they  employ persons who perform such related
work in the given industry,  and  (c)  a  combination  of  employers  as
described  in subparagraph (a) hereof and an association or associations
of employers as described in subparagraph (b) hereof.
  (2) (a) Any group consisting exclusively of such employers may adopt a
plan for self-insurance, as a group, for  the  payment  of  compensation
under  this  chapter  to  their employees, except that no new groups may
adopt such a plan, and no group not composed solely of  public  entities
set forth in [paragraph a of] subdivision [four] THREE-F of this section
may insure any liabilities for any employers on and after January first,
two  thousand  twelve,  except  as provided for in paragraph ten of this
subdivision. Under such plan the group shall assume the liability of all
the employers within the group and pay all compensation  for  which  the
said  employers  are liable under this chapter[, except that in the case
of municipal corporations as herein defined no proof of financial abili-

S. 6405--A                         51                         A. 9005--A

ty or deposit of securities or cash need be made in compliance with this
subdivision]. The group qualifying under this subdivision shall be known
as a group self-insurer and  the  employers  participating  therein  and
covered thereby shall be known as members.
  (b)  Where such plan is adopted the group self-insurer, EXCEPT A GROUP
COMPOSED SOLELY OF PUBLIC ENTITIES SET FORTH IN SUBDIVISION  THREE-F  OF
THIS  SECTION,  shall  furnish  satisfactory  proof  to the chair of its
financial ability to pay such compensation for the members in the indus-
try covered by it, its revenues, their source and assurance  of  contin-
uance.  The chair shall require the deposit with the chair of such secu-
rities as may be deemed necessary of the kind prescribed in subdivisions
one, two, three, four and five, and subparagraph (a) of paragraph  three
of  subdivision  seven of section two hundred thirty-five of the banking
law or the deposit of cash or the filing of irrevocable letters of cred-
it issued by a qualified banking institution as defined by rules promul-
gated by the chair or the filing of a bond of a surety  company  author-
ized  to  transact business in this state, in an amount to be determined
to secure its liability to pay the  compensation  of  each  employer  as
above  provided.    Such  surety bond must be approved as to form by the
chair. The chair shall require each group self-insurer to provide  regu-
lar reports no less than annually, which shall include but not be limit-
ed  to  audited  financial  statements,  actuarial  opinions and payroll
information containing proof that it is fully funded. Such reports shall
also include a contribution year analysis  detailing  contributions  and
expenses  associated  with each specific contribution year. For purposes
of this paragraph, proof that a group self-insurer is fully funded shall
at a minimum include proof of unrestricted cash and investments  permit-
ted  by  regulation  of the chair of at least one hundred percent of the
total liabilities, including the estimate  presented  in  the  actuarial
opinion  submitted  by  the  group  self-insurer in accordance with this
chapter. The chair by regulation, may set  further  financial  standards
for  group self-insurers. Any group self-insurer that fails to show that
it is fully funded shall be deemed underfunded, and must submit  a  plan
for achieving fully funded status which may include a deficit assessment
on members of such group self-insurer which shall be subject to approval
or modification by the chair.
  (c)  The  chair shall evaluate, no less than once every three years, a
group  self-insurer's  compliance  with  the  financial  and  regulatory
requirements  for  self-insurance.  The  chair  may engage any qualified
person or organization to assist with  such  evaluation  and  any  costs
incurred  by  the  chair  shall be borne by the group self-insurer under
examination. Failure to submit to such independent review or to pay such
costs, upon demand of the chair, shall be sufficient grounds  to  termi-
nate coverage of the group self-insurer.
  (d)  The chair may require reports to be prepared by an auditor, actu-
ary or other consultant, selected  by  the  board  or,  at  the  chair's
discretion, by the group self-insurer from a list which shall be pre-ap-
proved  by  the  chair to determine whether the group self-insurer meets
the financial criteria for self-insurance.  All  actuaries  so  selected
shall be fellows or associates of the casualty actuarial society.
  (e)  The chair may also require that any and all agreements, contracts
and other pertinent  documents  relating  to  the  organization  of  the
members in the group self-insurer shall be filed with the chair.
  (f)  The  chair  shall  have the authority to revoke consent furnished
under this section at any time for good cause shown.

S. 6405--A                         52                         A. 9005--A

  (g) Prior to the requested effective date of the participating  agree-
ment,  a  group self-insurer shall notify the chair on a prescribed form
of a new group self-insurer member and file (1) a member application and
(2) a copy of the properly executed prescribed  participation  agreement
wherein  the  member acknowledges their joint and several obligation for
their period of membership. The board shall, on a  form  promulgated  by
the chair, provide notice of the member's rights and responsibilities as
a  group self-insurer member, including the member's assumption of joint
and several liability, and require the member to return a signed copy to
the chair as a condition of membership.
  (h) Any member terminating membership in a PRIVATE group  self-insurer
after  less  than four years in such PRIVATE group self-insurer, and any
member in a group self-insurer that has defaulted,  shall  be  precluded
from  obtaining prospective coverage from any PRIVATE group self-insurer
for a period of at least three years from the effective date  of  termi-
nation.
  (a) Each PRIVATE group self-insurer shall, AND EACH GROUP SELF-INSURER
MAY,  shall secure the services of a group administrator to be responsi-
ble  for  assisting  the  group  self-insurer  in  complying  with   the
provisions  of  this  section  and the rules and regulations promulgated
hereunder, and for coordinating services including but  not  limited  to
claims   processing,  loss  control,  legal,  accounting  and  actuarial
services. No person, firm or corporation shall coordinate such  services
or otherwise carry out the tasks of a group administrator as provided in
this subdivision or in the regulations issued pursuant thereto on behalf
of  a group self-insurer unless such person shall have obtained from the
chair a license authorizing it to act as a group  self-insurer  adminis-
trator,  which  license  may  be revoked for good cause. The chair shall
promulgate regulations setting forth any additional  qualifications  for
such  license,  governing the conduct and compensation of group self-in-
surer administrators, and setting a license fee in an  amount  not  less
than  five  thousand  dollars  per  year for such license for each group
self-insurer the administrator  administers.  Each  administrator  shall
post  a  bond  in  the  amount of five hundred thousand dollars for each
group self-insurer administered or such other amount as may  be  set  by
the  chair  based  on the cost and availability of such bond, from which
the chair may recover any recoveries or penalties against  the  adminis-
trator  under  this  section.  Nothing in this section shall relieve the
trustees of a group self-insurer of any fiduciary obligation  they  hold
to the other members of such group self-insurer.
  (5)(d)(1)e.  the  number  and  amount  of  rate deviations provided to
members during the prior year and whether  the  recipient  of  any  such
deviation was a trustee, PROVIDED THAT THE APPLICATION OF RATING FACTORS
IN  A  MANNER  CONSISTENT  WITH THE FILED RATING PLAN IS NOT A DEVIATION
WHICH MUST BE REPORTED UNDER THIS SUBSECTION;
  (6)(a) Group self-insurers must file with the board, as soon as  prac-
ticable but no later than sixty days prior to the start of the fund year
a  rating plan which is supported by an actuarial rate study prepared by
an independent, qualified actuary that is a fellow or associate  of  the
casualty  actuarial society, that clearly identifies the actuary's indi-
cated rate assumptions therein. The rating plan must apply  consistently
to  all  members,  and  must  provide  for a common renewal date for all
PRIVATE group self-insurer members. The  rates  filed  can  be  adjusted
based  on  an  experience  modification  calculated  for every member in
accordance with the experience rating plan promulgated by  the  workers'
compensation  rating  board.  Experience  modification  formulas must be

S. 6405--A                         53                         A. 9005--A

applied identically to all members. Other rate deviations may be permis-
sible provided a plan has been approved by the  board.  Such  deviations
shall  not  be  in excess of ten percent of the actuary's indicated rate
unless otherwise approved by the board for a fully funded group self-in-
surer,  and  shall in no event result in amounts less than the actuary's
overall indicated rate. The chair by regulation  may  set  further  rate
plan and actuarial reporting standards.
  S  27.  Paragraph (g) of subdivision 3-e of section 50 of the workers'
compensation law is amended as follows and  a  new  subdivision  3-f  is
added to read as follows:
  (g)  The state insurance fund, any other insurer or any group self-in-
surer for municipal corporations as  defined  in  subdivision  [three-a]
THREE-F  of  this  section  may, at its option, offer a deductible in an
amount specified in paragraph (c) of this subdivision to any policyhold-
er who is not otherwise eligible for a deductible  under  this  subdivi-
sion.
  3-F.  (1)  ANY  GROUP CONSISTING EXCLUSIVELY OF MUNICIPAL CORPORATIONS
AND PUBLIC CORPORATIONS AS THOSE TERMS ARE DEFINED IN SECTION  SIXTY-SIX
OF THE GENERAL CONSTRUCTION LAW, COUNTY SELF-INSURANCE PLANS ESTABLISHED
UNDER  ARTICLE  FIVE  OF THIS CHAPTER, BOARDS OF COOPERATIVE EDUCATIONAL
SERVICES AND CONSORTIA ESTABLISHED BY BOARDS OF COOPERATIVE  EDUCATIONAL
SERVICES  MAY  ADOPT  A  PLAN  FOR  SELF-INSURANCE,  AS A GROUP, FOR THE
PAYMENT OF COMPENSATION UNDER THIS CHAPTER TO  THEIR  EMPLOYEES.    SUCH
GROUP  SHALL BE KNOWN AS A "PUBLIC GROUP SELF-INSURER". ALL OTHER GROUPS
ESTABLISHED UNDER THIS SECTION FIFTY ARE "PRIVATE GROUP  SELF-INSURERS".
A  COUNTY  OF SELF-INSURANCE PLAN ESTABLISHED UNDER ARTICLE FIVE OF THIS
CHAPTER IS NOT ITSELF A PUBLIC GROUP SELF-INSURER,  AND  IS  NOT  ITSELF
SUBJECT TO THE REQUIREMENTS OF THIS SECTION, BUT MAY JOIN A PUBLIC GROUP
SELF-INSURER  AND, IF IT DOES SO, SHALL ASSUME ALL OF THE OBLIGATIONS OF
ITS PARTICIPANTS TO THE PUBLIC GROUP SELF-INSURER. NO  ENTITY  WHICH  IS
NOT  A  MUNICIPAL  CORPORATION  AS  DEFINED  IN SECTION SIXTY-SIX OF THE
GENERAL CONSTRUCTION LAW, A COUNTY SELF-INSURANCE PLAN ESTABLISHED UNDER
ARTICLE FIVE OF THIS CHAPTER, OR A CONSORTIUM ESTABLISHED BY A BOARD  OF
COOPERATIVE  EDUCATIONAL  SERVICES, MAY JOIN A PUBLIC GROUP SELF-INSURER
UNLESS IT MAY LEVY TAXES OR IS OTHERWISE DIRECTLY CAPABLE OF  GENERATING
REVENUE  IN  THE  EVENT  OF A FUNDING DEFICIENCY WITHIN THE PUBLIC GROUP
SELF-INSURER, OR ITS OBLIGATIONS ARE GUARANTEED BY ANOTHER MEMBER  WHICH
IS  SUCH  A  MUNICIPAL  CORPORATION.  A  PUBLIC GROUP SELF-INSURER SHALL
COMPLY WITH ALL OF THE  REQUIREMENTS  OF  SUBDIVISION  THREE-A  OF  THIS
SECTION;  PROVIDED HOWEVER THAT NO PROOF OF FINANCIAL ABILITY TO PAY THE
COMPENSATION PROVIDED FOR BY THIS CHAPTER OR DEPOSIT OF SECURITIES SHALL
BE REQUIRED AND, IN LIEU THEREOF, THE JOINT AND SEVERAL LIABILITY OF THE
PUBLIC GROUP SELF-INSURER'S MEMBERS SHALL SERVE AS THE SECURITY REQUIRED
UNDER PARAGRAPH TWO OF SUBDIVISION THREE-A OF THIS  SECTION.  THE  CHAIR
SHALL IMPLEMENT THE PROVISIONS OF THIS SUBDIVISION BY PROMULGATING RULES
AND REGULATIONS BUT NO SUCH RULES AND REGULATIONS SHALL BE NECESSARY FOR
ANY PROVISIONS OF THIS SUBDIVISION TO BE EFFECTIVE.
  (2)  A  PUBLIC GROUP SELF-INSURER AS DEFINED HEREIN MAY OFFER, AS PART
OF THE AGREEMENT OR BY ENDORSEMENT, DEDUCTIBLES OPTIONAL TO  THE  MEMBER
FOR  BENEFITS  PAYABLE  UNDER THE AGREEMENT, UPON A DETERMINATION BY THE
CHAIR THAT THE PLAN IS SUPPORTED BY AN ACTUARIAL ANALYSIS PREPARED BY AN
INDEPENDENT, QUALIFIED ACTUARY WHO IS A MEMBER OF THE CASUALTY ACTUARIAL
SOCIETY THAT CLEARLY IDENTIFIES THE ACTUARY'S INDICATED DEDUCTIBLE CRED-
IT AND RATE ASSUMPTIONS, AND SUBJECT TO UNDERWRITING BY THE PUBLIC GROUP
SELF-INSURER, CONSISTENT WITH THE FOLLOWING STANDARDS OR FACTORS:

S. 6405--A                         54                         A. 9005--A

  (A) CLAIMANTS' RIGHTS ARE PROPERLY PROTECTED AND  CLAIMANTS'  BENEFITS
ARE PAID WITHOUT REGARD TO ANY SUCH DEDUCTIBLE;
  (B)  APPROPRIATE  PREMIUM REDUCTIONS REFLECT THE TYPE AND LEVEL OF ANY
DEDUCTIBLE APPROVED BY THE CHAIRMAN AND SELECTED BY THE MEMBER;
  (C) PREMIUM REDUCTIONS FOR DEDUCTIBLES ARE DETERMINED BEFORE  APPLICA-
TION  OF  ANY  EXPERIENCE  MODIFICATION,  PREMIUM  SURCHARGE, OR PREMIUM
DISCOUNT;
  (D) RECOGNITION IS GIVEN TO MEMBER  CHARACTERISTICS,  INCLUDING  SIZE,
FINANCIAL CAPABILITIES, NATURE OF ACTIVITIES, AND NUMBER OF EMPLOYEES;
  (E)  IF  THE  MEMBER SELECTS A DEDUCTIBLE, THE MEMBER IS LIABLE TO THE
PUBLIC GROUP SELF-INSURER FOR THE DEDUCTIBLE AMOUNT IN REGARD  TO  BENE-
FITS PAID FOR COMPENSABLE CLAIMS;
  (F)  THE  PUBLIC GROUP SELF-INSURER PAYS ALL OF THE DEDUCTIBLE AMOUNT,
APPLICABLE TO A COMPENSABLE CLAIM, TO THE PERSON OR PROVIDER ENTITLED TO
BENEFITS AND REQUIRES THE MEMBER TO PAY TO IT IN ADVANCE AN AMOUNT ACTU-
ARIALLY DETERMINED TO BE SUFFICIENT TO PAY THE PORTION  OF  THE  COMPEN-
SATION  CLAIM  THAT  IS  WITHIN  THE DEDUCTIBLE AMOUNT AS THOSE PAYMENTS
BECOME DUE; PROVIDED THAT SUCH PERIODIC PAYMENTS SHALL BE  PAID  TO  THE
PUBLIC GROUP SELF-INSURER IN INTERVALS OF NO GREATER OF SIX MONTHS; AND
  (G)  FAILURE  TO  REIMBURSE  DEDUCTIBLE  AMOUNTS  BY THE MEMBER TO THE
PUBLIC GROUP SELF-INSURER IS TREATED UNDER THE COVERAGE AGREEMENT IN THE
SAME MANNER AS NONPAYMENT OF CONTRIBUTIONS.
  (3) IF, IN THE DETERMINATION OF THE CHAIR, A PUBLIC GROUP SELF-INSURER
BECOMES INSOLVENT OR OTHERWISE DEFAULTS ON ITS OBLIGATIONS,  THE  INSOL-
VENT  GROUP  WILL  REQUIRE  EACH  MEMBER AND EACH FORMER MEMBER TO PAY A
SUPPLEMENTAL ASSESSMENT IN AN AMOUNT SUFFICIENT TO MAKE THE PUBLIC GROUP
SELF-INSURER SOLVENT BASED UPON A FORMULA TO BE ESTABLISHED BY THE CHAIR
IN REGULATIONS WHICH CONSIDERS THE  MEMBERS'  ANNUAL  CONTRIBUTIONS  AND
LOSS  EXPERIENCE;  PROVIDED  HOWEVER,  NOTHING HEREIN SHALL PRECLUDE THE
CHAIR FROM DIRECTING THAT AN UNDERFUNDED PUBLIC GROUP SELF-INSURER  LEVY
AN  ASSESSMENT  ON ITS MEMBERS AS PART OF A PLAN IMPLEMENTED PURSUANT TO
SUBPARAGRAPH TWO (B) OF SECTION 3-A OF THIS SECTION FIFTY.  AS  USED  IN
THIS   PROVISION,   INSOLVENT   MEANS   THE  SUM  OF  THE  PUBLIC  GROUP
SELF-INSURER'S ASSETS BEING LESS THAN THE  TOTAL  COST  OF  ALL  OF  THE
PUBLIC  GROUP  SELF-INSURER'S  ANTICIPATED WORKERS' COMPENSATION LIABIL-
ITIES THAT WILL ACCRUE WITHIN THE SUCCEEDING SIX MONTHS.  IF AN  ASSESS-
MENT  IS  NOT  SUFFICIENT  TO  CURE  THE INSOLVENCY OR DEFAULT, (I) EACH
MEMBER AND ANY FORMER MEMBER WILL BE JOINTLY AND  SEVERALLY  LIABLE  FOR
THE  REMAINING DEFICIT; AND (II) WHENEVER THE CHAIR SHALL DETERMINE THAT
THE COMPENSATION AND BENEFITS PROVIDED BY THIS CHAPTER MAY BE UNPAID  BY
REASON  OF  THE  DEFAULT OF A PUBLIC GROUP SELF-INSURER, THE CHAIR SHALL
PAY SUCH COMPENSATION  AND  BENEFITS  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. SUCH
PAYMENTS SHALL BE CONSIDERED EXPENSES OF ADMINISTRATION. THE CHAIR SHALL
BE REIMBURSED THEREFOR FROM ANY MEMBER OF THE PUBLIC GROUP SELF-INSURER,
FIRST PURSUANT TO THE SUPPLEMENTAL ASSESSMENT FORMULA REFERENCED HEREIN,
BUT IN ANY EVENT WHERE NECESSARY, ON A JOINT AND SEVERAL BASIS.
  S 28.  The section heading and subdivisions 1, 2, 3 and 4  of  section
1680-l  of the public authorities law, as added by chapter 6 of the laws
of 2007, are amended to read as follows:
  [The special] SPECIAL disability fund  AND  FUND  FOR  REOPENED  CASES
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

S. 6405--A                         55                         A. 9005--A

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.
  (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 subparagraph five of  para-
graph  (h)  of  subdivision  eight  of  section  fifteen 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 agreement" means [any agreement authorized pursuant to
subdivision four of this section between the chair and the  commissioner
of taxation and finance, and the authority] EACH OR ANY SPECIAL DISABIL-
ITY FUND FINANCING AGREEMENT OR FUND FOR REOPENED CASES FINANCING AGREE-
MENT, AS APPLICABLE.
  (k)  "Financing costs" means all costs of issuance, capitalized inter-
est, capitalized operating expenses of the authority  and,  pursuant  to
the  financing  agreement, the initial capitalized operating expenses of
the waiver agreement management office and debt service reserves,  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 limitation, any net original issue discount.
  (l)  "FUND  FOR REOPENED CASES FINANCING AGREEMENT" MEANS AN AGREEMENT
AUTHORIZED AND CREATED PURSUANT TO SUBDIVISION FOUR OF THIS SECTION  AND
TO  SUBDIVISION  FOUR  OF  SECTION TWENTY-FIVE-A OF THE WORKERS' COMPEN-
SATION LAW, AS SUCH AGREEMENT MAY BE AMENDED.
  (M) "Investment securities" means:  (i)  general  obligations  of,  or
obligations  guaranteed by, any state of the United States of America or
political subdivision thereof, or the District of Columbia or any agency
or instrumentality of any of them, receiving one of  the  three  highest
long-term unsecured debt rating categories available for such securities
of  at  least  one  independent  rating  agency, or (ii) certificates of
deposit,  savings  accounts,  time  deposits  or  other  obligations  or
accounts  of  banks  or  trust  companies  in the state, secured, if the
authority shall so require, in such  manner  as  the  authority  may  so
determine,  or  (iii) obligations in which the comptroller is authorized
to invest pursuant to either section ninety-eight or  ninety-eight-a  of
the  state  finance  law,  or (iv) investments which the commissioner of
taxation and finance is permitted to make with surplus or reserve moneys
of the special disability fund under subparagraph seven of paragraph (h)

S. 6405--A                         56                         A. 9005--A

of subdivision eight of section fifteen  of  the  workers'  compensation
law.
  [(m)]  (N) "Interest rate exchange or similar agreement" means a writ-
ten 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.
  [(n)] (O) "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 financing agreement.
  [(o)] (P) "Operating expenses" means the reasonable or necessary oper-
ating expenses of the authority for purposes of this section, including,
without  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.
  [(p)]  (Q)  "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
thereof.
  [(q)]  (R)  "Pledged  assessments  revenues",  "pledged  revenues"  or
"pledged assessments" means: (I) WITH RESPECT TO BONDS ISSUED  PRIOR  TO
MARCH  THIRTY-FIRST,  TWO  THOUSAND  THIRTEEN  PURSUANT TO THIS SECTION,
EITHER receipts of special disability fund assessments imposed  pursuant
to  subparagraph  four  of paragraph (h) of subdivision eight of section
fifteen of the workers' compensation law and pledged for the payment  of
debt  service  on the bonds, RECEIPTS OF ASSESSMENTS FOR ANNUAL EXPENSES
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 THE SAME; AND (II) WITH RESPECT TO BONDS ISSUED ON
OR SUBSEQUENT TO MARCH THIRTY-FIRST, TWO THOUSAND THIRTEEN  PURSUANT  TO
THIS SECTION, EITHER RECEIPTS OF SUCH ASSESSMENTS FOR ANNUAL EXPENSES or
amounts  due pursuant to an ancillary bond facility, including the right
to receive same.
  [(r)] (S) "State" means the state of New York.
  [(s)] (T) "Special  disability  fund  financing  agreement"  means  an
agreement  authorized  and  created pursuant to SUBDIVISION FOUR OF THIS
SECTION  AND TO subparagraph five of paragraph (h) of subdivision  eight
of  section  fifteen  of  the workers' compensation law, as [same by its
terms and bond proceedings,] SUCH AGREEMENT may be amended.
  [(t)] (U) "Waiver agreement"  means  waiver  agreements  entered  into
pursuant to section thirty-two of the workers' compensation law.
  [(u)]  (V)  "Waiver agreement management office" shall mean the office
described in paragraph (e) of section thirty-two of the workers' compen-
sation law.
  (W) "WORKERS' COMPENSATION LIABILITY INSURANCE POLICY" OR  "ASSUMPTION
OF  WORKERS'  COMPENSATION  LIABILITY INSURANCE POLICY" MEANS ANY POLICY
EXECUTED BY THE CHAIR PURSUANT TO SUBDIVISION (I) OF SECTION  THIRTY-TWO
OR  SUBDIVISION  THREE  OF SECTION TWENTY-FIVE-A OF THE WORKERS' COMPEN-
SATION LAW PROVIDING FOR THE ASSUMPTION OF ALL OR PART OF  SUCH  FURTHER
AND  FUTURE CONTINGENT WORKERS' COMPENSATION LIABILITY AS MAY ARISE FROM

S. 6405--A                         57                         A. 9005--A

PRIOR INJURIES TO WORKERS. SUCH POLICY SHALL BE IN A  FORM  APPROVED  BY
THE  SUPERINTENDENT OF FINANCIAL SERVICES AND ISSUED BY THE STATE INSUR-
ANCE FUND OR ANY INSURANCE COMPANY  LICENSED  TO  ISSUE  THIS  CLASS  OF
INSURANCE  IN  THIS STATE. IN THE EVENT THAT SUCH POLICY IS ISSUED BY AN
INSURANCE COMPANY OTHER THAN THE STATE INSURANCE FUND, THEN SUCH  POLICY
SHALL BE DEEMED OF THE KIND SPECIFIED IN PARAGRAPH FIFTEEN OF SUBSECTION
(A)  OF  SECTION  ONE THOUSAND ONE HUNDRED THIRTEEN OF THE INSURANCE LAW
AND COVERED BY THE WORKERS' COMPENSATION SECURITY FUND  AS  CREATED  AND
GOVERNED BY ARTICLE SIX-A OF THE WORKERS' COMPENSATION LAW. SUCH A POLI-
CY  SHALL  ONLY  BE ISSUED FOR A SINGLE COMPLETE PREMIUM PAYMENT THAT IS
PAYABLE IN ADVANCE AND IN AN AMOUNT DEEMED ACCEPTABLE BY THE  CHAIR  AND
THE  SUPERINTENDENT OF FINANCIAL SERVICES. WHEN ISSUED SUCH POLICY SHALL
BE NONCANCELLABLE WITHOUT RECOURSE FOR ANY CAUSE DURING THE  CONTINUANCE
OF THE LIABILITY SECURED AND SO COVERED.
  2.  The  authority  is hereby authorized to ISSUE BONDS TO finance the
special disability fund established  by  paragraph  (h)  of  subdivision
eight  of  section fifteen of the workers' compensation law and to enter
into one or more special disability fund financing agreements  described
in  such  subdivision  AND AUTHORIZED TO ISSUE BONDS TO FINANCE THE FUND
FOR  REOPENED  CASES  ESTABLISHED  BY  SUBDIVISION  THREE   OF   SECTION
TWENTY-FIVE-A  OF THE WORKERS' COMPENSATION LAW AND TO ENTER INTO ONE OR
MORE FUND FOR REOPENED CASES FINANCING AGREEMENTS DESCRIBED IN  SUBDIVI-
SION  FOUR  OF  SUCH SECTION.   All of the provisions of the [authority]
PUBLIC AUTHORITIES LAW relating to bonds  and  notes  OF  THE  DORMATORY
AUTHORITY  GENERALLY  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 and shall not include liabilities,  assets  or  revenues
other  than  liabilities,  assets or revenues derived from the authority
solely from the special disability fund.]
  3. It is found and declared that the special disability fund  AND  THE
FUND  FOR REOPENED CASES no longer [serves] SERVE the purposes for which
[it was] THEY WERE created, [adds]  ADD  to  the  time  and  expense  of
proceedings  before  the  workers'  compensation board and to employers'
costs for workers' compensation insurance; that the creation and  opera-
tion  of  a  waiver  agreement management office of the workers' compen-
sation board, to manage, maintain and  negotiate  waiver  agreements  on
behalf  of  the  special disability fund AND FUND FOR REOPENED CASES can
reduce the  special  disability  fund's  AND  FUND  FOR  REOPENED  CASES
unfunded liability; that the reduction of such liability and the closing
of  the  fund  to  new claims will over the long term reduce assessments
paid to the [fund] FUNDS by insurance carriers,  self-insurers  and  the
state  insurance  fund, as well as the employers to whom these costs are
passed on; that in the absence of this section the annual cost of [such]
assessments TO EMPLOYERS is expected to rise;  that  the  settlement  of
claims  and  other actions undertaken by the waiver agreement management
office will lower the administrative costs of insurance carriers,  self-
insurers  and the state insurance fund; [that revenue obligations issued
by the authority and secured by a special  assessment  annually  levied,
imposed  and collected on and from insurance carriers, self-insurers and
the state insurance fund for the governmental purpose of funding  waiver
agreements]  THAT  UNFUNDED  SPECIAL  DISABILITY  FUND  LIABILITIES  AND
UNFUNDED CLAIMS PAYABLE FROM THE FUND FOR REOPENED  CASES  WILL,  ABSENT
PROVISION  FOR  LONG-TERM  FINANCING,  RESULT  IN IMPOSITION OF COSTS ON

S. 6405--A                         58                         A. 9005--A

EMPLOYERS THROUGH ASSESSMENTS; THAT SUCH  UNFUNDED  LIABILITIES,  CLAIMS
AND   ASSESSMENTS   MAY   HAVE  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  LIABILITIES
AND CLAIMS; THAT FINANCING WILL ALLOW THE WORKERS' COMPENSATION BOARD TO
FUND  WAIVER  AGREEMENTS AND CONTRACT AWARDS AND TO PURCHASE ONE OR MORE
ASSUMPTION OF WORKERS' COMPENSATION LIABILITY  INSURANCE  POLICIES  THAT
WILL  LIMIT  THE  LONG  TERM  LOSSES FROM THESE UNFUNDED LIABILITIES AND
CLAIMS; THAT BONDS ISSUED BY THE AUTHORITY AND  SECURED  BY  ASSESSMENTS
LEVIED,  FOR  THE GOVERNMENTAL PURPOSE OF FUNDING WAIVER AGREEMENTS WITH
RESPECT TO THE SPECIAL DISABILITY  FUND  AND  FUNDING  CONTRACT  AWARDS,
ASSUMPTION  OF  WORKERS'  COMPENSATION  LIABILITY INSURANCE POLICIES AND
ANTICIPATED LIABILITIES WITH RESPECT TO THE SPECIAL DISABILITY FUND  AND
THE  FUND  FOR  REOPENED CASES amortized over a substantial period would
allow the state to settle and  otherwise  manage  [claims]  THE  SPECIAL
DISABILITY FUND AND FUND FOR REOPENED CASES CLAIMS AND TO REDUCE SPECIAL
DISABILITY FUND AND FUND FOR REOPENED CASES CLAIMS as a means for reduc-
ing  the  fund's  liabilities  and  the  assessments needed to pay them,
thereby furthering the policy of the state to reduce the costs of  work-
ers' compensation and to improve the business climate in the state while
compensating injured workers and honoring the obligations of the special
disability  fund  AND  FUND  FOR  REOPENED  CASES; that all costs of the
authority in relation to this section shall be paid from assessments set
forth in paragraph (h) of subdivision eight of section  fifteen  AND  IN
SECTION  ONE  HUNDRED  FIFTY-ONE  of  the workers' compensation law; and
that, therefore, the provisions of this section are for the public bene-
fit and good and the authorization as provided in this  section  of  the
issuance of revenue obligations of the authority is declared to be for a
public purpose and the exercise of an essential governmental function.
  4. (a) The authority, the commissioner of taxation and finance and the
chair,  [in]  AFTER consultation with THE DIRECTOR OF THE BUDGET AND the
special disability fund advisory committee  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 assessment and enforcement of the assessments, the appli-
cation and use of the proceeds of the sale  of  bonds  to  preserve  the
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 APPLICABLE financing agreement and  this  section.  [The]  EACH
SPECIAL DISABILITY FUND financing agreement shall provide for the appli-
cation  of  the net bond proceeds, and such bond proceeds shall be used,
for any of the following  CORPORATE  purposes:  (i)  funding  of  waiver
agreements,  (ii)  payment of financing costs, (iii) funding anticipated
liabilities of the special disability fund, (iv) funding contract awards
pursuant to [subparagraph two of] paragraph [(h)] (I) of  section  thir-
ty-two  of  the  workers'  compensation  law  [and (v)], (V) FUNDING THE
PURCHASE OF ONE OR MORE ASSUMPTION OF  WORKERS'  COMPENSATION  LIABILITY
INSURANCE  POLICIES TO DISCHARGE THE LIABILITIES INCURRED UNDER SUBPARA-
GRAPH ONE OF PARAGRAPH (H) OF SUBDIVISION EIGHT OF  SECTION  FIFTEEN  OF
THE  WORKERS'  COMPENSATION  LAW AND (VI) SUCH OTHER PURPOSES AS ARE SET

S. 6405--A                         59                         A. 9005--A

FORTH IN THE FINANCING AGREEMENT. EACH FUND FOR REOPENED CASES FINANCING
AGREEMENT SHALL PROVIDE FOR THE APPLICATION OF THE  NET  BOND  PROCEEDS,
AND SUCH BOND PROCEEDS SHALL BE USED, FOR ANY OF THE FOLLOWING CORPORATE
PURPOSES:  (I)  PAYMENT  OF  FINANCING  COSTS,  (II) FUNDING ANTICIPATED
LIABILITIES OF THE FUND  FOR  REOPENED  CASES,  (III)  FUNDING  CONTRACT
AWARDS  PURSUANT  TO  SUBDIVISION  THREE OF SECTION TWENTY-FIVE-A OF THE
WORKERS' COMPENSATION LAW, (IV) FUNDING THE  PURCHASE  OF  ONE  OR  MORE
ASSUMPTION  OF  WORKERS'  COMPENSATION  LIABILITY  INSURANCE POLICIES TO
DISCHARGE THE LIABILITIES INCURRED OR TO BE INCURRED  UNDER  SUBDIVISION
THREE  OF SECTION TWENTY-FIVE-A OF THE WORKERS' COMPENSATION LAW AND (V)
such other purposes as are set forth in  the  financing  agreement.  Not
inconsistent  with  this section, the authority may provide restrictions
on the use and investment of net proceeds of the bonds and other amounts
in [the] ANY financing agreement or otherwise in a tax regulatory agree-
ment as necessary or desirable to assure that they are exempt from taxa-
tion.
  S 29. Paragraphs (a), (c), and (g) of subdivision 5 of section  1680-l
of  the  public  authorities  law,  as added by chapter 6 of the laws of
2007, subparagraph (i) of paragraph (a)  of  subdivision  5  as  further
amended  by section 104 of part A of chapter 62 of the laws of 2011, are
amended to read as follows:
  (a) (i) The authority shall have power and  is  hereby  authorized  to
issue  its  bonds at such times and in an aggregate principal amount not
to exceed an amount to be determined by the superintendent of  financial
services  as  necessary  to  address  all  or  a portion of the incurred
unfunded liabilities of the special disability  fund,  but  in  no  case
exceeding  twenty-five  percent of the unfunded liability of the special
disability fund as of a date no later  than  July  first,  two  thousand
seven,  as  certified  to  the authority by a qualified third party. The
bonds shall be issued for the [following] corporate purposes[: (A) fund-
ing of waiver agreements, (B) payment of financing  costs,  (C)  funding
anticipated  liabilities  of  the  special  disability fund, (D) funding
contract awards pursuant to paragraph two of subdivision (h) of  section
thirty-two  of the workers' compensation law and (E) such other purposes
as are set forth in the financing agreement] IDENTIFIED  IN  SUBDIVISION
FOUR-B  OF  THIS  SECTION AND IN THE APPLICABLE FINANCIAL AGREEMENT. The
foregoing limitation on outstanding aggregate principal shall not  apply
to prevent the issuance of bonds to refund bonds.
  (ii) Each issuance of bonds shall be authorized by a resolution of the
authority,  provided,  however, that any such resolution authorizing the
issuance of bonds 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 appropriate certificate of such authorized offi-
cer. Every issue of the bonds of the authority [for the special disabil-
ity fund] PURSUANT TO THIS SECTION 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 funds of the authority 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] AFTER consultation with  the  DIRECTOR
OF  BUDGET  AND special disability fund advisory committee to refund any
bonds issued under this section by the issuance of  new  bonds,  whether
the  bonds  to  be refunded have or have not matured, and to issue bonds

S. 6405--A                         60                         A. 9005--A

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.
  (c)  The  authority  may  sell  such bonds in such manner, 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 upon approval of the authority
and without any other approvals, filings, proceedings or  the  happening
of  any  other  conditions or things other than the approvals, findings,
proceedings, conditions, and things that are specified and  required  by
this  section[. Provided]; 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.
  (g) The authority may enter into, amend or terminate, as it determines
to be necessary or appropriate, any ancillary bond facility  [in]  AFTER
consultation  with  the  DIRECTOR  OF BUDGET AND special disability fund
advisory  committee  (i)  to  facilitate  the  issuance,  sale,  resale,
purchase,  repurchase  or  payment  of  bonds,  interest rate savings or
market diversification or the making or  performance  of  interest  rate
exchange or similar agreements, including without limitation bond insur-
ance,  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 investments 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], AFTER
consultation with the DIRECTOR OF BUDGET  AND  special  disability  fund
advisory  committee,  which  facility  may  include  without  limitation
contracts commonly known as interest rate  exchange  or  similar  agree-
ments, forward purchase contracts or guaranteed 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 (i) agreement which secures  bonds  of
the  authority  or (ii) investment, or contract providing for investment
of reserves or similar facility guaranteeing 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 afore-
said 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 determined by the  authority,
after  giving  due consideration to the creditworthiness of the counter-
party or other obligated party, including any rating by  any  nationally
recognized rating agency, and any other criteria as may be appropriate.
  S  30.  Subdivision 8 of section 1680-l of the public authorities law,
as added by chapter 6 of the  laws  of  2007,  is  amended  to  read  as
follows:

S. 6405--A                         61                         A. 9005--A

  8.  All monies of the authority from whatever source derived, THAT ARE
PLEDGED PURSUANT TO THIS SECTION, 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 with-
drawn  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 practica-
ble, and consistent with the requirements of  the  authority,  all  such
monies  shall  be  deposited in interest bearing accounts. The authority
shall have power, notwithstanding 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 SUCH 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.
  S 31. Paragraph (a) of subdivision 10 of section 1680-l of the  public
authorities  law,  as added by chapter 6 of the laws of 2007, is amended
to read as follows:
  (a) The state, solely with respect to the  resources  of  the  special
disability fund AND OF THE FUND FOR REOPENED CASES, AS APPLICABLE and as
set  forth  in  [the  special disability fund] EACH APPLICABLE 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 [special disability fund] APPLICABLE  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  and  other  revenues,  receipts,  funds  or  moneys
pledged  for  the  payment  of debt service requirements in each year in
which bonds are outstanding, and (iii) further, that the state (A)  will
not materially limit or alter the duties imposed on the workers' compen-
sation  board,  the  authority  and  other officers of the state by [the
special disability fund] EACH APPLICABLE  financing  agreement  and  the
bond  proceedings  authorizing  the  issuance  of  bonds with respect to
application of pledged assessments or other revenues, receipts, funds or
moneys pledged for the payment of debt service  requirements,  (B)  will
not  issue  any  bonds,  notes or other evidences of indebtedness, other

S. 6405--A                         62                         A. 9005--A

than the bonds AUTHORIZED BY THIS SECTION, having any rights arising out
of paragraph (h) of subdivision eight of section fifteen of the workers'
compensation law, SUBDIVISION THREE  OF  SECTION  TWENTY-FIVE-A  OF  THE
WORKERS' COMPENSATION LAW, SECTION ONE HUNDRED FIFTY-ONE OF THE WORKERS'
COMPENSATION  LAW  or  this section or secured by any pledge of or other
lien or charge on the pledged  revenues  or  other  receipts,  funds  or
moneys  pledged for the payment of debt service requirements; EXCEPT FOR
BONDS AUTHORIZED UNDER SECTION FIFTY-C 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 special disability fund] EACH
APPLICABLE 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, modi-
fy,  rescind, repeal or otherwise alter the rights or obligations of the
appropriate officers of the state to impose, maintain, charge or collect
the assessments and other revenues or receipts 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, provided, however, (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
subclause 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 exercis-
ing 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.
  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 pledges
and  agreements  by  the  state,  the attorney general may in his or her
discretion enforce any and all provisions related to the  special  disa-
bility fund, without limitation.
  S  32.  Paragraph (t) of subdivision 1 of section 1680-q of the public
authorities law, as added by section 35 of part GG of chapter 57 of  the
laws of 2013, is amended to read as follows:
  (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,] SUCH AGREEMENT may be amended.

S. 6405--A                         63                         A. 9005--A

  S  33.  Subdivision 1 of section 1680-q of the public authorities law,
as added by section 35 of part GG of chapter 57 of the laws of 2013,  is
amended by adding a new paragraph (u) to read as follows:
  (U)  "WORKERS' COMPENSATION LIABILITY INSURANCE POLICY" OR "ASSUMPTION
OF WORKERS' COMPENSATION LIABILITY INSURANCE POLICY"  MEANS  ANY  POLICY
EXECUTED  OR  DEEMED  OWNED BY THE CHAIR PURSUANT TO SUBPARAGRAPH (A) OR
(C) OF PARAGRAPH SEVEN OF SUBDIVISION THREE-A OF SECTION  FIFTY  OF  THE
WORKERS' COMPENSATION LAW PROVIDING FOR THE ASSUMPTION OF ALL OR PART OF
SUCH  FURTHER  AND  FUTURE CONTINGENT WORKERS' COMPENSATION LIABILITY AS
MAY ARISE FROM PRIOR INJURIES TO WORKERS. SUCH POLICY SHALL BE IN A FORM
APPROVED BY THE SUPERINTENDENT OF FINANCIAL SERVICES AND ISSUED  BY  THE
STATE  INSURANCE  FUND  OR  ANY INSURANCE COMPANY LICENSED TO ISSUE THIS
CLASS OF INSURANCE IN THIS STATE. IN  THE  EVENT  THAT  SUCH  POLICY  IS
ISSUED BY AN INSURANCE COMPANY OTHER THAN THE STATE INSURANCE FUND, THEN
SUCH  POLICY  SHALL BE DEEMED OF THE KIND SPECIFIED IN PARAGRAPH FIFTEEN
OF SUBSECTION (A) OF SECTION ONE THOUSAND ONE HUNDRED  THIRTEEN  OF  THE
INSURANCE  LAW AND COVERED BY THE WORKERS' COMPENSATION SECURITY FUND AS
CREATED AND GOVERNED BY ARTICLE SIX-A OF THE WORKERS' COMPENSATION  LAW.
SUCH A POLICY SHALL ONLY BE ISSUED FOR A SINGLE COMPLETE PREMIUM PAYMENT
THAT  IS  PAYABLE  IN  ADVANCE AND IN AN AMOUNT DEEMED ACCEPTABLE BY THE
CHAIR AND THE SUPERINTENDENT OF FINANCIAL  SERVICES.  WHEN  ISSUED  SUCH
POLICY SHALL BE NONCANCELLABLE WITHOUT RECOURSE FOR ANY CAUSE DURING THE
CONTINUANCE OF THE LIABILITY SECURED AND SO COVERED.
  S  34.  Subdivision 2 of section 1680-q of the public authorities law,
as added by section 35 of part GG of chapter 57 of the laws of 2013,  is
REPEALED and a new subdivision 2 is added to read as follows:
  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 AND, TO
THE EXTENT APPLICABLE, SECTION 50(3)(C), OF  THE  WORKERS'  COMPENSATION
LAW.  ALL  OF  THE  PROVISIONS OF THE PUBLIC AUTHORITIES LAW RELATING TO
BONDS AND NOTES OF THE  DORMITORY  AUTHORITY  GENERALLY  WHICH  ARE  NOT
INCONSISTENT  WITH  THE  PROVISIONS OF THIS SECTION SHALL APPLY TO OBLI-
GATIONS 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.
  S  35. Subparagraph (iii) of paragraph (a) of subdivision 5 of section
1680-q of the public authorities law, as added by section 35 of part  GG
of chapter 57 of the laws of 2013, is amended to read as follows:
  (iii) The authority shall have the power and is hereby authorized from
time to time to issue bonds, [in] AFTER consultation with the chair, the
commissioner  of taxation and finance and the director of the budget, to
refund any bonds issued under this section by the issuance of new bonds,
whether 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 36. Paragraph (g) of subdivision 5 of section 1680-q of  the  public
authorities  law, as added by section 35 of part GG of chapter 57 of the
laws of 2013, is amended to read as follows:
  (g) The authority may enter into, amend or terminate, as it determines
to be necessary or appropriate, any ancillary bond facility  [in]  AFTER
consultation with the chair and director of the budget (i) to facilitate

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the  issuance,  sale,  resale, purchase, repurchase or payment of bonds,
interest rate  savings  or  market  diversification  or  the  making  or
performance  of  interest rate exchange or similar agreements, including
without  limitation  bond  insurance,  letters  of  credit and liquidity
facilities, (ii) to attempt to manage or hedge risk or achieve a desira-
ble effective interest rate or cash flow, or (iii) to  place  the  obli-
gations  or investments 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] AFTER consultation with the chair and  director
of  the  budget, which facility may include without limitation contracts
commonly known as interest rate exchange or similar agreements,  forward
purchase  contracts  or  guaranteed  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  guaranteeing  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 termi-
nation thereof is necessary or appropriate as aforesaid shall be conclu-
sive. Any ancillary bond facility may contain  such  payment,  security,
default, remedy, and termination provisions and payments and other terms
and  conditions as determined by the authority, after giving due consid-
eration 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.
  S 37. Subdivision 8 of section 1680-q of the public  authorities  law,
as  added by section 35 of part GG of chapter 57 of the laws of 2013, is
amended to read as follows:
  8. All monies of the authority from whatever source derived, THAT  ARE
PLEDGED  PURSUANT TO THIS SECTION, 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 with-
drawn 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  practica-
ble,  and  consistent  with  the requirements of the authority, all such
monies shall be deposited in interest bearing  accounts.  The  authority
shall  have  power,  notwithstanding  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 SUCH  monies  of
the authority not required for immediate use or disbursement may, at the

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discretion of the authority, be invested in accordance with law and such
guidelines as are approved by the authority.
  S 38. Clause (B) of subparagraph (iii) of paragraph (a) of subdivision
10  of section 1680-q of the public authorities law, as added by section
35 of part GG of chapter 57 of the laws of 2013, is amended to  read  as
follows:
  (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,  SECTION  ONE
HUNDRED  FIFTY-ONE  OF THE WORKERS' COMPENSATION LAW, or this section 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  author-
ized  under subdivision eight of section fifteen of the workers' compen-
sation law, OR UNDER SECTION TWENTY-FIVE-A OF THE WORKERS'  COMPENSATION
LAW.
  S  39.  The opening paragraph of section 3443 of the insurance law, as
added by chapter 924 of the laws of 1990, is amended to read as follows:
  An insurer issuing a workers' compensation  and  employers'  liability
insurance  policy,  [and a group self-insurer for municipal corporations
as defined in subdivision three-a  of  section  fifty  of  the  workers'
compensation  law,]  may offer, as part of the policy or by endorsement,
deductibles optional to the policyholder for benefits payable under  the
policy,  subject to approval by the superintendent and subject to under-
writing by the insurer,  consistent  with  the  following  standards  or
factors:
  S  40. This act shall take effect immediately; provided, however, that
sections eighteen and nineteen of this act shall take effect January  1,
2017.

                                 PART H

  Section  1.  Section 200 of the workers' compensation law, as added by
chapter 600 of the laws of 1949, is amended to read as follows:
  S 200. Short title. This article shall be known and may  be  cited  as
the "disability benefits law AND THE PAID FAMILY LEAVE BENEFITS LAW."
  S  2.  Subdivision 14 of section 201 of the workers' compensation law,
as added by chapter 600 of the laws of 1949 and as renumbered by chapter
438 of the laws of 1964, is amended and eleven new subdivisions 15,  16,
17, 18, 19, 20, 21, 22, 23, 24 and 25 are added to read as follows:
  14.  "A  day  of  disability"  means any day on which the employee was
prevented from performing work because of disability, INCLUDING ANY  DAY
WHICH THE EMPLOYEE USES FOR FAMILY CARE, and for which [he] THE EMPLOYEE
has not received his OR HER regular remuneration.
  15. "FAMILY LEAVE" SHALL MEAN ANY LEAVE TAKEN BY AN EMPLOYEE FROM WORK
TO  PARTICIPATE  IN  PROVIDING CARE, INCLUDING PHYSICAL OR PSYCHOLOGICAL
CARE, FOR A FAMILY MEMBER OF THE EMPLOYEE MADE NECESSARY  BY  A  SERIOUS
HEALTH  CONDITION  OF  THE FAMILY MEMBER; OR TO BOND WITH THE EMPLOYEE'S
CHILD DURING THE FIRST TWELVE MONTHS AFTER THE  CHILD'S  BIRTH,  OR  THE
FIRST  TWELVE  MONTHS  AFTER  THE PLACEMENT OF THE CHILD FOR ADOPTION OR
FOSTER CARE WITH THE EMPLOYEE; OR BECAUSE OF ANY QUALIFYING EXIGENCY  AS
INTERPRETED  UNDER  THE  FAMILY  AND  MEDICAL  LEAVE  ACT,  29 U.S.C.S S
2612(A)(1)(E) AND 29 C.F.R.   S.825.126(A)(1)-(8), ARISING  OUT  OF  THE
FACT THAT THE SPOUSE, DOMESTIC PARTNER, CHILD, OR PARENT OF THE EMPLOYEE
IS ON ACTIVE DUTY (OR HAS BEEN NOTIFIED OF AN IMPENDING CALL OR ORDER TO
ACTIVE DUTY) IN THE ARMED FORCES OF THE UNITED STATES.

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  16.  "CHILD" MEANS A BIOLOGICAL, ADOPTED, OR FOSTER SON OR DAUGHTER, A
STEPSON OR STEPDAUGHTER, A LEGAL WARD, A SON OR DAUGHTER OF  A  DOMESTIC
PARTNER, OR THE PERSON TO WHOM THE EMPLOYEE STANDS IN LOCO PARENTIS.
  17.  "DOMESTIC  PARTNER"  HAS THE SAME MEANING AS SET FORTH IN SECTION
FOUR OF THIS CHAPTER.
  18. "SERIOUS HEALTH CONDITION" MEANS AN ILLNESS,  INJURY,  IMPAIRMENT,
OR PHYSICAL OR MENTAL CONDITION THAT INVOLVES INPATIENT CARE IN A HOSPI-
TAL,  HOSPICE, OR RESIDENTIAL HEALTH CARE FACILITY, OR CONTINUING TREAT-
MENT OR CONTINUING SUPERVISION BY A HEALTH CARE PROVIDER  AND  REQUIRING
ASSISTANCE TO PERFORM THE ACTIVITIES OF DAILY LIVING.
  19.  "PARENT"  MEANS  A  BIOLOGICAL,  FOSTER,  OR  ADOPTIVE  PARENT, A
PARENT-IN-LAW, A STEPPARENT, A LEGAL GUARDIAN, OR OTHER PERSON WHO STOOD
IN LOCO PARENTIS TO THE EMPLOYEE WHEN THE EMPLOYEE WAS A CHILD.
  20. "FAMILY MEMBER" MEANS A CHILD,  PARENT,  GRANDPARENT,  GRANDCHILD,
SIBLING, SPOUSE, OR DOMESTIC PARTNER AS DEFINED IN THIS SECTION.
  21. "GRANDCHILD" MEANS A CHILD OF THE EMPLOYEE'S CHILD.
  22.  "HEALTH CARE PROVIDER" SHALL MEAN A PERSON LICENSED UNDER ARTICLE
ONE  HUNDRED  THIRTY-ONE,  ONE   HUNDRED   THIRTY-ONE-B,   ONE   HUNDRED
THIRTY-TWO,  ONE  HUNDRED  THIRTY-THREE,  ONE  HUNDRED  THIRTY-SIX,  ONE
HUNDRED THIRTY-NINE, ONE HUNDRED FORTY-ONE, ONE HUNDRED FORTY-THREE, ONE
HUNDRED FORTY-FOUR, ONE HUNDRED FIFTY-THREE, ONE HUNDRED FIFTY-FOUR, ONE
HUNDRED FIFTY-SIX OR ONE HUNDRED FIFTY-NINE OF THE EDUCATION  LAW  OR  A
PERSON  LICENSED  UNDER THE PUBLIC HEALTH LAW, ARTICLE ONE HUNDRED FORTY
OF THE EDUCATION LAW OR ARTICLE ONE HUNDRED SIXTY-THREE OF THE EDUCATION
LAW.
  23. "GRANDPARENT" MEANS A PARENT OF THE EMPLOYEE'S PARENT.
  24. "SIBLING" MEANS A PERSON  RELATED  TO  ANOTHER  PERSON  BY  BLOOD,
ADOPTION, OR AFFINITY THROUGH A COMMON LEGAL OR BIOLOGICAL PARENT.
  25. "FAMILY CARE" SHALL MEAN ANY LEAVE TAKEN BY AN EMPLOYEE FROM WORK:
  (A) TO PARTICIPATE IN PROVIDING CARE, INCLUDING PHYSICAL OR PSYCHOLOG-
ICAL CARE, FOR A FAMILY MEMBER OF THE EMPLOYEE MADE NECESSARY BY A SERI-
OUS HEALTH CONDITION OF THE FAMILY MEMBER; OR
  (B)  TO  BOND WITH THE EMPLOYEE'S CHILD DURING THE FIRST TWELVE MONTHS
AFTER THE CHILD'S BIRTH, OR THE FIRST TWELVE MONTHS AFTER THE  PLACEMENT
OF THE CHILD FOR ADOPTION OR FOSTER CARE WITH THE EMPLOYEE; OR
  (C) BECAUSE OF ANY QUALIFYING EXIGENCY AS INTERPRETED UNDER THE FAMILY
AND  MEDICAL  LEAVE  ACT,  29  U.S.C.  S  2612(A)(1)(E)  AND 29 C.F.R. S
825.126(A)(1)-(8), ARISING OUT OF THE FACT  THAT  THE  SPOUSE,  DOMESTIC
PARTNER,  CHILD, OR PARENT OF THE EMPLOYEE IS ON ACTIVE DUTY OR HAS BEEN
NOTIFIED OF AN IMPENDING CALL OR ORDER TO ACTIVE DUTY IN THE ARMED FORC-
ES OF THE UNITED STATES.
  S 3. Section 203 of the workers' compensation law, as amended by chap-
ter 436 of the laws of 1986, is amended to read as follows:
  S 203. Employees eligible for benefits under section two hundred  four
OF THIS ARTICLE.  Employees in employment of a covered employer for four
or  more  consecutive  weeks and employees in employment during the work
period usual to and available during such four or more consecutive weeks
in any trade or business in which they are  regularly  employed  and  in
which  hiring  from day to day of such employees is the usual employment
practice shall be eligible for disability AND FAMILY LEAVE  benefits  as
provided  in  section  two  hundred  four  OF THIS ARTICLE.   EVERY SUCH
EMPLOYEE SHALL CONTINUE TO BE ELIGIBLE FOR FAMILY  LEAVE  BENEFITS  ONLY
DURING  EMPLOYMENT  WITH  A  COVERED EMPLOYER. Every such employee shall
continue to be eligible FOR DISABILITY BENEFITS during  such  employment
and  for a period of four weeks after such employment terminates regard-
less of whether the employee  performs  any  work  for  remuneration  or

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profit  in  non-covered  employment. If during such four week period the
employee performs any  work  for  remuneration  or  profit  for  another
covered employer the employee shall become eligible for DISABILITY bene-
fits immediately with respect to that employment. In addition every such
employee  who HAS PREVIOUSLY COMPLETED FOUR OR MORE CONSECUTIVE WEEKS IN
EMPLOYMENT WITH THE COVERED EMPLOYER AND returns to work with  the  same
employer  after an agreed and specified unpaid leave of absence or vaca-
tion without pay shall become eligible for DISABILITY AND  FAMILY  LEAVE
benefits  immediately  with  respect to such employment. An employee who
during a period in which he or she is eligible to receive benefits under
subdivision two of section two hundred seven OF THIS ARTICLE returns  to
employment  with  a  covered  employer  and an employee who is currently
receiving unemployment insurance benefits or benefits under section  two
hundred  seven  OF  THIS  ARTICLE  and  who returns to employment with a
covered employer shall become eligible  for  DISABILITY  benefits  imme-
diately  with  respect to such employment.  An employee regularly in the
employment of a single employer on a work schedule less than the employ-
er's normal work week shall become eligible for  DISABILITY  AND  FAMILY
LEAVE  benefits  on  the twenty-fifth day of such regular employment. An
employee who [becomes disabled while] IS  eligible  for  DISABILITY  AND
FAMILY  LEAVE benefits in the employment of a covered employer shall not
be deemed, for the purposes of this article,  to  have  such  employment
terminated  during  any period he or she is eligible to receive benefits
under section two hundred four OF THIS  ARTICLE  with  respect  to  such
employment.
  S  4.  The  workers'  compensation  law is amended by adding three new
sections 203-a, 203-b and 203-c to read as follows:
  S 203-A. RETALIATORY  ACTION  PROHIBITED  FOR  FAMILY  LEAVE.  1.  THE
PROVISIONS OF SECTION ONE HUNDRED TWENTY OF THIS CHAPTER AND SECTION TWO
HUNDRED FORTY-ONE OF THIS ARTICLE SHALL BE APPLICABLE TO FAMILY LEAVE.
  2.  NOTHING  IN  THIS  SECTION SHALL BE DEEMED TO DIMINISH THE RIGHTS,
PRIVILEGES, OR REMEDIES OF ANY EMPLOYEE UNDER ANY COLLECTIVE  BARGAINING
AGREEMENT OR EMPLOYMENT CONTRACT.
  S  203-B.  REINSTATEMENT FOLLOWING FAMILY LEAVE. ANY ELIGIBLE EMPLOYEE
OF A COVERED EMPLOYER WHO TAKES LEAVE UNDER THIS SECTION SHALL BE  ENTI-
TLED,  ON  RETURN FROM SUCH LEAVE, TO BE RESTORED BY THE EMPLOYER TO THE
POSITION OF EMPLOYMENT HELD BY THE EMPLOYEE WHEN THE LEAVE COMMENCED, OR
TO BE RESTORED TO A COMPARABLE POSITION WITH COMPARABLE EMPLOYMENT BENE-
FITS, PAY AND OTHER TERMS AND CONDITIONS OF EMPLOYMENT.  THE  TAKING  OF
FAMILY  LEAVE  SHALL  NOT  RESULT  IN THE LOSS OF ANY EMPLOYMENT BENEFIT
ACCRUED PRIOR TO THE DATE ON WHICH THE LEAVE COMMENCED.  NOTHING IN THIS
SECTION SHALL BE CONSTRUED TO  ENTITLE  ANY  RESTORED  EMPLOYEE  TO  THE
ACCRUAL  OF  ANY  SENIORITY  OR EMPLOYMENT BENEFITS DURING ANY PERIOD OF
LEAVE, OR ANY RIGHT, BENEFIT OR POSITION TO  WHICH  THE  EMPLOYEE  WOULD
HAVE BEEN ENTITLED HAD THE EMPLOYEE NOT TAKEN THE LEAVE.
  S 203-C HEALTH INSURANCE DURING FAMILY LEAVE.
  IN  ACCORDANCE  WITH  THE  FAMILY  AND MEDICAL LEAVE ACT (29 U.S.C. SS
2601-2654), DURING ANY PERIOD OF FAMILY LEAVE THE EMPLOYER  SHALL  MAIN-
TAIN ANY EXISTING HEALTH BENEFITS OF THE EMPLOYEE IN FORCE FOR THE DURA-
TION  OF  SUCH  LEAVE  AS IF THE EMPLOYEE HAD CONTINUED TO WORK FROM THE
DATE HE OR SHE COMMENCED FAMILY LEAVE UNTIL THE DATE HE OR  SHE  RETURNS
TO EMPLOYMENT.
  S 5. Section 204 of the workers' compensation law, as added by chapter
600  of  the laws of 1949, subdivision 2 as amended by chapter 38 of the
laws of 1989, is amended to read as follows:

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  S 204. Disability AND FAMILY LEAVE during  employment.  1.  Disability
benefits  shall  be  payable  to  an  eligible employee for disabilities
[commencing after June thirtieth,  nineteen  hundred  fifty],  beginning
with  the  eighth  [consecutive] day of disability and thereafter during
the  continuance of disability, subject to the limitations as to maximum
and minimum amounts and duration and other conditions and limitations in
this section and in sections two hundred five and  two  hundred  six  OF
THIS  ARTICLE.    FAMILY  LEAVE BENEFITS SHALL BE PAYABLE TO AN ELIGIBLE
EMPLOYEE FOR THE FIRST FULL DAY WHEN FAMILY LEAVE IS REQUIRED AND THERE-
AFTER DURING THE CONTINUANCE OF THE NEED FOR FAMILY  LEAVE,  SUBJECT  TO
THE LIMITATIONS AS TO MAXIMUM AND MINIMUM AMOUNTS AND DURATION AND OTHER
CONDITIONS  AND  LIMITATIONS IN THIS SECTION AND IN SECTIONS TWO HUNDRED
FIVE AND TWO HUNDRED SIX OF THIS ARTICLE. Successive periods of disabil-
ity OR FAMILY LEAVE caused by the same or  related  injury  or  sickness
shall  be  deemed  a single period of disability OR FAMILY LEAVE only if
separated by less than three months.
  2. (A) THE WEEKLY BENEFIT FOR FAMILY LEAVE THAT OCCURS (I) ON OR AFTER
JANUARY FIRST, TWO THOUSAND EIGHTEEN  SHALL  BE  FIFTY  PERCENT  OF  THE
EMPLOYEE'S AVERAGE WEEKLY WAGE BUT SHALL NOT EXCEED FIFTY PERCENT OF THE
STATE  AVERAGE WEEKLY WAGE, (II) ON OR AFTER JANUARY FIRST, TWO THOUSAND
NINETEEN SHALL BE FIFTY-FIVE PERCENT OF THE  EMPLOYEE'S  AVERAGE  WEEKLY
WAGE BUT SHALL NOT EXCEED FIFTY-FIVE PERCENT OF THE STATE AVERAGE WEEKLY
WAGE,  (III)  ON  OR  AFTER  JANUARY FIRST, TWO THOUSAND TWENTY SHALL BE
SIXTY PERCENT OF THE EMPLOYEE'S AVERAGE WEEKLY WAGE BUT SHALL NOT EXCEED
SIXTY PERCENT OF THE STATE AVERAGE WEEKLY WAGE, AND  (IV)  ON  OR  AFTER
JANUARY  FIRST  OF EACH SUCCEEDING YEAR, SHALL BE SIXTY-SEVEN PERCENT OF
THE EMPLOYEE'S AVERAGE WEEKLY WAGE  BUT  SHALL  NOT  EXCEED  SIXTY-SEVEN
PERCENT OF THE NEW YORK STATE AVERAGE WEEKLY WAGE IN EFFECT.  THE WEEKLY
BENEFITS  FOR  FAMILY  LEAVE  THAT OCCURS ON OR AFTER JANUARY FIRST, TWO
THOUSAND EIGHTEEN SHALL NOT BE LESS THAN ONE HUNDRED  DOLLARS  PER  WEEK
EXCEPT THAT IF THE EMPLOYEE'S WAGES AT THE TIME OF FAMILY LEAVE ARE LESS
THAN ONE HUNDRED DOLLARS PER WEEK, THE EMPLOYEE SHALL RECEIVE HIS OR HER
FULL  WAGES.  BENEFITS MAY BE PAYABLE TO EMPLOYEES FOR PAID FAMILY LEAVE
TAKEN INTERMITTENTLY OR FOR LESS THAN A FULL WORK WEEK IN INCREMENTS  OF
ONE FULL DAY OR ONE FIFTH OF THE WEEKLY BENEFIT.
  (B)  The  weekly  benefit  which  the disabled employee is entitled to
receive for disability  commencing  on  or  after  May  first,  nineteen
hundred eighty-nine shall be one-half of the employee's weekly wage, but
in no case shall such benefit exceed one hundred seventy dollars; except
that  if the employee's average weekly wage is less than twenty dollars,
the benefit shall be such average weekly wage. The weekly benefit  which
the  disabled  employee is entitled to receive for disability commencing
on or after July first, nineteen hundred eighty-four shall  be  one-half
of  the employee's weekly wage, but in no case shall such benefit exceed
one hundred forty-five dollars; except that if  the  employee's  average
weekly wage is less than twenty dollars, the benefit shall be such aver-
age weekly wage. The weekly benefit which the disabled employee is enti-
tled  to receive for disability commencing on or after July first, nine-
teen hundred eighty-three and prior  to  July  first,  nineteen  hundred
eighty-four shall be one-half of the employee's average weekly wage, but
in no case shall such benefit exceed one hundred thirty-five dollars nor
be less than twenty dollars; except that if the employee's average week-
ly  wage  is  less than twenty dollars the benefit shall be such average
weekly wage. The weekly benefit which the disabled employee is  entitled
to  receive  for  disability commencing on or after July first, nineteen
hundred seventy-four, and prior to July first, nineteen hundred  eighty-

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three,  shall  be one-half of the employee's average weekly wage, but in
no case shall such benefit exceed ninety-five dollars nor be  less  than
twenty  dollars;  except  that  if the employee's average weekly wage is
less than twenty dollars, the benefit shall be such average weekly wage.
The  weekly  benefit  which the disabled employee is entitled to receive
for disability commencing on  or  after  July  first,  nineteen  hundred
seventy  and prior to July first, nineteen hundred seventy-four shall be
one-half of the employee's average weekly wage, but  in  no  case  shall
such  benefit  exceed  seventy-five  dollars  nor  be  less  than twenty
dollars; except that if the employee's average weekly wage is less  than
twenty  dollars  the benefit shall be such average weekly wage.  For any
period of disability less than a full week, the benefits  payable  shall
be  calculated  by  dividing  the  weekly  benefit  by the number of the
employee's normal work days per week and multiplying the quotient by the
number of normal work days in such  period  of  disability.  The  weekly
benefit  for  a disabled employee who is concurrently eligible for bene-
fits in the employment of more than one covered employer  shall,  within
the maximum and minimum herein provided, be one-half of the total of the
employee's  average  weekly wages received from all such covered employ-
ers, and shall be allocated in the proportion of their respective  aver-
age weekly wage payments.
  S 6. Section 205 of the workers' compensation law, as added by chapter
600  of the laws of 1949, subdivision 1 as amended by chapter 651 of the
laws of 1958, subdivision 2 as amended by chapter 270  of  the  laws  of
1990,  subdivision  5 as amended by chapter 288 of the laws of 1970, and
subdivisions 3, 4, 5, 6, 7 and 8 as renumbered by  chapter  352  of  the
laws of 1981, is amended to read as follows:
  S  205.  Disabilities, FAMILY LEAVE and [disability] periods for which
benefits are not payable. 1. No employee shall be entitled to DISABILITY
benefits under this article:
  [1.] (A) For more than twenty-six weeks MINUS ANY DAYS TAKEN FOR FAMI-
LY LEAVE DURING ANY FIFTY-TWO CONSECUTIVE CALENDAR WEEKS during a period
of fifty-two consecutive calendar weeks or  during  any  one  period  of
disability, OR FOR MORE THAN TWENTY-SIX WEEKS;
  [2.]  (B) for any period of disability during which an employee is not
under the care of a duly licensed [physician or with respect to disabil-
ity resulting from a condition of the foot which may lawfully be treated
by a duly registered and licensed podiatrist of the state of New York or
with respect to a  disability  resulting  from  a  condition  which  may
lawfully  be  treated  by a duly registered and licensed chiropractor of
the state of New York or with respect to a disability resulting  from  a
condition  which  may  lawfully be treated by a duly licensed dentist of
the state of New York or with respect to a disability resulting  from  a
condition  which  may  lawfully  be  treated  by  a  duly registered and
licensed psychologist of the state of New York  or  with  respect  to  a
disability resulting from a condition which may lawfully be treated by a
duly  certified  nurse midwife, for any period of such disability during
which an employee is neither under the care of a physician nor a  podia-
trist,  nor  a  chiropractor,  nor  a dentist, nor a psychologist, nor a
certified nurse midwife] HEALTH CARE PROVIDER; and  for  any  period  of
disability  during  which an employee who adheres to the faith or teach-
ings of any church or denomination and who in accordance with its creed,
tenets or principles depends for healing upon prayer  through  spiritual
means  alone  in  the  practice  of religion, is not under the care of a
practitioner duly accredited by the church or denomination, and provided

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such employee shall submit to all physical examinations as  required  by
this chapter.
  2.  NO  EMPLOYEE SHALL BE ENTITLED TO FAMILY LEAVE BENEFITS UNDER THIS
ARTICLE:
  (A) FOR MORE THAN TWELVE WEEKS DURING A PERIOD  OF  FIFTY-TWO  CONSEC-
UTIVE  CALENDAR  WEEKS,  OR  FOR  ANY  PERIOD  IN WHICH THE FAMILY LEAVE
COMBINED WITH THE DISABILITY BENEFITS PREVIOUSLY PAID EXCEEDS TWENTY-SIX
WEEKS DURING THE SAME FIFTY-TWO CONSECUTIVE CALENDAR WEEKS;
  (B) FOR ANY PERIOD OF FAMILY LEAVE  WHEREIN  THE  NOTICE  AND  MEDICAL
CERTIFICATION  AS  PRESCRIBED  BY  THE  CHAIR HAS NOT BEEN FILED. AT THE
DISCRETION OF THE CHAIR OR CHAIR'S DESIGNEE, THE FAMILY  MEMBER  WHO  IS
THE  RECIPIENT  OF CARE MAY BE REQUIRED TO SUBMIT TO A PHYSICAL EXAMINA-
TION BY A QUALIFIED HEALTH CARE PROVIDER. SUCH EXAMINATION SHALL BE PAID
FOR BY THE CARRIER.
  (C) AS A CONDITION OF AN EMPLOYEE'S INITIAL RECEIPT  OF  FAMILY  LEAVE
BENEFITS  DURING  ANY  FIFTY-TWO  CONSECUTIVE CALENDAR WEEKS IN WHICH AN
EMPLOYEE IS ELIGIBLE FOR  THESE  BENEFITS,  AN  EMPLOYER  MAY  OFFER  AN
EMPLOYEE  WHO  HAS  ACCRUED  BUT  UNUSED VACATION TIME OR PERSONAL LEAVE
AVAILABLE AT THE TIME OF USE OF AVAILABLE FAMILY LEAVE TO CHOOSE WHETHER
TO CHARGE ALL OR PART OF THE FAMILY LEAVE TIME  TO  ACCRUED  BUT  UNUSED
VACATION  OR  PERSONAL  LEAVE, AND RECEIVE FULL SALARY, OR TO NOT CHARGE
TIME TO ACCRUED BUT UNUSED VACATION OR PERSONAL LEAVE, AND  RECEIVE  THE
BENEFIT  AS  SET  FORTH  IN SECTION TWO HUNDRED FOUR OF THIS ARTICLE. AN
EMPLOYER THAT PAYS FULL SALARY DURING  A  PERIOD  OF  FAMILY  LEAVE  MAY
REQUEST REIMBURSEMENT IN ACCORDANCE WITH SECTION TWO HUNDRED THIRTY-SEV-
EN  OF  THIS ARTICLE.   WITH THE ELECTION OF EITHER OPTION, THE EMPLOYEE
SHALL RECEIVE THE FULL PROTECTION OF  THE  REINSTATEMENT  PROVISION  SET
FORTH  IN SECTION TWO HUNDRED THREE-B OF THIS ARTICLE, AND SHALL CONCUR-
RENTLY USE AVAILABLE FAMILY MEDICAL LEAVE  ACT  AND  PAID  FAMILY  LEAVE
CREDITS.  IN  NO  EVENT  CAN AN EMPLOYEE UTILIZE FAMILY LEAVE BEYOND THE
TWELVE WEEKS PER ANY FIFTY-TWO WEEK PERIOD SET FORTH  IN  THIS  ARTICLE.
THIS PARAGRAPH MAY NOT BE CONSTRUED IN A MANNER THAT RELIEVES AN EMPLOY-
ER  OF  ANY  DUTY  OF  COLLECTIVE  BARGAINING THE EMPLOYER MAY HAVE WITH
RESPECT TO THE SUBJECT MATTER OF THIS PARAGRAPH.
  3. NO EMPLOYEE SHALL BE ENTITLED TO DISABILITY OR FAMILY  LEAVE  BENE-
FITS UNDER THIS ARTICLE:
  (A)  for  any  disability  occasioned  by  the wilful intention of the
employee to bring about injury to or the sickness of himself or another,
or resulting from any injury or sickness sustained in  the  perpetration
by the employee of an illegal act;
  [4.]  (B)  for  any day of disability OR FAMILY LEAVE during which the
employee performed work for remuneration or profit;
  [5.] (C) for any day of disability  OR  FAMILY  LEAVE  for  which  the
employee is entitled to receive from his OR HER employer, or from a fund
to which the employer has contributed, remuneration or maintenance in an
amount  equal  to or greater than that to which he OR SHE would be enti-
tled under this article; but any voluntary contribution or aid which  an
employer may make to an employee or any supplementary benefit paid to an
employee pursuant to the provisions of a collective bargaining agreement
or  from  a  trust  fund to which contributions are made pursuant to the
provisions of a collective bargaining agreement shall not be  considered
as continued remuneration or maintenance for this purpose;
  [6.]  (D)  for any period in respect to which such employee is subject
to suspension or disqualification of the  accumulation  of  unemployment
insurance benefit rights, or would be subject if he OR SHE were eligible

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for  such  benefit  rights,  except for ineligibility resulting from the
employee's disability;
  [7.]  (E)  for any disability due to any act of war, declared or unde-
clared[, if such act shall occur after June thirtieth, nineteen  hundred
fifty];
  [8.]  (F)  for  any  disability  OR FAMILY LEAVE commencing before the
employee becomes eligible to benefits [hereunder or commencing prior  to
July first, nineteen hundred fifty, but this shall not preclude benefits
for recurrence after July first, nineteen hundred fifty, of a disability
commencing prior thereto] UNDER THIS SECTION.
  4.    AN  EMPLOYEE WHO HAS GIVEN BIRTH MAY USE NO MORE THAN A COMBINED
TWELVE WEEKS PURSUANT TO SUBDIVISION ONE FOR  RECOVERY  FROM  CHILDBIRTH
AND SUBDIVISION TWO FOR BONDING WITH THE CHILD AS PERMITTED UNDER SUBDI-
VISION FIFTEEN OF SECTION 201, DURING ANY FIFTY-TWO CONSECUTIVE CALENDAR
WEEKS.  AN EMPLOYEE MAY NOT SEEK BENEFITS CONCURRENTLY UNDER BOTH SUBDI-
VISIONS ONE AND TWO OF THIS SECTION.
  S 7. Section 206 of the workers' compensation law, as amended by chap-
ter 699 of the laws of 1956, paragraph (a) of subdivision 1 as separate-
ly amended by chapters 699 and 929 of the laws of 1956 and subdivision 2
as  amended  by  chapter  24  of the laws of 1988, is amended to read as
follows:
  S 206. Non-duplication of benefits. 1. No DISABILITY benefits shall be
payable under section two hundred four or  two  hundred  seven  OF  THIS
ARTICLE:
  (a)  in  a  weekly benefit amount which, together with any amount that
the employee receives or is entitled to receive for the same  period  or
any  part thereof as a permanent disability benefit or annuity under any
governmental system or program,  except  under  a  veteran's  disability
program,  or  under  any  permanent  disability  policy or program of an
employer for whom he OR SHE has performed  services,  would,  if  appor-
tioned to weekly periods, exceed his OR HER weekly benefit amount [here-
under]  UNDER  THIS  SECTION,  provided  however, that there shall be no
offset against the benefits set forth in this article if the  claim  for
disability  benefits  is  based on a disability other than the permanent
disability for which the aforesaid permanent disability benefit or annu-
ity was granted;
  (b) with respect to any week for which payments are received under the
unemployment insurance law or similar law of this state or of any  other
state or of the United States;
  (c)  subject to the provisions of subdivision two of this section, for
any period with respect to which benefits, compensation or other  allow-
ances  (other  than  [workmen's]  WORKERS'  compensation  benefits for a
permanent partial disability occurring prior to the disability for which
benefits are claimed hereunder) are paid or payable under this  chapter,
the volunteer [firemen's] FIREFIGHTERS' benefit law, or any other [work-
men's]  WORKERS'  compensation  act, occupational disease act or similar
law, or under any employers' liability act or  similar  law;  under  any
other temporary disability or cash sickness benefits act or similar law;
under  section  six hundred eighty-eight, title forty-six, United States
code; under the federal employers' liability act; or under the  maritime
doctrine of maintenance, wages and cure.
  2.  If  an  employee  who  is  eligible  for DISABILITY benefits under
section two hundred three or two hundred seven OF THIS ARTICLE is  disa-
bled  and has claimed or subsequently claims workers' compensation bene-
fits under this chapter or benefits under  the  volunteer  firefighters'
benefit  law  or  the volunteer ambulance workers' benefit law, and such

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claim is controverted on the ground that the employee's  disability  was
not  caused  by  an  accident that arose out of and in the course of his
employment or by an occupational disease, or by an  injury  in  line  of
duty  as  a  volunteer  firefighter  or  volunteer ambulance worker, the
employee shall be entitled in the first  instance  to  receive  benefits
under this article for his OR HER disability. If benefits have been paid
under this article in respect to a disability alleged to have arisen out
of  and  in the course of the employment or by reason of an occupational
disease, or in line of duty as a volunteer firefighter  or  a  volunteer
ambulance  worker,  the  employer or carrier or the chairman making such
payment may, at any time before award of workers' compensation benefits,
or volunteer firefighters'  benefits  or  volunteer  ambulance  workers'
benefits,  is made, file with the board a claim for reimbursement out of
the proceeds of such award to the employee  for  the  period  for  which
disability  benefits  were  paid to the employee under this article, and
shall have a lien against the award for  reimbursement,  notwithstanding
the  provisions of section thirty-three of this chapter or section twen-
ty-three of the volunteer firefighters' benefit law or  section  twenty-
three  of  the  volunteer  ambulance  workers'  benefit law provided the
insurance carrier liable for payment of the award receives, before  such
award  is made, a copy of the claim for reimbursement from the employer,
carrier or [chairman] CHAIR who paid disability  benefits,  or  provided
the board's decision and award directs such reimbursement therefrom.
  3. NO FAMILY LEAVE BENEFITS SHALL BE PAYABLE UNDER SECTION TWO HUNDRED
FOUR OF THIS ARTICLE:
  (A)  DURING  PERIODS  WHEN  THE EMPLOYEE IS RECEIVING WORKERS' COMPEN-
SATION LOST WAGE BENEFITS, OR BENEFITS UNDER THE VOLUNTEER FIREFIGHTERS'
BENEFIT LAW OR THE VOLUNTEER AMBULANCE WORKERS' BENEFIT LAW OR UNDER ANY
STATE'S LAW;
  (B) TO AN EMPLOYEE WHO IS NOT EMPLOYED OR IS ON  ADMINISTRATIVE  LEAVE
FROM HIS OR HER EMPLOYMENT;
  (C)  TO  AN  EMPLOYEE  DURING PERIODS WHERE THE EMPLOYEE IS COLLECTING
SICK PAY OR PAID TIME OFF FROM THE EMPLOYER; AND
  (D) FOR ANY DAY IN WHICH CLAIMANT WORKS AT LEAST PART OF THAT DAY  FOR
RENUMERATION OR PROFIT.
  4.  UNLESS  OTHERWISE  EXPRESSLY  PERMITTED  BY THE EMPLOYER, BENEFITS
AVAILABLE UNDER 29 U.S. CODE CHAPTER 28 (THE FAMILY  AND  MEDICAL  LEAVE
ACT)  MUST  BE USED CONCURRENTLY WITH FAMILY LEAVE BENEFITS. AN EMPLOYER
SHALL NOT BE REQUIRED TO PERMIT  TWELVE  ADDITIONAL  WEEKS  OF  BENEFITS
FOLLOWING EXHAUSTION OF THE TWELVE WEEKS OF PAID FAMILY LEAVE BENEFITS.
  5. A COVERED EMPLOYER IS NOT REQUIRED TO PERMIT MORE THAN ONE EMPLOYEE
TO  USE  THE  SAME  PERIOD  OF  FAMILY LEAVE TO CARE FOR THE SAME FAMILY
MEMBER.
  S 8. Section 207 of the workers' compensation law is amended by adding
a new subdivision 5 to read as follows:
  5. THE FOREGOING PROVISIONS OF THIS SECTION SHALL NOT APPLY TO  FAMILY
LEAVE  BENEFITS, AS FAMILY LEAVE BENEFITS ARE NOT AVAILABLE TO EMPLOYEES
THAT ARE NOT EMPLOYED AT THE TIME FAMILY LEAVE IS  REQUESTED  BY  FILING
THE NOTICE AND MEDICAL CERTIFICATION REQUIRED BY THE CHAIR.
  S 9. Section 208 of the workers' compensation law, as added by chapter
600  of the laws of 1949, subdivision 1 as amended by chapter 314 of the
laws of 2010, is amended to read as follows:
  S 208. Payment of disability AND FAMILY LEAVE benefits.   1.  Benefits
provided under this article shall be paid periodically and promptly and,
except  as  to a contested period of disability OR FAMILY LEAVE, without
any decision by the board, OR DESIGNEE OF THE CHAIR.  The first  payment

S. 6405--A                         73                         A. 9005--A

of  benefits  shall be due on the fourteenth day of disability OR FAMILY
LEAVE and benefits for that period shall be paid directly to the employ-
ee within four business days thereafter or  within  four  business  days
after  the  filing  of  required proof of claim, whichever is the later.
Thereafter benefits shall be due and payable bi-weekly in  like  manner.
The [chairman] CHAIR OR CHAIR'S DESIGNEE may determine that benefits may
be paid monthly or semi-monthly if wages were so paid, and may authorize
deviation  from  the foregoing requirements to facilitate prompt payment
of benefits. Any inquiry which requires the employee's response in order
to continue benefits uninterrupted or unmodified shall provide a reason-
able time period in which to respond and include a clear  and  prominent
statement  of the deadline for responding and consequences of failing to
respond.
  2. The [chairman] CHAIR AND SUPERINTENDENT OF FINANCIAL SERVICES  may,
whenever  such  information  is deemed necessary, require any carrier to
file in form prescribed by the [chairman] CHAIR a report or  reports  as
to  any  claim  or  claims,  including (but without limitation) dates of
commencement and termination of benefit payments and amount of  benefits
paid  under  this  article.  The  [chairman] CHAIR AND SUPERINTENDENT OF
FINANCIAL SERVICES may also require annually information in  respect  to
the  aggregate of benefits paid, the number of claims allowed and disal-
lowed, the average benefits and duration of benefit periods, the  amount
of  payrolls  covered and such other information as the [chairman] CHAIR
may deem necessary for the purposes of administering  this  article.  If
the  carrier is providing benefits in respect to more than one employer,
the [chairman]  CHAIR  AND  SUPERINTENDENT  OF  FINANCIAL  SERVICES  may
require  that such information be shown separately as to those employers
who are providing only benefits that are substantially the same  as  the
benefits  required  in  this  article.   THE CHAIR AND SUPERINTENDENT OF
FINANCIAL SERVICES MAY PRESCRIBE THE  FORMAT  OF  SUCH  REPORT  AND  MAY
PROMULGATE REGULATIONS TO EFFECTUATE THIS ARTICLE.
  S  10. Section 209 of the workers' compensation law, as added by chap-
ter 600 of the laws of 1949, subdivision 3 as amended by chapter 415  of
the laws of 1983 and subdivision 4 as amended by chapter 134 of the laws
of 1952, is amended to read as follows:
  S 209. Contribution of employees for disability AND FAMILY LEAVE bene-
fits. 1.  Every employee in the employment of a covered employer shall[,
on  and  after January first, nineteen hundred fifty,] contribute to the
cost of providing disability AND AFTER JANUARY FIRST, TWO THOUSAND EIGH-
TEEN, FAMILY LEAVE benefits under this article, to the extent and in the
manner herein provided.
  2. The special contribution of each such employee to the  accumulation
of  funds  to  provide  benefits  for  disabled  unemployed  shall be as
provided in subdivision one of section  two  hundred  fourteen  OF  THIS
ARTICLE.
  3.  (A) DISABILITY BENEFITS. The contribution of each such employee to
the cost of disability benefits provided by this article shall  be  one-
half of one per centum of the employee's wages paid to him OR HER on and
after  July  first,  nineteen  hundred fifty, but not in excess of sixty
cents per week.
  (B) FAMILY LEAVE BENEFITS. ON SEPTEMBER FIRST, TWO THOUSAND  SEVENTEEN
AND  ANNUALLY  THEREAFTER THE SUPERINTENDENT OF FINANCIAL SERVICES SHALL
SET THE MAXIMUM EMPLOYEE CONTRIBUTION, USING  THE  REPORTS  PROVIDED  IN
SECTION TWO HUNDRED EIGHT OF THIS ARTICLE, AND CONSISTENT WITH THE PRIN-
CIPLE  THAT  THE  COSTS  OF  FAMILY  LEAVE  SHOULD BE FUNDED ONE HUNDRED
PERCENT BY EMPLOYEE PAYROLL CONTRIBUTION.

S. 6405--A                         74                         A. 9005--A

  4. Notwithstanding any other provision of law, the employer is author-
ized to collect from his OR HER employees, except as otherwise  provided
in  any  plan  or agreement under the provisions of subdivisions four or
five of section two hundred eleven OF  THIS  ARTICLE,  the  contribution
provided  under  subdivisions  two  and  three  OF THIS SECTION, through
payroll deductions. If the employer shall not  make  deduction  for  any
payroll  period  he  OR SHE may thereafter, but not later than one month
after payment  of  wages,  collect  such  contribution  through  payroll
deduction.
  5.  In  collecting  employee contributions through payroll deductions,
the employer shall act as the agent of his OR HER  employees  and  shall
use  the contributions only to provide disability AND FAMILY LEAVE bene-
fits as required by this article. IN NO EVENT MAY THE EMPLOYEE'S  ANNUAL
CONTRIBUTION  FOR  FAMILY  LEAVE EXCEED HIS OR HER PRO RATA SHARE OF THE
ACTUAL ANNUAL PREMIUM CHARGED FOR THE SAME YEAR AND MUST  BE  DETERMINED
CONSISTENT  WITH THE PRINCIPLE THAT EMPLOYEES SHOULD PAY THE TOTAL COSTS
OF FAMILY LEAVE PREMIUM. IN NO EVENT MAY THE EMPLOYEE'S WEEKLY  CONTRIB-
UTION  FOR  DISABILITY  PREMIUM EXCEED ONE-HALF OF ONE PER CENTUM OF THE
EMPLOYEE'S WAGES PAID TO HIM OR HER, BUT NOT IN EXCESS  OF  SIXTY  CENTS
PER  WEEK. After June thirtieth, nineteen hundred fifty, if the employer
is not providing, or to the extent that he OR SHE is not then providing,
for the payment of disability benefits to his OR HER employees by insur-
ing with the state fund or with another insurance  carrier,  he  OR  SHE
shall  keep  the  contributions  of  his OR HER employees as trust funds
separate and apart from all other funds of the employer. The payment  of
such  contributions  by  the  employer  to  a  carrier providing for the
payment of such benefits shall discharge the employer from  responsibil-
ity with respect to such contributions.
  S  11. Section 210 of the workers' compensation law, as added by chap-
ter 600 of the laws of 1949, is amended to read as follows:
  S 210. Employer contributions. 1. Every covered employer shall, on and
after January first, nineteen hundred  fifty,  contribute  the  cost  of
providing disability AND FAMILY LEAVE benefits in excess of the contrib-
utions  collected  from  his  OR HER employees, to the extent and in the
manner provided in this article.
  2. The special contribution of each covered employer  to  the  accumu-
lation  of funds to provide benefits for disabled unemployed shall be as
provided in subdivision one of section  two  hundred  fourteen  OF  THIS
ARTICLE.
  3. The contribution of every covered employer to the cost of providing
disability  benefits  after  June thirtieth, nineteen hundred fifty, AND
PROVIDING DISABILITY AND FAMILY LEAVE BENEFITS AFTER JANUARY FIRST,  TWO
THOUSAND  EIGHTEEN,  shall be the excess of such cost over the amount of
the contributions of his OR HER employees.
  4. No profit shall be  derived  by  any  employer  or  association  of
employers or of employees from providing payment of disability AND FAMI-
LY  LEAVE  benefits  under this article. All funds representing contrib-
utions of employers and  employees,  and  increments  thereon,  held  by
employers  or  associations  of  employers or of employees authorized or
permitted to pay benefits under the provisions of this article,  and  by
trustees  paying benefits under plans or agreements meeting the require-
ments of section two hundred eleven OF  THIS  ARTICLE,  shall  be  trust
funds  and shall be expended only to provide for the payment of benefits
to employees and for the costs of administering this article and for the
support of the fund established under section two  hundred  fourteen  OF
THIS ARTICLE.

S. 6405--A                         75                         A. 9005--A

  S 12. The opening paragraph and subdivisions 3, 4 and 5 of section 211
of  the  workers'  compensation  law,  the opening paragraph as added by
chapter 600 of the laws of 1949, subdivision 3 as amended by chapter 207
of the laws of 1992, and subdivisions 4 and 5 as amended by chapter  197
of the laws of 1960, are amended, and new subdivisions 7 and 8 are added
to read as follows:
  A  covered  employer  shall, with his OR HER own contributions and the
contributions of his employees, provide  disability  AND  AFTER  JANUARY
FIRST,  TWO  THOUSAND  EIGHTEEN,  FAMILY  LEAVE  benefits  to his OR HER
employees in one or more of the following ways:
  3. by furnishing satisfactory proof to  the  chair  of  the  employers
financial  ability  to  pay such benefits, in which case the chair shall
require the deposit of such securities as the chair may  deem  necessary
[of  the  kind prescribed in subdivisions one, two, three, four and five
and paragraph a of subdivision seven of section two hundred  thirty-five
of  the  banking law or the deposit of cash or the filing of irrevocable
letters of credit issued by a qualified banking institution  as  defined
by  rules promulgated by the chair or the filing of the bond of a surety
company authorized to do business in  this  state,  conditioned  on  the
payment  by  the  employer  of its obligations under this article and in
form approved by the chair, or the posting and filing of  a  combination
of such securities, cash, irrevocable letters of credit and surety bonds
in an amount to be determined by the chair, to secure his or her liabil-
ity  to  pay  the  compensation  provided in this chapter. The amount of
deposit or of the penal sum of the bond shall be determined by the chair
and shall not be less than one-half the estimated contributions  of  the
employees  of  the  employer  for  the  ensuing  year or one-half of the
contributions of the employees which would have been paid by the employ-
ees during the preceding year, whichever is  the  greater,  or  if  such
amount is more than fifty thousand dollars an amount not less than fifty
thousand dollars.  The chair shall have authority to deny an application
to  provide  benefits pursuant to this subdivision or to revoke approval
at any time for good cause shown. In the case of an employer  who  main-
tains  a deposit of securities, irrevocable letters of credit or cash in
accordance with subdivision three of section fifty of this chapter,  the
chair  may  reduce  the amount of the deposit or of the penal sum of the
bond, provided the securities, irrevocable letters  of  credit  or  cash
deposited  by  or  for  such employer under subdivision three of section
fifty of this chapter are, by agreement satisfactory to the chair,  made
available  for  the  payment  of unpaid benefits under this article with
respect to obligations incurred for disabilities commencing prior to the
effective date of such revocation] CONSISTENT  WITH  THE  PROVISIONS  OF
SUBDIVISION  THREE  OF SECTION FIFTY OF THIS CHAPTER.  An association of
employers or employees authorized to pay benefits under this article  or
the  trustee  or  trustees  paying  benefits  under  a plan or agreement
authorized under subdivisions four and five of this  section,  may  with
the  approval  of the chair furnish such proof and otherwise comply with
the provisions of this section to provide disability  AND  FAMILY  LEAVE
benefits to employees under such plan or agreement.
  4. by a plan in existence on the effective date of this article. If on
the  effective  date of this article the employees of a covered employer
or any class or classes of such employees are entitled to receive  disa-
bility AND FAMILY LEAVE benefits under a plan or agreement which remains
in  effect  on July first, nineteen hundred fifty, the employer, subject
to the requirements of this section, shall be relieved of responsibility
for making provision for benefit payments required  under  this  article

S. 6405--A                         76                         A. 9005--A

until  the  earliest  date,  determined  by the [chairman] CHAIR for the
purposes of this article, upon which the employer shall have  the  right
to  discontinue  the  provisions  thereof or to discontinue his contrib-
utions  towards  the  cost.  Any such plan or agreement may be extended,
with or without modification,  by  agreement  or  collective  bargaining
between  an  employer  or  employers  or association of employers and an
association of employees, in  which  event  the  period  for  which  the
employer is relieved of such responsibility shall include such period of
extension.  Any  other  plan  or agreement in existence on the effective
date of this article which the employer may, by his  OR  HER  sole  act,
terminate  at  any time, or with respect to which he OR SHE is not obli-
gated to continue for any period to make contributions, may be  accepted
by  the [chairman] CHAIR as satisfying the obligation to provide for the
payment of benefits  under  this  article  if  such  plan  or  agreement
provides  benefits  at  least  as favorable as the disability AND FAMILY
LEAVE benefits provided by this article and does  not  require  contrib-
utions of any employee or of any class or classes of employees in excess
of  the  statutory  amount  provided in SUBDIVISION THREE OF section two
hundred nine OF THIS ARTICLE, subdivision three, except by agreement and
provided the contribution is reasonably related  to  the  value  of  the
benefits as determined by the CHAIR [chairman]. The [chairman] CHAIR may
require  that the employer shall enter into an agreement in writing with
the [chairman] CHAIR that he OR SHE will pay the assessments  set  forth
in  sections  two hundred fourteen and two hundred twenty-eight and that
until he OR SHE shall have filed written notice with the  CHAIR  [chair-
man]  of  his  OR HER election to terminate such plan or agreement or to
discontinue making necessary contributions to its cost, he OR  SHE  will
continue  to  provide for the payment of the disability AND FAMILY LEAVE
benefits under such plan or agreement.
  During any period in which any plan or agreement or extension  thereof
authorized under this subdivision provides for payment of benefits under
this article, the responsibility of the employer and the obligations and
benefits of the employees shall be as provided in said plan or agreement
rather  than  as  provided  under  this article, other than the benefits
provided in section two hundred seven,  and  provided  the  employer  or
carrier  has  agreed  to  pay  the assessments described in sections two
hundred fourteen and two hundred twenty-eight.
  Any such plan or agreement may be extended with or  without  modifica-
tion, provided the benefits under such plan or agreement, as extended or
modified,  shall  be  found  by  the  [chairman] CHAIR to be at least as
favorable as the benefits provided by this article.
  5. by a new plan or agreement. After the effective date of this  arti-
cle, a new plan or agreement with a carrier may be accepted by the CHAIR
[chairman]  as  satisfying  the obligation to provide for the payment of
benefits under this article if such  plan  or  agreement  shall  provide
benefits  at least as favorable as the disability AND FAMILY LEAVE bene-
fits provided by this article and does not require contributions of  any
employee or of any class or classes of employees in excess of the statu-
tory  amount  provided  in  section two hundred nine, subdivision three,
except by agreement and provided the contribution is reasonably  related
to  the value of the benefits as determined by the [chairman] CHAIR. Any
such plan or agreement shall continue until written  notice  filed  with
the  [chairman]  CHAIR of intention to terminate such plan or agreement,
and any modification of such plan or agreement shall be subject  to  the
written approval of the [chairman] CHAIR.

S. 6405--A                         77                         A. 9005--A

  During  any period in which any plan or agreement or extension thereof
authorized under this subdivision provides for payment of benefits under
this article, the responsibility of the employer and the obligations and
benefits of the employees shall be as provided in said plan or agreement
rather  than  as  provided  under  this article, other than the benefits
provided in section two hundred seven,  and  provided  the  employer  or
carrier  has  agreed  to  pay  the assessments described in sections two
hundred fourteen and two hundred twenty-eight.
  7. PREMIUMS FOR POLICIES PROVIDING DISABILITY OR FAMILY LEAVE BENEFITS
IN ACCORDANCE WITH THIS ARTICLE SHALL BE CALCULATED IN  ACCORDANCE  WITH
APPLICABLE  PROVISIONS OF THE INSURANCE LAW, INCLUDING SUBSECTION (N) OF
SECTION FOUR THOUSAND TWO HUNDRED AND THIRTY-FIVE OF SUCH LAW.
  8. AN EMPLOYER PROVIDING  DISABILITY  BENEFITS  COVERAGE  PURSUANT  TO
SUBDIVISION  THREE  OF THIS SECTION MAY OBTAIN COVERAGE FOR FAMILY LEAVE
BENEFITS SEPARATELY PURSUANT TO SUBDIVISION ONE OR  SUBDIVISION  TWO  OF
THIS SECTION.
  S  13.  Subdivisions  1,  2,  4  and  5 of section 212 of the workers'
compensation law, subdivision 1 as amended by chapter 740 of the laws of
1960, subdivision 2 as amended by chapter  120  of  the  laws  of  1969,
subdivision  4 as amended by chapter 205 of the laws of 1993, and subdi-
vision 5 as added by chapter 593 of the laws of  1992,  are  amended  to
read as follows:
  1.  Any  employer  not  required  by  this  article to provide for the
payment of disability OR FAMILY LEAVE benefits to his employees,  or  to
any  class  or  classes  thereof, may become a covered employer or bring
within the provisions of this article such employees or class or classes
thereof by voluntarily electing to provide for payment of such  benefits
in  one  or  more of the ways set forth in section two hundred eleven OF
THIS ARTICLE; but such election shall be subject to the approval of  the
[chairman] CHAIR, and if the employees are required to contribute to the
cost of such benefits the assent within thirty days before such approval
is  granted,  of more than one-half of such employees shall be evidenced
to the satisfaction of the [chairman] CHAIR.  On approval by the [chair-
man] CHAIR of such election to provide benefits, all the  provisions  of
this  article  shall  become  and continue applicable as if the employer
were a covered employer as defined in this article.  The  obligation  to
continue  as  a  covered  employer  with  respect  to employees for whom
provision of benefits is not required under this article, may be discon-
tinued by such employer on ninety days notice to the [chairman] CHAIR in
writing and to his OR HER employees, after he OR SHE  has  provided  for
payment  of  benefits for not less than one year and with such provision
for payment of obligations incurred on and prior to the termination date
as the [chairman] CHAIR may approve.
  2. Notwithstanding the definition of "employer"  and  "employment"  in
section two hundred one of this article, a public authority, a municipal
corporation or a fire district or other political subdivision may become
a  covered  employer  FOR  THE  PURPOSE OF PROVIDING DISABILITY BENEFITS
under this article by complying with the provisions of  subdivision  one
of this section and may discontinue such status only as provided in that
subdivision.
  4.  (A)  An executive officer of a corporation who at all times during
the period involved owns all of the issued and outstanding stock of  the
corporation  and  holds  all of the offices pursuant to paragraph (e) of
section seven hundred fifteen of the business  corporation  law  or  two
executive  officers  of a corporation who at all times during the period
involved between them own all of the issued  and  outstanding  stock  of

S. 6405--A                         78                         A. 9005--A

such  corporation and hold all such offices provided, however, that each
officer must own at least one share of stock and who  is  the  executive
officer  or who are the executive officers of a corporation having other
persons  who  are  employees  required to be covered under this article,
shall be deemed to be included in the corporation's disability AND FAMI-
LY LEAVE benefits insurance contract or  covered  by  a  certificate  of
self-insurance  or a plan under section two hundred eleven of this arti-
cle, unless the officer or officers elect to be excluded from the cover-
age of this article. Such election shall be made by any such corporation
filing with the insurance carrier, or the chair of the workers'  compen-
sation  board  in  the case of self-insurance, upon a form prescribed by
the [chairman] CHAIR, a notice that the corporation  elects  to  exclude
the  executive  officer  or  officers  of  such corporation named in the
notice from the coverage of this article. Such election shall be  effec-
tive  with  respect  to  all policies issued to such corporation by such
insurance carrier as long as it shall  continuously  insure  the  corpo-
ration.  Such  election  shall  be  final and binding upon the executive
officer or officers named in the notice  until  revoked  by  the  corpo-
ration.
  (B)  NOTWITHSTANDING  THE  DEFINITION  OF  "EMPLOYER"  IN  SECTION TWO
HUNDRED ONE OF THIS ARTICLE, A SOLE  PROPRIETOR,  MEMBER  OF  A  LIMITED
LIABILITY  COMPANY  OR  LIMITED LIABILITY PARTNERSHIP, OR OTHER SELF-EM-
PLOYED PERSON MAY BECOME  A  COVERED  EMPLOYER  UNDER  THIS  ARTICLE  BY
COMPLYING WITH THE PROVISIONS OF SUBDIVISION ONE OF THIS SECTION.
  5.  A  spouse who is an employee of a covered employer shall be deemed
to be included in the employer's disability AND  FAMILY  LEAVE  benefits
insurance  contract  or  covered by a certificate of self-insurance or a
plan under section two  hundred  eleven  of  this  article,  unless  the
employer  elects  to exclude such spouse from the coverage of this arti-
cle. Such election shall be made by any such employer  filing  with  the
insurance  carrier,  or  the chair of the workers' compensation board in
the case of self-insurance, upon a  form  prescribed  by  the  chair,  a
notice  that  the  employer  elects  to exclude such spouse named in the
notice from the coverage of this article. Such election shall be  effec-
tive with respect to all policies issued to such employer by such insur-
ance carrier as long as it shall continuously insure the employer.  Such
election  shall be final and binding upon the spouse named in the notice
until revoked by the employer.
  S 14. The workers' compensation law is amended by adding new  sections
212-a and 212-b to read as follows:
  S 212-A. NOTWITHSTANDING THE DEFINITION OF "EMPLOYER" AND "EMPLOYMENT"
SET FORTH IN SECTION TWO HUNDRED ONE OF THIS ARTICLE AND THE REQUIREMENT
FOR  INSURANCE POLICIES TO OFFER BOTH DISABILITY AND FAMILY LEAVE COVER-
AGE SET FORTH IN TWO HUNDRED TWENTY SIX OF THIS ARTICLE, THE STATE,  ANY
POLITICAL  SUBDIVISION  OF  THE  STATE,  A PUBLIC AUTHORITY OR ANY OTHER
GOVERNMENTAL AGENCY OR INSTRUMENTALITY, MAY ELECT TO  BECOME  A  COVERED
EMPLOYER  SOLELY  FOR THE PURPOSE OF FAMILY LEAVE BENEFITS. COVERAGE FOR
FAMILY LEAVE BENEFITS MAY BE SECURED BY A PUBLIC EMPLOYER, AS THAT  TERM
IS  DEFINED  IN  SUBDIVISION ONE OF SECTION TWO HUNDRED TWELVE-B OF THIS
ARTICLE, AS PERMITTED BY THIS ARTICLE, INCLUDING AS  APPLICABLE  SECTION
TWO HUNDRED ELEVEN, SUBDIVISION FOUR OF SECTION FIFTY, OR SECTION EIGHT-
Y-EIGHT-C. THE PROVIDER OF FAMILY LEAVE COVERAGE FOR SUCH PUBLIC EMPLOY-
EES  SHALL  BE EXEMPT FROM THE REQUIREMENT THAT INSURANCE POLICIES OFFER
BOTH DISABILITY AND FAMILY LEAVE BENEFITS IN SECTION TWO  HUNDRED  TWEN-
TY-SIX OF THIS ARTICLE.

S. 6405--A                         79                         A. 9005--A

  S 212-B. PUBLIC EMPLOYEES; PUBLIC EMPLOYEES REPRESENTED BY AN EMPLOYEE
ORGANIZATION; EMPLOYEE OPT IN.
  1.  FOR PURPOSES OF THIS SECTION, "PUBLIC EMPLOYEE" MEANS ANY EMPLOYEE
OF THE STATE, ANY POLITICAL SUBDIVISION OF THE STATE, A PUBLIC AUTHORITY
OR ANY OTHER GOVERNMENTAL AGENCY OR INSTRUMENTALITY.  "PUBLIC  EMPLOYER"
MEANS  THE  STATE,  ANY  POLITICAL  SUBDIVISION  OF  THE STATE, A PUBLIC
AUTHORITY OR ANY OTHER GOVERNMENTAL AGENCY OR  INSTRUMENTALITY  THEREOF.
"EMPLOYEE ORGANIZATION" SHALL HAVE THE SAME MEANING SET FORTH IN SECTION
TWO HUNDRED ONE OF THE CIVIL SERVICE LAW.
  2.  PUBLIC EMPLOYERS SHALL PROVIDE BENEFITS FOR FAMILY LEAVE TO PUBLIC
EMPLOYEES IN ACCORDANCE WITH THE  PROCEDURES  AND  TERMS  SET  FORTH  IN
SUBDIVISION THREE OF THIS SECTION.
  3.  (A)  AN EMPLOYEE ORGANIZATION MAY, PURSUANT TO COLLECTIVE BARGAIN-
ING, OPT IN TO PAID FAMILY LEAVE BENEFITS  ON  BEHALF  OF  THOSE  PUBLIC
EMPLOYEES  IT  IS  EITHER CERTIFIED OR RECOGNIZED, WITHIN THE MEANING OF
ARTICLE 14 OF THE CIVIL SERVICE LAW, TO REPRESENT AT ANY  TIME  THAT  IS
MUTUALLY  AGREED  UPON  BETWEEN THE EMPLOYEE ORGANIZATION AND ANY PUBLIC
EMPLOYER. AN EMPLOYEE ORGANIZATION THAT HAS  OPTED  IN  TO  PAID  FAMILY
LEAVE  BENEFITS MAY, PURSUANT TO COLLECTIVE BARGAINING, OPT OUT OF IT AS
IS MUTUALLY AGREED UPON BETWEEN THE EMPLOYEE ORGANIZATION AND ANY PUBLIC
EMPLOYER.
  B. FOR PUBLIC EMPLOYEES WHO ARE NOT REPRESENTED BY AN EMPLOYEE  ORGAN-
IZATION,  THE  PUBLIC  EMPLOYER MAY OPT-IN TO PAID FAMILY LEAVE BENEFITS
WITHIN NINETY DAYS NOTICE TO SUCH PUBLIC EMPLOYEES. FOLLOWING OPT-IN  BY
A  PUBLIC  EMPLOYER  FOR PUBLIC EMPLOYEES NOT REPRESENTED BY AN EMPLOYEE
ORGANIZATION, THE PUBLIC EMPLOYER MAY OPT-OUT OF PAID FAMILY LEAVE BENE-
FITS WITH TWELVE MONTHS NOTICE TO THOSE PUBLIC EMPLOYEES.
  4. IN THE ABSENCE OF ANY CONTRARY STATEMENT IN A COLLECTIVELY  NEGOTI-
ATED AGREEMENT UNDER ARTICLE FOURTEEN OF THE CIVIL SERVICE LAW, A PUBLIC
EMPLOYER  MAY  REQUIRE PUBLIC EMPLOYEES WHO OPT IN UNDER THIS SECTION TO
PROVIDE THE MAXIMUM EMPLOYEE CONTRIBUTION, AS DEFINED IN  PARAGRAPH  (B)
OF SUBDIVISION THREE OF SECTION TWO HUNDRED NINE OF THIS ARTICLE.
  S  15.  Subdivision 1 of section 213 of the workers' compensation law,
as amended by chapter 784 of the laws of 1980,  is  amended  and  a  new
subdivision 3 is added to read as follows:
  1.  Whenever  a  covered employer does not comply with this article by
providing for the payment of disability AND FAMILY LEAVE benefits to his
OR HER employees in one or more of the  ways  provided  in  section  two
hundred  eleven  OF  THIS ARTICLE or whenever a carrier fails to pay the
benefits required by this article to employees of  a  covered  employer,
then  such employer shall be fully and directly liable to each of his OR
HER employees for the payment of benefits provided by this article.  The
amount of the benefits to which employees of such employers are entitled
under  this article and attendance fees of [their] ANY attending [physi-
cians or attending podiatrists] HEALTH CARE PROVIDER fixed  pursuant  to
subdivision two of section two hundred thirty-two OF THIS ARTICLE shall,
on  order  of  the [chairman] CHAIR, be paid out of the fund established
under section two hundred fourteen OF THIS ARTICLE.  In case of non-com-
pliance of the employer,  such  employer  shall  forthwith  pay  to  the
[chairman]  CHAIR,  for  credit  to the fund, the sum so expended or one
[per cent] PERCENT of his OR HER payroll for his  OR  HER  employees  in
employment  during  the  period of non-compliance, whichever is greater;
provided, however, that if it shall appear to the  satisfaction  of  the
[chairman] CHAIR that the default in payment of benefits or the non-com-
pliance  of the employer otherwise with his OR HER obligation under this
article was inadvertent, the [chairman] CHAIR may fix the sum payable in

S. 6405--A                         80                         A. 9005--A

such case for non-compliance or default at the amount paid  out  of  the
fund  and a sum less than one [per cent] PERCENT of such payroll, and in
addition the penalties for non-compliance imposed under this article. In
case  of  failure  of  the  carrier  to pay benefits, the employer shall
forthwith pay to the [chairman] CHAIR, for credit to the fund,  the  sum
so expended.
  3.  THE  PROVISIONS OF SECTION ONE HUNDRED FORTY-ONE-B OF THIS CHAPTER
SHALL NOT APPLY TO VIOLATIONS OF THIS SECTION AFTER JANUARY  FIRST,  TWO
THOUSAND  EIGHTEEN AND BEFORE JANUARY FIRST, TWO THOUSAND TWENTY. THERE-
AFTER, IN THE EVENT AN EMPLOYER IS SUBJECT TO DEBARMENT SOLELY DUE TO  A
PENALTY  FOR  VIOLATION OF THIS SECTION, THE CHAIR MAY, IN THE INTERESTS
OF JUSTICE, RESTORE THE EMPLOYER'S ELIGIBILITY TO SUBMIT A BID ON OR  BE
AWARDED  ANY PUBLIC WORK CONTRACT OR SUBCONTRACT. THE CHAIR MAY EXERCISE
THIS AUTHORITY ONLY IF IT IS THE  EMPLOYER'S  FIRST  TIME  VIOLATION  OF
SECTION  ONE  HUNDRED  FORTY-ONE-B  OF THIS CHAPTER; THE EMPLOYER IS NOT
LIABLE FOR ANY OUTSTANDING WORKERS' COMPENSATION, DISABILITY  OR  FAMILY
LEAVE  CLAIMS  AS A RESULT OF THE LACK OF COVERAGE; AND THE EMPLOYER HAS
PAID ALL FINES, ASSESSMENTS, AND PENALTIES ASSOCIATED WITH THE  LACK  OF
COVERAGE.
  S  16. Section 217 of the workers' compensation law, as added by chap-
ter 600 of the laws of 1949, subdivision 1 as amended by chapter 167  of
the  laws of 1999, subdivisions 2 and 3 as amended by chapter 270 of the
laws of 1990, and subdivision 6 as amended by chapter 344 of the laws of
1994, is amended to read as follows:
  S 217. Notice and proof of claim.   1. Written  notice  and  proof  of
disability  OR  PROOF OF NEED FOR FAMILY LEAVE shall be furnished to the
employer by or on behalf of the employee claiming benefits  or,  in  the
case  of  a claimant under section two hundred seven of this article, to
the chair, within thirty days after commencement of the period of  disa-
bility. Additional proof shall be furnished thereafter from time to time
as  the employer or carrier or chair may require but not more often than
once each week. Such proof shall include a statement  of  disability  by
the employee's [attending physician or attending podiatrist or attending
chiropractor or attending dentist or attending psychologist or attending
certified  nurse  midwife]  OR FAMILY LEAVE CARE RECIPIENT'S HEALTH CARE
PROVIDER, or in the case of an employee who  adheres  to  the  faith  or
teachings  of any church or denomination, and who in accordance with its
creed, tenets or principles depends  for  healing  upon  prayer  through
spiritual  means  alone  in  the  practice of religion, by an accredited
practitioner, containing facts and opinions as  to  such  disability  in
compliance  with  regulations of the chair. Failure to furnish notice or
proof within the time and in the manner above provided shall not invali-
date the claim but no benefits shall be required  to  be  paid  for  any
period more than two weeks prior to the date on which the required proof
is  furnished  unless it shall be shown to the satisfaction of the chair
not to have been reasonably possible to furnish such notice or proof and
that such notice or proof was furnished as soon as  possible;  provided,
however,  that  no  benefits  shall be paid unless the required proof of
disability is furnished within [twenty-six weeks after  commencement  of
the  period  of  disability]  THE  PERIOD OF ACTUAL DISABILITY OR FAMILY
LEAVE THAT DOES NOT EXCEED THE STATUTORY MAXIMUM PERIOD PERMITTED  UNDER
SECTION  TWO  HUNDRED  FIVE  OF  THIS  ARTICLE.    No limitation of time
provided in this section shall run  as  against  any  [person]  DISABLED
EMPLOYEE who is mentally incompetent, or physically incapable of provid-
ing  such  notice as a result of a serious medical condition, or a minor
so long as such person has no guardian of the person and/or property.

S. 6405--A                         81                         A. 9005--A

  2. An employee claiming DISABILITY benefits shall, as requested by the
employer or carrier, submit himself or herself  at  intervals,  but  not
more  than once a week, for examination by [a physician or podiatrist or
chiropractor or dentist or psychologist or certified nurse  midwife]  AN
ACCREDITED  HEALTH  CARE PROVIDER designated by the employer or carrier.
All such examinations shall be without cost to the employee and shall be
held at a reasonable time and place.
  3. The chair OR CHAIR'S DESIGNEE may direct  the  claimant  OR  FAMILY
LEAVE  CARE RECIPIENT to submit to examination by a [physician or podia-
trist or chiropractor or dentist or psychologist] HEALTH  CARE  PROVIDER
designated by him or her in any case in which the claim to disability OR
FAMILY  LEAVE  benefits is contested and in claims arising under section
two hundred seven OF THIS ARTICLE, and in other cases as  the  chair  or
board may require.
  4. Refusal of the claimant OR FAMILY LEAVE CARE RECIPIENT without good
cause  to  submit  to  any  such  examination shall disqualify [him] THE
CLAIMANT OR EMPLOYEE from all benefits hereunder for the period of  such
refusal, except as to benefits already paid.
  5.  If  benefits required to be paid by this article have been paid to
an employee, further payments for the same disability  OR  FAMILY  LEAVE
shall  not be barred solely because of failure to give notice or to file
proof of disability for the period or periods for  which  such  benefits
have been paid.
  6.  In the event that a claim for benefits is rejected, the carrier or
employer shall send by first class mail written notice of  rejection  to
the  [claimant] EMPLOYEE   within forty-five days of receipt of proof of
disability. Failure to mail such written notice of rejection within  the
time  provided,  shall bar the employer or carrier from contesting enti-
tlement to benefits for any period of disability prior  to  such  notice
but  such  failure  may  be excused by the [chairman] CHAIR if it can be
shown to the satisfaction of the  [chairman]  CHAIR  not  to  have  been
reasonably  possible to mail such notice and that such notice was mailed
as soon as possible.  Such notice shall include a statement, in  a  form
prescribed  by  the  [chairman] CHAIR, to the effect that the [claimant]
EMPLOYEE may, for the purpose of review [by the board], file  [with  the
chairman] notice that his or her claim has not been paid AS SET FORTH IN
SECTION TWO HUNDRED TWENTY-ONE OF THIS ARTICLE.
  S  17.  Section  219  of  the workers' compensation law, as amended by
chapter 688 of the laws of 1953, is amended to read as follows:
  S 219. Enforcement of payment in default. In case of a default in  the
payment  of  any  benefits,  assessments or penalties payable under this
article by an employer who has failed to comply with the  provisions  of
section  two hundred eleven of this [chapter] ARTICLE or refusal of such
employer to reimburse the fund under section  two  hundred  fourteen  OF
THIS ARTICLE for the expenditures made therefrom pursuant to section two
hundred  thirteen  OF  THIS  ARTICLE or to deposit within ten days after
demand the estimated  value  of  benefits  not  presently  payable,  the
[chairman]  CHAIR may file with the county clerk for the county in which
the employer has his principal place of business (1) a certified copy of
the decision of the board, OR ALTERNATIVE DISPUTE RESOLUTION ASSOCIATION
DESIGNATED BY THE CHAIR PURSUANT TO SECTION TWO  HUNDRED  TWENTY-ONE  OF
THIS  ARTICLE, or order of the [chairman] CHAIR, or (2) a certified copy
of the demand for deposit of security, and thereupon  judgment  must  be
entered  in  the supreme court by the clerk of such county in conformity
therewith immediately upon such filing.

S. 6405--A                         82                         A. 9005--A

  S 18. Section 220 of the workers' compensation law, as added by  chap-
ter  600 of the laws of 1949, subdivision 1 as amended by chapter 387 of
the laws of 1984, subdivision 2 as amended by chapter 626 of the laws of
1979, subdivision 3 as amended by chapter  415  of  the  laws  of  1983,
subdivision 4 as amended by chapter 645 of the laws of 1981, subdivision
5  as  amended  by  chapter  940  of  the laws of 1973, subdivision 7 as
amended by chapter 61 of the laws of 1989 and subdivision 8  as  amended
by chapter 213 of the laws of 1993, is amended to read as follows:
  S  220.  Penalties.  1.  Any  employer who fails to make provision for
payment of disability OR FAMILY LEAVE benefits as  required  by  section
two hundred eleven of this article within ten days following the date on
which such employer becomes a covered employer as defined in section two
hundred  two  OF  THIS ARTICLE shall be guilty of a misdemeanor and upon
conviction be punishable by a fine of not less than one hundred nor more
than five hundred dollars or imprisonment for not more than one year  or
both,  except  that  where any person has previously been convicted of a
failure to make provisions for payment of  disability  OR  FAMILY  LEAVE
benefits  within  the preceding five years, upon conviction for a second
violation such person shall be fined not less than two hundred fifty nor
more than one thousand two hundred fifty  dollars  in  addition  to  any
other  penalties  including  fines  otherwise  provided by law, and upon
conviction for a third or subsequent violation such person may be  fined
up  to two thousand five hundred dollars in addition to any other penal-
ties including fines otherwise provided by law. Where the employer is  a
corporation, the president, secretary, treasurer, or officers exercising
corresponding functions, shall each be liable under this section.
  2.  The [chairman] CHAIR or any officer of the board designated by him
OR HER, upon finding that an employer has failed to make  provision  for
the  payment  of  disability OR FAMILY LEAVE benefits, shall impose upon
such employer a penalty not in excess of a sum equal to one-half of  one
per  centum  of his OR HER weekly payroll for the period of such failure
and a further sum not in excess of  five  hundred  dollars,  which  sums
shall  be  paid into the fund created under section two hundred fourteen
OF THIS ARTICLE.
  3. If for the purpose of obtaining any benefit or  payment  under  the
provisions of this article, or for the purpose of influencing any deter-
mination regarding any benefit payment, either for himself OR HERSELF or
any  other  person,  any  person, employee, employer or carrier wilfully
makes a false statement or representation or fails to disclose a materi-
al fact, he OR SHE shall be guilty of a misdemeanor.
  4. Whenever a carrier shall fail to make prompt payment of  disability
OR  FAMILY  LEAVE benefits payable under this article and after [hearing
before an officer designated by the chairman]  A  DETERMINATION  BY  THE
CHAIR'S  DESIGNEE  for  that  purpose,  the [chairman] CHAIR OR DESIGNEE
shall determine that failure to make such  prompt  payment  was  without
just  cause,  the  [chairman]  CHAIR  OR DESIGNEE shall collect from the
carrier a sum not in excess of twenty-five per centum of the  amount  of
the  benefits  as to which the carrier failed to make payment, which sum
shall be credited to the special fund for disability benefits. In  addi-
tion,  the  [chairman] CHAIR OR DESIGNEE may collect and pay over to the
employee the sum of ten dollars in respect to  each  week,  or  fraction
thereof, for which benefits have not been promptly paid.
  5.  In  addition  to  other  penalties herein provided, the [chairman]
CHAIR OR DESIGNEE shall remove from the list of [physicians] HEALTH CARE
PROVIDERS authorized to render medical care  under  the  provisions  [of
articles one to eight, inclusive,] of this chapter [and from the list of

S. 6405--A                         83                         A. 9005--A

podiatrists authorized to render podiatric care under section thirteen-k
of this chapter, and from the list of chiropractors authorized to render
chiropractic  care  under section thirteen-l of this chapter the name of
any  physician  or  podiatrist  or  chiropractor] whom [he] THE CHAIR OR
DESIGNEE shall find, after reasonable investigation,  has  submitted  to
the employer or carrier or [chairman] CHAIR in connection with any claim
for  disability  benefits  under this article, a statement of disability
that is not truthful and complete.
  6. In addition to other penalties herein provided, any person who  for
the  purpose  of  obtaining any benefit or payment under this article or
for the purpose of influencing any determination regarding  any  benefit
payment,  knowingly  makes  a  false statement with regard to a material
fact, shall not be entitled to receive  benefits  with  respect  to  the
disability  claimed  or  any  disability  benefits  during the period of
twelve calendar months thereafter; but this penalty shall not be applied
more than once with respect to each such offense.
  7. All fines imposed under subdivisions one and three OF THIS SECTION,
except as herein otherwise provided, shall be paid  directly  and  imme-
diately  by  the  officer  collecting the same to the chair, and be paid
into  the  state  treasury,  provided,  however,  that  all  such  fines
collected  by  justices  of  the  peace  of towns and police justices of
villages shall be paid to the state comptroller in accordance  with  the
provisions  of  section  twenty-seven  of  the town law [and section one
hundred eighty-five of the village law, respectively].
  8. (a) The head of a state or municipal department, board,  commission
or  office  authorized  or required by law to issue any permit for or in
connection with any  work  involving  the  employment  of  employees  in
employment  as  defined in this article, and notwithstanding any general
or special statute requiring or authorizing the issue of  such  permits,
shall not issue such permit unless proof duly subscribed by an insurance
carrier  is  produced  in  a  form  satisfactory  to the chair, that the
payment of disability benefits AND AFTER  JANUARY  FIRST,  TWO  THOUSAND
TWENTY-ONE,  THE  PAYMENT OF FAMILY LEAVE BENEFITS for all employees has
been secured as provided by this  article.    Nothing  herein,  however,
shall  be  construed as creating any liability on the part of such state
or municipal department, board, commission or office to pay any disabil-
ity benefits to any such employee if so employed.
  (b) The head of a state or municipal department, board, commission  or
office  authorized  or required by law to enter into any contract for or
in connection with any work involving the  employment  of  employees  in
employment  as  defined in this article, and notwithstanding any general
or special statute requiring or authorizing any such contract, shall not
enter into any such contract unless proof duly subscribed by  an  insur-
ance  carrier  is produced in a form satisfactory to the chair, that the
payment of disability benefits AND AFTER  JANUARY  FIRST,  TWO  THOUSAND
EIGHTEEN,  THE  PAYMENT  OF  FAMILY LEAVE BENEFITS for all employees has
been secured as provided by this article.
  S 19. Section 221 of the  workers'  compensation  law,  as  separately
amended  by chapters 425 and 500 of the laws of 1985, is amended to read
as follows:
  S 221. Determination of contested claims  for  disability  AND  FAMILY
LEAVE  benefits.    [Within  twenty-six  weeks] IN ACCORDANCE WITH REGU-
LATIONS ADOPTED BY THE CHAIR, WITHIN TWENTY-SIX WEEKS of written  notice
of rejection of claim, the employee may file with the [chairman] CHAIR a
notice that his or her claim for disability OR FAMILY LEAVE benefits has
not  been  paid,  and  the  employee shall submit proof of disability OR

S. 6405--A                         84                         A. 9005--A

ENTITLEMENT TO FAMILY LEAVE and of his  or  her  employment,  wages  and
other  facts  reasonably  necessary  for determination of the employee's
right to such benefits. Failure to file  such  notice  within  the  time
provided,  may  be  excused [by the chairman] if it can be shown [to the
satisfaction of the chairman] not to have been  reasonably  possible  to
furnish such notice and that such notice was furnished as soon as possi-
ble.    On demand [of the chairman] the employer or carrier shall forth-
with deliver to the [chairman] BOARD the original or a true copy of  the
[attending  physician's  or attending podiatrist's or accredited practi-
tioner's statement] HEALTH CARE PROVIDER'S REPORT, wage  and  employment
data  and  all other papers in the possession of the employer or carrier
with respect to such claim.
  The [board] CHAIR OR DESIGNEE shall have full power and  authority  to
determine  all  issues in relation to every such claim for disability OR
FAMILY LEAVE benefits required or  provided  under  this  article[,  and
shall file its decision in the office of the chairman. Upon such filing,
the  chairman  shall  send to the parties a copy of the decision. Either
party may present evidence and be represented by counsel at any  hearing
on such claim.  The decision of the board shall be final as to all ques-
tions  of  fact  and, except as provided in section twenty-three of this
chapter, as to all questions of law].   Every decision  [of  the  board]
shall  be  complied  with  in  accordance with its terms within ten days
thereafter except [in case of appeal]  AS  PERMITTED  BY  LAW  UPON  THE
FILING OF A REQUEST FOR REVIEW, and any payments due under such decision
shall  draw simple interest from thirty days after the making thereof at
the rate provided in section five thousand four of  the  civil  practice
law  and rules. THE CHAIR SHALL ADOPT RULES AND REGULATIONS TO CARRY OUT
THE PROVISIONS OF THIS ARTICLE INCLUDING BUT NOT LIMITED  TO  RESOLUTION
OF  CONTESTED  CLAIMS  AND  REQUESTS  FOR REVIEW THEREOF, AND PAYMENT OF
COSTS FOR RESOLUTION OF DISPUTED CLAIMS BY  CARRIERS.  THE  CHAIR  SHALL
HAVE  AUTHORITY TO PROVIDE FOR ALTERNATIVE DISPUTE RESOLUTION PROCEDURES
FOR CLAIMS ARISING UNDER THIS  ARTICLE  INCLUDING  BUT  NOT  LIMITED  TO
REFERRAL AND SUBMISSION OF DISPUTED CLAIMS TO MANDATORY ARBITRATION WITH
PRIVATE ARBITRATION ASSOCIATIONS, AND ANY DETERMINATION MADE BY ALTERNA-
TIVE  DISPUTE  RESOLUTION  SHALL  NOT BE REVIEWABLE BY THE BOARD AND THE
VENUE FOR ANY APPEAL SHALL BE TO A COURT OF COMPETENT JURISDICTION.
  S 20. Section 222 of the workers' compensation law, as added by  chap-
ter 600 of the laws of 1949, is amended to read as follows:
  S  222.  Technical  rules  of evidence or procedure not required.  The
[chairman or] CHAIR, the board OR THE CHAIR'S  DESIGNEE,  in  making  an
investigation  or  inquiry or conducting a hearing shall not be bound by
common law or statutory rules of evidence  or  by  technical  or  formal
rules  of  procedure,  except  as provided by this chapter; but may make
such investigation or inquiry or conduct such hearing in such manner  as
to ascertain the substantial rights of the parties.
  S  21.  Sections  223  and  224  of  the workers' compensation law are
REPEALED.
  S 22. Section 225 of the workers' compensation law, as added by  chap-
ter 600 of the laws of 1949, is amended to read as follows:
  S  225. Fees for representing employees. Claims of attorneys and coun-
sellors-at-law for services in connection with any contested claim aris-
ing under this article shall not be enforceable unless approved  by  the
board.  If  so  approved,  such fee or fees shall become a lien upon the
benefits ordered, but shall be paid therefrom only in the  manner  fixed
by  the  board  OR  THE ALTERNATIVE DISPUTE RESOLUTION ASSOCIATION.  Any
other person, firm, corporation, organization, or other association  who

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shall  exact or receive any fee or gratuity for any services rendered on
behalf of an employee except in an amount SO determined [by  the  board]
shall  be guilty of a misdemeanor. Any person, firm, corporation, organ-
ization,  or  association  who  shall solicit the business [of appearing
before the board on behalf] of an employee claiming benefits under  this
article,  or  who  shall  make it a business to solicit employment for a
lawyer in connection with any claim for disability OR FAMILY LEAVE bene-
fits under this article, or who shall exact or receive any fee or gratu-
ity or other charge with respect to the collection  of  any  uncontested
claim  for  disability  OR  FAMILY  LEAVE benefits, shall be guilty of a
misdemeanor.
  S 23. Subdivision 5 of section 226 of the workers'  compensation  law,
as  amended by chapter 211 of the laws of 1983, is amended and three new
subdivisions 7, 8 and 9 are added to read as follows:
  5. No contract of insurance issued by an insurance  carrier  providing
the benefits to be paid under this article 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  such  cancellation  shall  not be effective until at least ten
days after a notice of cancellation of such contract, on a  date  speci-
fied  in  such  notice,  shall  be filed in the office of the [chairman]
CHAIR and also served on the employer. When cancellation is due  to  any
reason other than non-payment of premiums 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  [chairman]  CHAIR  and  also  served  on  the  employer;
provided,  however, in either case that if insurance with another insur-
ance carrier has been obtained 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. Such  notice  shall  be
served on the employer [by] AS PRESCRIBED BY THE CHAIR, INCLUDING deliv-
ering  it  to  him  [or  by  sending it by certified or registered mail,
return receipt requested, addressed to the employer at his or  its  last
known  place  of business] OR HER BY ELECTRONIC MEANS; provided that, if
the employer be a partnership, then such notice may be given to any  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, provided, however, the right to cancellation of a
policy  of  insurance  in  the  state  fund  shall be exercised only for
nonpayment of premiums or as provided in  section  ninety-four  of  this
chapter.
  7.  THE CHAIR MAY REQUIRE BY REGULATION THAT EVERY POLICY OF INSURANCE
CONTAIN A PROVISION REQUIRING THAT ALL DISPUTES BE RESOLVED BY MANDATORY
ARBITRATION, IN ACCORDANCE WITH SUCH REGULATIONS.
  8. PREMIUMS FOR POLICIES PROVIDING DISABILITY OR FAMILY LEAVE BENEFITS
IN ACCORDANCE WITH THIS ARTICLE SHALL BE CALCULATED IN  ACCORDANCE  WITH
APPLICABLE  PROVISIONS OF THE INSURANCE LAW, INCLUDING SUBSECTION (N) OF
SECTION FOUR THOUSAND TWO HUNDRED THIRTY-FIVE OF SUCH LAW.
  9. EXCEPT AS SET FORTH IN SUBDIVISION EIGHT  OF  SECTION  TWO  HUNDRED
ELEVEN  OF  THIS  ARTICLE,  EVERY POLICY OF INSURANCE ISSUED PURSUANT TO
THIS ARTICLE MUST OFFER COVERAGE FOR BOTH DISABILITY  AND  FAMILY  LEAVE
BENEFITS.
  S  24. The section heading of section 227 of the workers' compensation
law, as amended by chapter 805 of the laws of 1984, is amended  to  read
as follows:
  Actionable injuries IN CLAIMS FOR DISABILITY BENEFITS; subrogation.

S. 6405--A                         86                         A. 9005--A

  S  25.  Subdivision 1 of section 228 of the workers' compensation law,
as added by section 27 of part GG of chapter 57 of the laws of 2013,  is
amended to read as follows:
  1.  The  estimated  annual expenses necessary for the workers' compen-
sation board OR DEPARTMENT  OF  FINANCIAL  SERVICES  to  administer  the
provisions  of  the  disability  AND  FAMILY LEAVE 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.
  S 26. Section 229 of the workers'  compensation  law,  as  amended  by
chapter 271 of the laws of 1985, is amended to read as follows:
  S  229.  Posting  of notice and providing of notice of rights. 1. Each
covered employer shall post and maintain in a conspicuous place or plac-
es in and about the employer's place or places of  business  typewritten
or  printed  notices in form prescribed by the [chairman] CHAIR, stating
that the employer has provided for the payment of disability AND  FAMILY
LEAVE  benefits  as  required  by this article. The [chairman] CHAIR may
require any covered employer to furnish a written statement at any  time
showing  the carrier insuring the payment of benefits under this article
or the manner in which such  employer  has  complied  with  section  two
hundred  eleven  OF THIS ARTICLE or any other provision of this article.
Failure for a period of ten days to furnish such written statement shall
constitute presumptive evidence that  such  employer  has  neglected  or
failed in respect of any of the matters so required.
  2.  Whenever  an  employee  of  a covered employer who is eligible for
benefits under section two hundred four of this article shall be  absent
from  work  due  to a disability OR TO PROVIDE FAMILY CARE as defined in
subdivision nine AND SUBDIVISION TWENTY-FIVE  RESPECTIVELY,  of  section
two  hundred  one  of this article for more than seven consecutive days,
the employer shall provide the employee with a written statement of  the
employee's rights under this article in a form prescribed by the [chair-
man] CHAIR.  The statement shall be provided to the employee within five
business  days  after  the employee's seventh consecutive day of absence
due to disability OR FAMILY LEAVE or within five business days after the
employer [knows or should know] HAS RECEIVED NOTICE that the  employee's
absence is due to disability OR FAMILY LEAVE, whichever is later.
  S  27.  Section  232  of  the workers' compensation law, as amended by
chapter 270 of the laws of 1990, is amended to read as follows:
  S 232. Fees FOR TESTIMONY of [physicians, podiatrists,  chiropractors,
dentists  and psychologists] HEALTH CARE PROVIDERS.  Whenever his or her
attendance at a hearing, DEPOSITION OR ARBITRATION before the  board  or
[its  referees]  THE CHAIR'S DESIGNEE is required, the attending [physi-
cian or attending podiatrist  or  attending  chiropractor  or  attending
dentist  or  attending psychologist or attending certified nurse midwife
of the disabled employee, except such  physicians  as  are  disqualified
from  testifying  pursuant  to subdivision one of section thirteen-b, or
section nineteen-a of this chapter, and except such podiatrists  as  are
disqualified from testifying under the provisions of section thirteen-k,
and  except such chiropractors as are disqualified from testifying under
the provisions of section thirteen-l, and except such  psychologists  as
are  disqualified  from testifying under the provisions of section thir-
teen-m,] HEALTH CARE PROVIDER shall be entitled to receive a  fee  [from
the  carrier or the fund established under section two hundred fourteen,
in an amount as directed and fixed by the board, or  its  referees,  and
such  fee  shall  be  in addition to any witness fee] IN ACCORDANCE WITH
REGULATIONS OF THE CHAIR.

S. 6405--A                         87                         A. 9005--A

  S 28. Section 237 of the workers' compensation law, as added by  chap-
ter 600 of the laws of 1949, is amended to read as follows:
  S 237. Reimbursement for advance payments by employers. If an employer
has made advance payments of benefits or has made payments to an employ-
ee  in  like  manner  as wages during any period of disability OR FAMILY
LEAVE for which such employee is entitled to the  benefits  provided  by
this article, he OR SHE shall be entitled to be reimbursed by the carri-
er  out of any benefits due or to become due for the existing disability
OR FAMILY LEAVE, if THE claim for reimbursement is filed with the carri-
er prior to payment of the benefits BY THE CARRIER.
  S 29. Section 238 of the workers' compensation law, as added by  chap-
ter 600 of the laws of 1949, is amended to read as follows:
  S  238. Payments to minors. Minors shall be deemed to be sui juris for
the purpose of [receiving] payment of benefits under this article.
  S 30. Section 239 of the workers' compensation law, as added by  chap-
ter 600 of the laws of 1949, is amended to read as follows:
  S  239.  Representation  before the board. Any person, firm, or corpo-
ration licensed by the board under section twenty-four-a OF THIS ARTICLE
or subdivision three-b of section fifty OF THIS CHAPTER shall be  deemed
to  be  authorized  to  appear  in  behalf  of claimants or self insured
employers, as the case may be, in contested disability OR  FAMILY  LEAVE
claims under this article.
  S  31. The section heading and the opening paragraph of section 120 of
the workers' compensation law, as amended by chapter 61 of the  laws  of
1989, are amended to read as follows:
  Discrimination  against employees [who bring proceedings]. It shall be
unlawful for any employer  or  his  or  her  duly  authorized  agent  to
discharge  OR  FAIL TO REINSTATE PURSUANT TO SECTION TWO HUNDRED THREE-B
OF THIS CHAPTER, or in any other manner discriminate against an employee
as to his or  her  employment  because  such  employee  has  claimed  or
attempted  to  claim  compensation  from  such  employer,  OR CLAIMED OR
ATTEMPTED TO CLAIM ANY BENEFITS PROVIDED UNDER THIS CHAPTER  or  because
he  or  she  has  testified or is about to testify in a proceeding under
this chapter and no other valid reason is shown to exist for such action
by the employer.
  S 32. Subdivision 2 of section 76 of the workers' compensation law, as
added by chapter 600 of the laws of 1949, is amended to read as follows:
  2. The purposes of the state insurance fund herein created are  hereby
enlarged to provide [for the] insurance [by the state insurance fund of]
FOR  the payment of the benefits required by section two hundred four of
this chapter INCLUDING BENEFITS FOR FAMILY CARE.   A  separate  fund  is
hereby  created within the state insurance fund, which shall be known as
the "disability benefits fund", and which shall consist of all  premiums
received and paid into said fund on account of such insurance, all secu-
rities  acquired by and through the use of moneys belonging to said fund
and of interest earned upon moneys belonging to said fund and  deposited
or  invested  as herein provided. Said disability benefits fund shall be
applicable to the payment  of  benefits,  expenses  and  assessments  on
account  of  insurance written pursuant to article nine of this chapter.
PREMIUMS FOR POLICIES PROVIDING DISABILITY AND FAMILY LEAVE BENEFITS  IN
ACCORDANCE  WITH  THIS  ARTICLE  SHALL  BE CALCULATED IN ACCORDANCE WITH
APPLICABLE PROVISIONS OF THE INSURANCE LAW, INCLUDING SUBSECTION (N)  OF
SECTION  FOUR  THOUSAND  TWO  HUNDRED THIRTY-FIVE OF SUCH LAW. THE STATE
INSURANCE FUND SHALL HAVE AUTHORITY TO DISCOUNT OR SURCHARGE  ON  ESTAB-
LISHED PREMIUM RATES BASED ON SOUND ACTUARIAL PRINCIPLES.

S. 6405--A                         88                         A. 9005--A

  S 33. Section 88-c of the workers' compensation law, as added by chap-
ter 103 of the laws of 1981, is amended to read as follows:
  S  88-c.  Coverage  of  state  employees.  Notwithstanding  any  other
provisions of law to the contrary AND EXCEPT AS SET FORTH IN SECTION TWO
HUNDRED AND TWELVE-A OF THIS CHAPTER, the liability of the state for the
payment of compensation under this chapter heretofore existing or  here-
inafter  arising shall be secured by an insuring agreement to be entered
into between the department of civil service  and  the  state  insurance
fund  wherein the state, from moneys appropriated therefor, shall pay in
advance to the fund on a periodic basis the actual costs to the fund for
the meeting and paying, as the same become due and  payable,  all  obli-
gations  incurred  under  this  chapter  by  the  state  as an employer.
Notwithstanding any law to the contrary, the fund may on an  actuarially
sound  basis provide to the state insurance for any portion of the obli-
gations of the state as employer under  this  chapter  with  respect  to
injuries  or  deaths  resulting from accidents arising out of and in the
course of employment on or after April first, nineteen  hundred  eighty-
one.  All  such  payments made by the state and paid into the state fund
shall constitute a separate account in the fund to be  used  solely  for
the  purpose  of  discharging  all compensation obligations of the state
pursuant to the provisions of this chapter and in  accordance  with  the
insuring  agreement  as  provided  in  this  section. Any portion of the
account may be invested in the same manner as the assets of the fund  as
provided  in  section eighty-seven of this article. The liability of the
fund for the payment of any claims or the meeting of any obligations  of
the  state  as  an employer as provided in this chapter shall not exceed
the moneys paid into such separate account and any increments or diminu-
tions thereof. The agreement shall further provide that the  fund  shall
render  all  services  and make all reasonable expenditures necessary or
required for the processing, defense and payment  of  all  claims  under
this chapter, including the protection of liens, subrogation, credit and
other  rights  of the state as an employer or the fund as an insurer, in
situations where the employees' injuries or deaths were caused by culpa-
bility of third parties. Except to the extent  that  the  state  obtains
insurance  on  an  actuarially sound basis pursuant to the provisions of
this section, the provisions of section eighty-six of this chapter  with
respect to the maintenance of reserves for the purpose of meeting antic-
ipated  compensation  losses,  shall  not in any manner be applicable to
claims of employees of the state with  respect  to  injuries  or  deaths
resulting  from accidents arising out of and in the course of employment
prior to April first, nineteen hundred eighty-one,  or  to  an  insuring
agreement  entered into between the state insurance fund and the depart-
ment of civil service in accordance with the provisions of this section.
  S 34. Subdivision 1 of section 141-a of the workers' compensation law,
as added by chapter 6 of the  laws  of  2007,  is  amended  to  read  as
follows:
  1.  To investigate violations of sections fifty-two [and], one hundred
thirty-one AND TWO HUNDRED THIRTEEN of this chapter, the chair or his or
her designees shall have the power to:
  (a) Enter and inspect any place of business at any reasonable time for
the purpose of investigating employer compliance.
  (b) Examine and copy business records.
  (c) Administer oaths and affirmations.
  (d)  Issue  and  serve  subpoenas  for  attendance  of  witnesses   or
production  of business records, books, papers, correspondence, memoran-
da, and other records. Such subpoenas may be served without the state on

S. 6405--A                         89                         A. 9005--A

any defendant over whom a New York court would have  personal  jurisdic-
tion  under  the  civil  practice law and rules as to the subject matter
under investigation, provided the information or testimony sought  bears
a reasonable relationship to the subject matter under investigation.
  S  35. Section 318 of the workers' compensation law, as added by chap-
ter 788 of the laws of 1951, is amended to read as follows:
  S 318. Rules of evidence; modification of board decisions  or  orders;
appeals.  The provisions of [sections] SECTION two hundred twenty-two [,
two hundred twenty-three and two hundred twenty-four]  OF  THIS  CHAPTER
are made applicable to claims for compensation under this article.
  S  36.  Paragraph 3 of subsection (a) of section 1113 of the insurance
law is amended to read as follows:
  (3) "Accident and health insurance," means (i) insurance against death
or personal injury by accident or by any  specified  kind  or  kinds  of
accident  and  insurance  against  sickness,  ailment  or bodily injury,
including insurance  providing  disability  AND  FAMILY  LEAVE  benefits
pursuant  to  article  nine  of the workers' compensation law, except as
specified in item  (ii)  hereof;  and  (ii)  non-cancellable  disability
insurance, meaning insurance against disability resulting from sickness,
ailment  or  bodily injury (but excluding insurance solely against acci-
dental injury) under any contract which does not give  the  insurer  the
option  to  cancel  or  otherwise terminate the contract at or after one
year from its effective date or renewal date.
  S 37. Paragraphs 1 and 4 of subsection (h)  of  section  4235  of  the
insurance  law  are amended and a new subsection (n) is to added read as
follows:
  (1) Each domestic insurer and each  foreign  or  alien  insurer  doing
business  in this state shall file with the superintendent its schedules
of  premium  rates,  rules  and  classification  of  risks  for  use  in
connection  with  the  issuance of its policies of group accident, group
health or group accident and health  insurance,  and  of  its  rates  of
commissions,  compensation  or  other  fees  or allowances to agents and
brokers pertaining to the solicitation or sale of such insurance and  of
such fees or allowances, exclusive of amounts payable to persons who are
in  the  regular employ of the insurer, other than as agent or broker to
any individuals, firms or corporations pertaining to such class of busi-
ness, whether transacted within or without the state. A  GROUP  ACCIDENT
AND  HEALTH INSURANCE POLICY PROVIDING DISABILITY AND FAMILY LEAVE BENE-
FITS PURSUANT TO ARTICLE NINE OF THE WORKERS' COMPENSATION LAW SHALL  BE
SUBJECT TO THE REQUIREMENTS OF SUBSECTION (N) OF THIS SECTION.
  (4) Nothing herein shall prohibit the state insurance fund from taking
into account peculiar hazards of individual risks in establishing higher
premium  rates  to be charged for insurance providing for the payment of
disability [or] AND FAMILY LEAVE benefits  in  accordance  with  article
nine of the workers' compensation law.
  (N)(1)  ON  OR  BEFORE  JUNE FIRST, TWO THOUSAND SEVENTEEN, THE SUPER-
INTENDENT OF FINANCIAL SERVICES BY REGULATION, IN CONSULTATION WITH  THE
CHAIR  OF THE WORKERS' COMPENSATION BOARD OF THIS STATE, SHALL DETERMINE
WHETHER A GROUP ACCIDENT AND HEALTH INSURANCE POLICY PROVIDING DISABILI-
TY OR FAMILY LEAVE BENEFITS  PURSUANT  TO  ARTICLE  9  OF  THE  WORKERS'
COMPENSATION LAW, INCLUDING POLICIES ISSUED BY THE STATE INSURANCE FUND,
SHALL BE EXPERIENCE RATED OR COMMUNITY RATED, WHICH MAY INCLUDE SUBJECT-
ING THE POLICY TO A RISK ADJUSTMENT MECHANISM.
  (2)  IF  THE  POLICY  IS SUBJECTED TO A RISK ADJUSTMENT MECHANISM, THE
SUPERINTENDENT OF FINANCIAL SERVICES SHALL PROMULGATE REGULATIONS NECES-
SARY FOR THE IMPLEMENTATION OF THIS SUBSECTION IN CONSULTATION WITH  THE

S. 6405--A                         90                         A. 9005--A

CHAIR  OF  THE  WORKERS' COMPENSATION BOARD OF THIS STATE. ANY SUCH RISK
ADJUSTMENT MECHANISM SHALL BE ADMINISTERED DIRECTLY BY  THE  SUPERINTEN-
DENT OF FINANCIAL SERVICES OF THIS STATE, IN CONSULTATION WITH THE CHAIR
OF  THE  WORKERS'  COMPENSATION BOARD OF THIS STATE, OR BY A THIRD PARTY
VENDOR SELECTED BY THE SUPERINTENDENT OF FINANCIAL SERVICES IN CONSULTA-
TION WITH THE CHAIR OF THE WORKERS' COMPENSATION BOARD.
  (3) "RISK ADJUSTMENT MECHANISM" AS USED IN THIS SUBSECTION  MEANS  THE
PROCESS  USED  TO  EQUALIZE THE PER MEMBER PER MONTH CLAIM AMOUNTS AMONG
INSURERS IN ORDER TO  PROTECT  INSURERS  FROM  DISPROPORTIONATE  ADVERSE
RISKS.
  S 38. Subdivision (c) of section 1108 of the insurance law, as amended
by chapter 838 of the laws of 1985, is amended to read as follows:
  (c)  The  state  insurance  fund  of  this  state,  except  as  to the
provisions of subsection (d) of section two thousand three hundred thir-
ty-nine, section three thousand one hundred ten, subsection  (a),  para-
graph  one  of  subsection  (b),  paragraph  three of subsection (c) and
subsection (d) of section three thousand two hundred one, sections three
thousand two hundred two, three thousand two hundred  four,  subsections
(a)  through  (d)  of  section  three  thousand  two hundred twenty-one,
subsections (b) and (c) of section four  thousand  two  hundred  twenty-
four,  section  four thousand two hundred twenty-six and subsections (a)
and (b) [and], (g) through (j), AND (N) of  section  four  thousand  two
hundred thirty-five of this chapter and except as otherwise specifically
provided by the laws of this state.
  S  39. Section 242 of the workers' compensation law, as added by chap-
ter 600 of the laws of 1949, is amended to read as follows:
  S 242. Separability of provisions; FEDERAL LAW; REGULATIONS.    1.  If
any  provision  of  this [act] ARTICLE or the application thereof to any
person or circumstances is held invalid, the  remainder  of  this  [act]
ARTICLE  and  the  application  of  such  provision  to other persons or
circumstances shall not be affected thereby.
  2. NOTHING IN THIS ARTICLE SHALL BE INTERPRETED OR APPLIED  SO  AS  TO
CREATE A CONFLICT WITH FEDERAL LAW.
  3.  THE  CHAIR SHALL HAVE AUTHORITY TO ADOPT REGULATIONS TO EFFECTUATE
ANY OF THE PROVISIONS OF THIS ARTICLE.
  S 40. This act shall take effect on the April 1, 2016 and shall  apply
to  all  policies  or  contracts  issued,  renewed, modified, altered or
amended on or after such effective date; provided, however, that  effec-
tive  immediately,  the addition, amendment and/or repeal of any rule or
regulation necessary for the implementation of this act on its effective
date are authorized and directed to be made and completed on  or  before
such effective date.

                                 PART I

  Section  1.  The  public  authorities  law  is amended by adding a new
section 1678-a to read as follows:
  S 1678-A. NEW YORK STATE DESIGN AND CONSTRUCTION CORPORATION ACT.   1.
PURPOSES  OF  ACT.    THE  PURPOSES  OF  THE  NEW  YORK STATE DESIGN AND
CONSTRUCTION CORPORATION ACT ARE TO: (A) ESTABLISH THE  NEW  YORK  STATE
DESIGN  AND  CONSTRUCTION  CORPORATION  IN  ORDER  TO PROVIDE ADDITIONAL
PROJECT MANAGEMENT EXPERTISE AND OVERSIGHT ON SIGNIFICANT  PUBLIC  WORKS
PROJECTS  UNDERTAKEN  BY STATE AGENCIES, DEPARTMENTS, PUBLIC AUTHORITIES
AND PUBLIC BENEFIT CORPORATIONS; (B) SET FORTH  THE  RESPONSIBILITY  AND
OBLIGATION  OF  ALL  STATE AGENCIES, DEPARTMENTS, PUBLIC AUTHORITIES AND
PUBLIC BENEFIT CORPORATIONS TO COOPERATE WITH THE CORPORATION AND ACCOM-

S. 6405--A                         91                         A. 9005--A

PLISH THE PURPOSES OF THIS SECTION; (C) MAKE PROVISIONS FOR  CONTRACTUAL
REQUIREMENTS  CONCERNING  THE  INCORPORATION  OF THIS SECTION FOR PUBLIC
WORKS PROJECTS HAVING A TOTAL OR AGGREGATE CONSTRUCTION VALUE IN  EXCESS
OF  FIFTY MILLION DOLLARS AND FOR ANY AND ALL CONTRACTS RELATING TO SUCH
PROJECTS WHICH ARE ADVERTISED FOR BID OR PROPOSAL OR OTHERWISE  PROCURED
AND/OR ENTERED INTO ON OR AFTER JANUARY FIRST, TWO THOUSAND SIXTEEN; AND
(D)  PROVIDE A MEANS TO IMPLEMENT IMPROVEMENTS AND OTHER PROJECT CHANGES
ON ALL PROPOSED PUBLIC WORKS PROJECTS IN EXCESS OF FIFTY MILLION DOLLARS
IN TOTAL OR AGGREGATE VALUE, IN A MORE  TIMELY  FASHION,  SO  THAT  SUCH
PROJECTS CAN BE ACCOMPLISHED, TO THE EXTENT PRACTICABLE, ON TIME, WITHIN
BUDGET AND AT AN ACCEPTABLE OVERALL QUALITY AND COST TO THE STATE OF NEW
YORK.
  2.  NEW  YORK  STATE DESIGN AND CONSTRUCTION CORPORATION. (A) THERE IS
HEREBY ESTABLISHED THE NEW YORK STATE  DESIGN  AND  CONSTRUCTION  CORPO-
RATION AS A SUBSIDIARY CORPORATION OF THE DORMITORY AUTHORITY.
  (B)  THE DORMITORY AUTHORITY MAY TRANSFER OR ASSIGN TO SUCH SUBSIDIARY
CORPORATION ANY REAL, PERSONAL OR MIXED PROPERTY AS SHALL BE REQUIRED IN
ORDER TO CARRY OUT THE PURPOSES OF THIS ACT. THE  AUTHORITY  MAY  ASSIGN
ANY  SUCH  EMPLOYEES TO WORK FOR THE CORPORATION AS SHALL BE REQUIRED IN
ORDER TO CARRY OUT THE PURPOSES OF THIS SECTION.    NOTWITHSTANDING  ANY
PROVISION  OF  LAW  TO THE CONTRARY, THE TERM "EMPLOYEE" AS SET FORTH IN
THIS SECTION SHALL MEAN A  DORMITORY  AUTHORITY  EMPLOYEE  ASSIGNED,  IN
WHOLE, OR IN PART, TO WORK FOR THE CORPORATION.
  (C)  SUCH CORPORATION SHALL BE A BODY CORPORATE AND POLITIC CONSTITUT-
ING A PUBLIC BENEFIT CORPORATION, AND SHALL HAVE ALL OF THE  PRIVILEGES,
IMMUNITIES, TAX EXEMPTIONS AND OTHER EXEMPTIONS OF THE DORMITORY AUTHOR-
ITY TO THE EXTENT THE SAME ARE NOT INCONSISTENT WITH THIS SECTION.
  (D)  THE  BOARD  OF  THE CORPORATION SHALL CONSIST OF THREE MEMBERS AS
DESIGNATED BY THE GOVERNOR, AND THE GOVERNOR SHALL DESIGNATE  THE  CHAIR
FROM  AMONG  THE  MEMBERS OF THE CORPORATION'S BOARD. THE MEMBERS OF THE
CORPORATION'S BOARD SHALL SERVE UNTIL SUCH TIME AS HIS OR HER  SUCCESSOR
IS APPOINTED BY THE GOVERNOR.
  (E)  A QUORUM SHALL CONSIST OF A MAJORITY OF THE MEMBERS OF THE BOARD.
A QUORUM SHALL BE REQUIRED  FOR  THE  BOARD  TO  CONDUCT  BUSINESS,  AND
APPROVAL  OF  ANY  MATTER  PROPERLY  BEFORE  THE BOARD SHALL REQUIRE THE
AFFIRMATIVE VOTE OF THE MAJORITY OF THE BOARD.  MEETINGS OF  THE  CORPO-
RATION  SHALL  BE  CALLED  BY THE CHAIR, OR BY A MAJORITY OF THE MEMBERS
APPOINTED. MEETINGS SHALL BE HELD AT LEAST BI-ANNUALLY.
  (F) NOTHING IN THIS SUBDIVISION  SHALL  BE  CONSTRUED  TO  IMPOSE  ANY
LIABILITIES,  OBLIGATIONS  OR  RESPONSIBILITIES OF SUCH CORPORATION UPON
THE DORMITORY AUTHORITY, AND THE AUTHORITY SHALL HAVE  NO  LIABILITY  OR
RESPONSIBILITY  THEREFOR UNLESS THE AUTHORITY EXPRESSLY AGREES BY RESOL-
UTION OF THE AUTHORITY BOARD TO ASSUME THE SAME.
  (G) THE PROVISIONS OF SECTION SIXTEEN HUNDRED NINETY-ONE OF THIS TITLE
SHALL IN ALL RESPECTS APPLY TO MEMBERS OF THE CORPORATION AND ANY  OFFI-
CER,  EMPLOYEE  OR  AGENT  OF  THE  DORMITORY  AUTHORITY  TRANSFERRED OR
ASSIGNED TO THE CORPORATION, WHILE ACTING WITHIN THE SCOPE OF  HIS,  HER
OR ITS AUTHORITY.
  (H)  ALL  OF  THE PROVISIONS OF SECTIONS SEVENTEEN AND NINETEEN OF THE
PUBLIC OFFICERS LAW SHALL APPLY TO THE MEMBERS, DIRECTORS, OFFICERS  AND
EMPLOYEES OF THE CORPORATION.
  (I)  THE CORPORATION CREATED PURSUANT TO THIS SECTION SHALL BE SUBJECT
TO ANY OTHER PROVISIONS OF THIS CHAPTER PERTAINING  TO  SUBSIDIARIES  OF
PUBLIC AUTHORITIES TO THE EXTENT THAT SUCH PROVISIONS ARE NOT INCONSIST-
ENT WITH THE PROVISIONS OF THIS SECTION.

S. 6405--A                         92                         A. 9005--A

  3. CORPORATION REVIEW AND OVERSIGHT OF PUBLIC WORKS CONTRACTS. FOR ALL
PUBLIC  WORKS PROJECTS HAVING A TOTAL OR AGGREGATE CONSTRUCTION VALUE IN
EXCESS OF FIFTY MILLION DOLLARS AND FOR ANY AND ALL  CONTRACTS  RELATING
TO  SUCH  PROJECTS WHICH ARE ADVERTISED FOR BID OR PROPOSAL OR OTHERWISE
PROCURED  AND/OR  ENTERED  INTO  ON OR AFTER JANUARY FIRST, TWO THOUSAND
SIXTEEN:
  (A) ANY STATE AGENCY, DEPARTMENT, PUBLIC AUTHORITY OR  PUBLIC  BENEFIT
CORPORATION PROPOSING A PUBLIC WORKS PROJECT HAVING A TOTAL OR AGGREGATE
CONSTRUCTION  VALUE  IN  EXCESS  OF  FIFTY MILLION DOLLARS SHALL PROVIDE
WRITTEN NOTICE TO THE CORPORATION OF SUCH PROPOSAL, TO  INCLUDE  WITHOUT
LIMITATION,  THE  ESTIMATED  VALUE  OF  THE PROJECT AND A SUMMARY OF THE
SCOPE AND DURATION OF THE PROJECT. PROJECTS  SHALL  NOT  BE  DIVIDED  OR
SEGMENTED FOR THE PURPOSES OF AVOIDING COMPLIANCE WITH THE PROVISIONS OF
THIS ACT.
  (B)  THE CORPORATION SHALL HAVE THE AUTHORITY TO, AND MAY, IN ITS SOLE
DISCRETION, REQUIRE REVIEW AND OVERSIGHT, IN WHOLE OR IN  PART,  OF  ANY
PROJECT, AND MAKE RECOMMENDATIONS REGARDING REQUIRED CORRECTIVE OR OTHER
ACTION TO ANY STATE AGENCY, DEPARTMENT, PUBLIC AUTHORITY OR PUBLIC BENE-
FIT CORPORATION IN CONNECTION WITH SUCH PROJECT.
  (C)  FOR  THE  PURPOSES OF THIS SECTION, THE TERM "PROJECT" SHALL MEAN
ANY WORK ASSOCIATED WITH THE PLANNING, ACQUISITION, DESIGN, ENGINEERING,
ENVIRONMENTAL ANALYSIS, CONSTRUCTION, RECONSTRUCTION, RESTORATION, REHA-
BILITATION, ESTABLISHMENT, IMPROVEMENT, RENOVATION,  EXTENSION,  REPAIR,
REVITALIZATION, MANAGEMENT AND DEVELOPMENT OF A CAPITAL ASSET AS DEFINED
IN SECTION TWO OF THE STATE FINANCE LAW.
  (D)  THE  STATE AGENCY, DEPARTMENT, PUBLIC AUTHORITY OR PUBLIC BENEFIT
CORPORATION UNDERTAKING SUCH PROJECT  SHALL  FULLY  COOPERATE  WITH  ANY
DETERMINATION  OF  THE CORPORATION, AND PROVIDE ACCESS TO ALL PERSONNEL,
BOOKS, RECORDS, PLANS, SPECIFICATIONS, DATA AND OTHER INFORMATION AS MAY
BE NECESSARY FOR THE CORPORATION TO PERFORM ITS DUTIES.
  (E) IN THE EVENT THE CORPORATION DETERMINES THAT CORRECTIVE  OR  OTHER
ACTION  IS NECESSARY FOR SUCH A PROJECT, THEN THE CORPORATION SHALL HAVE
THE AUTHORITY TO  DIRECT  THAT  THE  STATE  AGENCY,  DEPARTMENT,  PUBLIC
AUTHORITY  OR  PUBLIC  BENEFIT CORPORATION UNDERTAKING THE PROJECT SHALL
IMPLEMENT ALL CORRECTIVE OR OTHER ACTION AS SHALL BE REQUIRED TO  ACCOM-
PLISH THE PROJECT, TO THE EXTENT PRACTICABLE, ON TIME, WITHIN BUDGET AND
AT  AN ACCEPTABLE OVERALL COST TO THE STATE OF NEW YORK. SUCH CORRECTIVE
OR OTHER ACTION SHALL INCLUDE, BUT NOT BE LIMITED TO:
  (I) MODIFICATION OF SUCH PLANS, SPECIFICATIONS, DESIGNS AND  ESTIMATES
OF  COSTS  FOR  THE CONSTRUCTION OF THE PROJECT AND EQUIPMENT OF FACILI-
TIES;
  (II) DETAILED ANALYSIS OF THE PROJECT SCHEDULE;
  (III) DETAILED ANALYSIS OF PROJECT BUDGET;
  (IV) DETAILED ANALYSIS OF  CHANGE  ORDERS  AND/OR  PAYMENTS  TO  PRIME
CONTRACTORS, SUBCONTRACTORS AND OTHER PARTIES;
  (V)   DETAILED  ANALYSIS  OF  RECORDS  OF  CONSTRUCTION  OBSERVATIONS,
INSPECTIONS AND DEFICIENCIES;
  (VI) TERMINATION OF CONTRACTS, CONTRACTORS,  SUBCONTRACTORS  OR  OTHER
CONSULTANTS;
  (VII)  PROCUREMENT  OF  INDEPENDENT  AUDITORS, PROJECT MANAGERS, LEGAL
COUNSEL, OR OTHER PROFESSIONALS FOR THE BENEFIT OF THE PROJECT;
  (VIII) REGULAR REPORTING OF  PROJECT  STATUS  AND  MILESTONES  TO  THE
PUBLIC;
  (IX)  ACTIVE  PROJECT  MANAGEMENT REVIEW AND OVERSIGHT UTILIZING ADDI-
TIONAL RESOURCES PROVIDED BY THE CORPORATION; AND

S. 6405--A                         93                         A. 9005--A

  (X) PERIODIC PROJECT REVIEW AND AUDIT BY THE CORPORATION ON A SUITABLE
TIME INTERVAL DETERMINED BY THE CORPORATION.
  (F)  ANY  STATE AGENCY, DEPARTMENT, PUBLIC AUTHORITY OR PUBLIC BENEFIT
CORPORATION PROPOSING A PUBLIC WORKS PROJECT HAVING A TOTAL OR AGGREGATE
CONSTRUCTION VALUE IN EXCESS OF FIFTY MILLION DOLLARS  SHALL  INCLUDE  A
SUMMARY  OF  THE  PROVISIONS  OF  THIS  SUBDIVISION IN ALL SUCH PROPOSAL
AND/OR BID DOCUMENTS FOR SUCH PROJECTS.
  (G) ALL CONTRACT DOCUMENTS SHALL EXPRESSLY INCORPORATE THE  PROVISIONS
OF  THIS  SECTION AND INCLUDE COMPLIANCE WITH THE PROVISIONS HEREOF AS A
CONDITION OF PERFORMANCE.
  4. GENERAL POWERS AND DUTIES OF THE CORPORATION. (A)  THE  CORPORATION
SHALL HAVE THE POWER TO:
  (I) SUE AND BE SUED;
  (II) HAVE A SEAL AND ALTER THE SAME AT PLEASURE;
  (III) MAKE AND ALTER BY-LAWS FOR ITS ORGANIZATION AND INTERNAL MANAGE-
MENT AND MAKE RULES AND REGULATIONS GOVERNING SAME;
  (IV) APPOINT SUCH OFFICERS AND EMPLOYEES FROM THE OFFICERS AND EMPLOY-
EES  OF  THE  AUTHORITY,  AS  IT  MAY REQUIRE FOR THE PERFORMANCE OF ITS
DUTIES AND FIX AND DETERMINE THEIR QUALIFICATIONS, DUTIES,  AND  COMPEN-
SATION,  AND  RETAIN  OR  EMPLOY  COUNSEL,  AUDITORS,  PRIVATE FINANCIAL
CONSULTANTS, PROFESSIONAL ENGINEERS OR OTHER TECHNICAL  CONSULTANTS  AND
OTHER  SERVICES  ON  A CONTRACT BASIS OR OTHERWISE, FOR THE RENDERING OF
PROFESSIONAL, BUSINESS OR TECHNICAL SERVICES AND ADVICE,  AND  BE  REIM-
BURSED FOR SUCH SERVICES AS A COST OF THE PROJECT;
  (V)  MAKE AND EXECUTE CONTRACTS AND ALL OTHER INSTRUMENTS NECESSARY OR
CONVENIENT FOR THE EXERCISE OF  ITS  POWERS  AND  FUNCTIONS  UNDER  THIS
SECTION;
  (VI) TO FIX AND COLLECT FEES AND OTHER CHARGES FOR SERVICES THE CORPO-
RATION RENDERS IN CONNECTION WITH THIS SECTION;
  (VII)  ACQUIRE,  HOLD AND DISPOSE OF REAL OR PERSONAL PROPERTY FOR ITS
CORPORATE PURPOSES, INCLUDING WITHOUT LIMITATION THE POWER  TO  EXERCISE
EMINENT DOMAIN;
  (VIII)  ENGAGE THE SERVICES OF PRIVATE CONSULTANTS ON A CONTRACT BASIS
FOR RENDERING PROFESSIONAL AND TECHNICAL ASSISTANCE ADVICE;
  (IX) PROCURE INSURANCE AGAINST ANY LOSS IN CONNECTION WITH ITS  ACTIV-
ITIES,  PROPERTIES AND OTHER ASSETS, IN SUCH AMOUNT AND FROM SUCH INSUR-
ANCE AS IT DEEMS DESIRABLE; AND
  (X) INVEST ANY FUNDS OF THE CORPORATION, OR ANY OTHER MONIES UNDER ITS
CUSTODY AND CONTROL NOT REQUIRED FOR IMMEDIATE USE OR  DISBURSEMENT,  AT
THE  DISCRETION  OF  THE CORPORATION, IN OBLIGATIONS OF THE STATE OR THE
UNITED STATES GOVERNMENT OR OBLIGATIONS THE PRINCIPAL  AND  INTEREST  OF
WHICH  ARE  OBLIGATIONS IN WHICH THE COMPTROLLER OF THE STATE IS AUTHOR-
IZED TO INVEST PURSUANT TO SECTION NINETY-EIGHT  OF  THE  STATE  FINANCE
LAW.
  (B)  THE CORPORATION MAY DO ANY AND ALL THINGS NECESSARY OR CONVENIENT
TO CARRY OUT AND EXERCISE THE POWERS GIVEN AND GRANTED BY THIS SECTION.
  (C) NOTWITHSTANDING ANY OTHER PROVISION OF LAW, TO THE  CONTRARY,  ALL
STATE  OFFICERS,  DEPARTMENTS,  BOARDS,  DIVISIONS,  COMMISSIONS, PUBLIC
AUTHORITIES AND PUBLIC BENEFIT CORPORATIONS  SHALL  COOPERATE  WITH  THE
CORPORATION IN EVERY WAY AND SHALL IMPLEMENT ANY AND ALL RECOMMENDATIONS
OF  THE  CORPORATION IN ANY MANNER WITHOUT THE APPROVAL OR AUTHORIZATION
OF ANY STATE OFFICER OR AGENCY.
  5. TERMINATION OF  CORPORATION.  THE  CORPORATION  AND  ITS  CORPORATE
EXISTENCE  SHALL  CONTINUE  UNTIL  TERMINATED BY LAW, PROVIDED, HOWEVER,
THAT NO SUCH LAW SHALL TAKE EFFECT SO LONG AS THE CORPORATION SHALL HAVE

S. 6405--A                         94                         A. 9005--A

OBLIGATIONS OUTSTANDING, UNLESS ADEQUATE PROVISION HAS BEEN MADE FOR THE
PAYMENT OR EXERCISE THEREOF.
  S 2. This act shall take effect immediately.

                                 PART J

  Section 1. Section 167 of the civil service law is amended by adding a
new subdivision 10 to read as follows:
  10.  NOTWITHSTANDING  ANY  INCONSISTENT  PROVISION OF LAW, THE STATE'S
CONTRIBUTION FOR THE COST OF PREMIUM OR  SUBSCRIPTION  CHARGES  FOR  THE
COVERAGE  OF  RETIRED  STATE EMPLOYEES WHO ARE ENROLLED IN THE STATEWIDE
AND THE SUPPLEMENTARY HEALTH BENEFIT PLANS ESTABLISHED PURSUANT TO  THIS
ARTICLE  AND WHO RETIRED ON OR AFTER OCTOBER FIRST, TWO THOUSAND SIXTEEN
SHALL BE AS SET FORTH IN THIS SUBDIVISION.
  (A) FOR STATE EMPLOYEES WHO RETIRE FROM A POSITION AT  OR  EQUATED  TO
GRADE  TEN  OR  HIGHER  WITH  AT LEAST TEN BUT LESS THAN TWENTY YEARS OF
SERVICE, THE STATE SHALL PAY FIFTY PERCENT OF THE  COST  OF  PREMIUM  OR
SUBSCRIPTION  CHARGES  FOR THE INDIVIDUAL COVERAGE OF SUCH RETIRED STATE
EMPLOYEES. SUCH CONTRIBUTIONS SHALL INCREASE BY TWO PERCENT OF THE  COST
OF PREMIUM OR SUBSCRIPTION CHARGES FOR EACH YEAR OF SERVICE IN EXCESS OF
TEN YEARS, TO A MAXIMUM OF SIXTY-EIGHT PERCENT OF THE COST OF PREMIUM OR
SUBSCRIPTION  CHARGES. FOR STATE EMPLOYEES WHO RETIRE FROM A POSITION AT
OR EQUATED TO GRADE TEN OR HIGHER WITH TWENTY OR MORE YEARS OF  SERVICE,
THE  STATE  SHALL  PAY  SEVENTY-FOUR  PERCENT  OF THE COST OF PREMIUM OR
SUBSCRIPTION CHARGES FOR THE INDIVIDUAL COVERAGE OF SUCH  RETIRED  STATE
EMPLOYEES.  SUCH CONTRIBUTIONS SHALL INCREASE BY ONE PERCENT OF THE COST
OF PREMIUM OR SUBSCRIPTION CHARGES FOR EACH YEAR OF SERVICE IN EXCESS OF
TWENTY YEARS, TO A MAXIMUM OF EIGHTY-FOUR PERCENT OF THE COST OF PREMIUM
OR SUBSCRIPTION CHARGES.
  (B) FOR STATE EMPLOYEES WHO RETIRE FROM A POSITION AT  OR  EQUATED  TO
GRADE  NINE  OR  LOWER  WITH  AT LEAST TEN BUT LESS THAN TWENTY YEARS OF
SERVICE, THE STATE SHALL PAY FIFTY-FOUR PERCENT OF THE COST  OF  PREMIUM
OR  SUBSCRIPTION  CHARGES  FOR  THE  INDIVIDUAL COVERAGE OF SUCH RETIRED
STATE EMPLOYEES.  SUCH CONTRIBUTIONS SHALL INCREASE BY  TWO  PERCENT  OF
THE  COST OF PREMIUM OR SUBSCRIPTION CHARGES FOR EACH YEAR OF SERVICE IN
EXCESS OF TEN YEARS, TO A MAXIMUM OF SEVENTY-TWO PERCENT OF THE COST  OF
PREMIUM  OR SUBSCRIPTION CHARGES.  FOR STATE EMPLOYEES WHO RETIRE FROM A
POSITION AT OR EQUATED TO GRADE NINE OR LOWER WITH TWENTY OR MORE  YEARS
OF  SERVICE,  THE  STATE  SHALL PAY SEVENTY-EIGHT PERCENT OF THE COST OF
PREMIUM SUBSCRIPTION CHARGES FOR THE INDIVIDUAL COVERAGE OF SUCH RETIRED
STATE EMPLOYEES. SUCH CONTRIBUTIONS SHALL INCREASE BY ONE PERCENT OF THE
COST OF PREMIUM OR SUBSCRIPTION CHARGES FOR  EACH  YEAR  OF  SERVICE  IN
EXCESS OF TWENTY YEARS, TO A MAXIMUM OF EIGHTY-EIGHT PERCENT OF THE COST
OF PREMIUM OR SUBSCRIPTION CHARGES.
  (C)  FOR  STATE  EMPLOYEES WHO RETIRE FROM A POSITION AT OR EQUATED TO
GRADE TEN OR HIGHER WITH AT LEAST TEN BUT  LESS  THAN  TWENTY  YEARS  OF
SERVICE,  THE STATE SHALL PAY THIRTY-FIVE PERCENT OF THE COST OF PREMIUM
OR SUBSCRIPTION CHARGES FOR THE COVERAGE OF DEPENDENTS OF  SUCH  RETIRED
STATE  EMPLOYEES; SUCH CONTRIBUTION SHALL INCREASE BY TWO PERCENT OF THE
COST OF PREMIUM OR SUBSCRIPTION CHARGES FOR  EACH  YEAR  OF  SERVICE  IN
EXCESS  OF TEN YEARS, TO A MAXIMUM OF FIFTY-THREE PERCENT OF THE COST OF
PREMIUM OR SUBSCRIPTION CHARGES FOR SUCH DEPENDENTS. FOR STATE EMPLOYEES
WHO RETIRE FROM A POSITION AT OR EQUATED TO GRADE  TEN  OR  HIGHER  WITH
TWENTY  OR MORE YEARS OF SERVICE, THE STATE SHALL PAY FIFTY-NINE PERCENT
OF THE COST OF PREMIUM OR  SUBSCRIPTION  CHARGES  FOR  THE  COVERAGE  OF
DEPENDENTS  OF  SUCH  RETIRED  STATE  EMPLOYEES; SUCH CONTRIBUTION SHALL

S. 6405--A                         95                         A. 9005--A

INCREASE BY ONE PERCENT OF THE COST OF PREMIUM OR  SUBSCRIPTION  CHARGES
FOR  EACH  YEAR  OF  SERVICE  IN EXCESS OF TWENTY YEARS, TO A MAXIMUM OF
SIXTY-NINE PERCENT OF THE COST OF PREMIUM OR  SUBSCRIPTION  CHARGES  FOR
SUCH DEPENDENTS.
  (D)  FOR  STATE  EMPLOYEES WHO RETIRE FROM A POSITION AT OR EQUATED TO
GRADE NINE OR LOWER WITH AT LEAST TEN BUT  LESS  THAN  TWENTY  YEARS  OF
SERVICE,  THE STATE SHALL PAY THIRTY-NINE PERCENT OF THE COST OF PREMIUM
OR SUBSCRIPTION CHARGES FOR THE COVERAGE OF DEPENDENTS OF  SUCH  RETIRED
STATE  EMPLOYEES; SUCH CONTRIBUTION SHALL INCREASE BY TWO PERCENT OF THE
COST OF PREMIUM OR SUBSCRIPTION CHARGES FOR  EACH  YEAR  OF  SERVICE  IN
EXCESS  OF TEN YEARS, TO A MAXIMUM OF FIFTY-SEVEN PERCENT OF THE COST OF
PREMIUM OR SUBSCRIPTION CHARGES FOR SUCH DEPENDENTS. FOR STATE EMPLOYEES
WHO RETIRE FROM A POSITION AT OR EQUATED TO GRADE  NINE  OR  LOWER  WITH
TWENTY OR MORE YEARS OF SERVICE, THE STATE SHALL PAY SIXTY-THREE PERCENT
OF  THE  COST  OF  PREMIUM  OR  SUBSCRIPTION CHARGES FOR THE COVERAGE OF
DEPENDENTS OF SUCH RETIRED  STATE  EMPLOYEES;  SUCH  CONTRIBUTION  SHALL
INCREASE  BY  ONE PERCENT OF THE COST OF PREMIUM OR SUBSCRIPTION CHARGES
FOR EACH YEAR OF SERVICE IN EXCESS OF TWENTY  YEARS,  TO  A  MAXIMUM  OF
SEVENTY-THREE PERCENT OF THE COST OF PREMIUM OR SUBSCRIPTION CHARGES FOR
SUCH DEPENDENTS.
  (E)  WITH  RESPECT TO ALL SUCH RETIRED STATE EMPLOYEES, EACH INCREMENT
OF ONE OR TWO PERCENT OF THE COST OF PREMIUM OR SUBSCRIPTION CHARGES FOR
EACH YEAR OF SERVICE SHALL BE APPLICABLE FOR WHOLE YEARS OF  SERVICE  TO
THE STATE AND SHALL NOT BE APPLIED ON A PRO-RATA BASIS FOR PARTIAL YEARS
OF SERVICE.
  (F) THE PROVISIONS OF THIS SUBDIVISION SHALL NOT BE APPLICABLE TO:
  (I) MEMBERS OF THE NEW YORK STATE AND LOCAL POLICE AND FIRE RETIREMENT
SYSTEM;
  (II)  MEMBERS  IN  THE  UNIFORMED  PERSONNEL IN INSTITUTIONS UNDER THE
JURISDICTION OF THE STATE DEPARTMENT OF CORRECTIONS AND COMMUNITY SUPER-
VISION OR WHO ARE SECURITY HOSPITAL TREATMENT ASSISTANTS, AS DEFINED  IN
SECTION EIGHTY-NINE OF THE RETIREMENT AND SOCIAL SECURITY LAW; AND
  (III)  ANY STATE EMPLOYEE DETERMINED TO HAVE RETIRED WITH AN ORDINARY,
ACCIDENTAL, OR PERFORMANCE OF DUTY DISABILITY RETIREMENT BENEFIT.
  (G) FOR THE PURPOSES OF DETERMINING THE PREMIUM OR SUBSCRIPTION CHARG-
ES TO BE PAID BY THE STATE ON BEHALF OF RETIRED STATE EMPLOYEES ENROLLED
IN THE NEW YORK STATE HEALTH INSURANCE PROGRAM WHO RETIRE  ON  OR  AFTER
OCTOBER  FIRST, TWO THOUSAND SIXTEEN, THE STATE SHALL CONSIDER ALL YEARS
OF SERVICE THAT A RETIRED STATE EMPLOYEE HAS ACCRUED IN A PUBLIC RETIRE-
MENT SYSTEM OF THE STATE OR AN OPTIONAL RETIREMENT  PROGRAM  ESTABLISHED
PURSUANT  TO ARTICLE THREE, EIGHT-B, OR ONE HUNDRED TWENTY-FIVE-A OF THE
EDUCATION LAW. THE PROVISIONS OF THIS PARAGRAPH MAY NOT BE USED TO GRANT
ELIGIBILITY FOR RETIREE STATE HEALTH INSURANCE COVERAGE TO A RETIREE WHO
IS NOT OTHERWISE ELIGIBLE TO ENROLL IN THE NEW YORK STATE HEALTH  INSUR-
ANCE PROGRAM AS A RETIREE.
  S 2. This act shall take effect October 1, 2016.

                                 PART K

  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

S. 6405--A                         96                         A. 9005--A

federal old-age, survivors and disability insurance  program,  EFFECTIVE
OCTOBER  FIRST, TWO THOUSAND SIXTEEN, an amount [equal to] NOT TO EXCEED
ONE HUNDRED FOUR DOLLARS AND NINETY CENTS PER  MONTH  FOR  the  STANDARD
MEDICARE  premium  charge for such supplementary medical insurance bene-
fits 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;  PROVIDED,  HOWEVER,
EFFECTIVE JANUARY FIRST, TWO THOUSAND SIXTEEN, THERE SHALL BE NO PAYMENT
WHATSOEVER  FOR  THE  INCOME  RELATED  MONTHLY ADJUSTMENT AMOUNT FOR ANY
AMOUNTS OR PREMIUMS INCURRED ON OR AFTER  JANUARY  FIRST,  TWO  THOUSAND
SIXTEEN, TO ANY ACTIVE OR RETIRED EMPLOYEE AND HIS OR HER DEPENDENTS, IF
ANY.  Where  appropriate,  such  STANDARD MEDICARE PREMIUM 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  STANDARD  MEDICARE  PREMIUM  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  corporations or other quasi-public organizations of the
state eligible for participation in the health benefit plan  as  author-
ized by subdivision two of section one hundred sixty-three of this arti-
cle,  shall  be  adjusted  as necessary to cover the cost of reimbursing
federal old-age, survivors  and  disability  insurance  program  premium
charges  under  this  section. This cost shall be included in the calcu-
lation 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 October 1, 2016 for  the
standard  medicare  premium  amount  and  January 1, 2016 for the income
related monthly adjustment amount for any amounts or  premiums  incurred
on or after January 1, 2016.

                                 PART L

  Section  1. Paragraph (d) of subdivision 4 of section 209 of the civil
service law, as amended by chapter 67 of the laws of 2013, is amended to
read as follows:
  (d) The provisions of this subdivision shall expire [thirty-nine years
from July first, nineteen hundred seventy-seven, and  hereafter  may  be
renewed every four years] JULY FIRST, TWO THOUSAND NINETEEN.
  S  2.  Paragraph  (f)  of  subdivision  6  of section 209 of the civil
service law, as added by chapter 67 of the laws of 2013, is  amended  to
read as follows:
  (f) The provisions of this subdivision shall expire [three years from]
July first, two thousand [thirteen] NINETEEN.
  S 3. This act shall take effect immediately.

                                 PART M

S. 6405--A                         97                         A. 9005--A

  Section  1.  The opening paragraph of subdivision 3 of section 93-b of
the state finance law, as added by section 1 of part H of chapter 60  of
the laws of 2015, is amended to read as follows:
  Notwithstanding  any  other provisions of law to the contrary, for the
state fiscal year commencing on April first, two thousand  fifteen,  AND
EACH  STATE FISCAL YEAR THEREAFTER, the comptroller is hereby authorized
to transfer monies from the dedicated infrastructure investment fund  to
the general fund, and from the general fund to the dedicated infrastruc-
ture  investment  fund,  in  an amount determined by the director of the
budget to the extent moneys are available in the fund; provided,  howev-
er,  that the comptroller is only authorized to transfer monies from the
dedicated infrastructure investment fund to  the  general  fund  in  the
event  of  an  economic  downturn  as described in paragraph (a) of this
subdivision; and/or to fulfill disallowances and/or settlements  related
to  over-payments of federal medicare and medicaid revenues in excess of
one hundred million dollars from anticipated levels,  as  determined  by
the director of the budget and described in paragraph (b) of this subdi-
vision.
  S 2. This act shall take effect immediately.

                                 PART N

  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. Proprietary vocational school supervision account (20452).
  2. Local government records management account (20501).
  3. Child health plus program account (20810).
  4. EPIC premium account (20818).
  5. Education - New (20901).
  6. VLT - Sound basic education fund (20904).
  7.  Sewage  treatment  program  management  and  administration   fund
(21000).
  8. Hazardous bulk storage account (21061).
  9. Federal grants indirect cost recovery account (21065).
  10. Low level radioactive waste account (21066).
  11. Recreation account (21067).
  12. Public safety recovery account (21077).
  13. Environmental regulatory account (21081).
  14. Natural resource account (21082).
  15. Mined land reclamation program account (21084).
  16. Great lakes restoration initiative account (21087).
  17. Environmental protection and oil spill compensation fund (21200).
  18. Public transportation systems account (21401).
  19. Metropolitan mass transportation (21402).
  20. Operating permit program account (21451).
  21. Mobile source account (21452).
  22.   Statewide  planning  and  research  cooperative  system  account
(21902).
  23. Mental hygiene program fund account (21907).
  24. Mental hygiene patient income account (21909).
  25. Financial control board account (21911).
  26. Regulation of racing account (21912).
  27. New York Metropolitan Transportation Council account (21913).
  28. State university dormitory income reimbursable account (21937).

S. 6405--A                         98                         A. 9005--A

  29. Criminal justice improvement account (21945).
  30. Environmental laboratory reference fee account (21959).
  31. Clinical laboratory reference system assessment account (21962).
  32. Indirect cost recovery account (21978).
  33. High school equivalency program account (21979).
  34. Multi-agency training account (21989).
  35.  Interstate  reciprocity  for  post-secondary  distance  education
account.
  36. Bell jar collection account (22003).
  37. Industry and utility service account (22004).
  38. Real property disposition account (22006).
  39. Parking account (22007).
  40. Asbestos safety training program account (22009).
  41. Batavia school for the blind account (22032).
  42. Investment services account (22034).
  43. Surplus property account (22036).
  44. Financial oversight account (22039).
  45. Regulation of Indian gaming account (22046).
  46. Rome school for the deaf account (22053).
  47. Seized assets account (22054).
  48. Administrative adjudication account (22055).
  49. Federal salary sharing account (22056).
  50. New York City assessment account (22062).
  51. Cultural education account (22063).
  52. Local services account (22078).
  53. DHCR mortgage servicing account (22085).
  54. Department of motor vehicles compulsory insurance account (22087).
  55. Housing indirect cost recovery account (22090).
  56. DHCR-HCA application fee account (22100).
  57. Low income housing monitoring account (22130).
  58. Corporation administration account (22135).
  59. Montrose veteran's home account (22144).
  60. Deferred compensation administration account (22151).
  61. Rent revenue other New York City account (22156).
  62. Rent revenue account (22158).
  63. Tax revenue arrearage account (22168).
  64. Highway use tax administration account.
  65. State university general income offset account (22654).
  66. Lake George park trust fund account (22751).
  67. State police motor vehicle law enforcement account (22802).
  68. Highway safety program account (23001).
  69. EFC drinking water program account (23101).
  70. DOH drinking water program account (23102).
  71. NYCCC operating offset account (23151).
  72. Commercial gaming revenue account (23701).
  73. Commercial gaming regulation account (23702).
  74. Highway and bridge capital account (30051).
  75. State university residence hall rehabilitation fund (30100).
  76. State parks infrastructure account (30351).
  77. Clean water/clean air implementation fund (30500).
  78. Hazardous waste remedial cleanup account (31506).
  79. Youth facilities improvement account (31701).
  80. Housing assistance fund (31800).
  81. Housing program fund (31850).
  82. Highway facility purpose account (31951).
  83. Information technology capital financing account (32215).

S. 6405--A                         99                         A. 9005--A

  84. New York racing account (32213).
  85. Mental hygiene facilities capital improvement fund (32300).
  86. Correctional facilities capital improvement fund (32350).
  87. New York State Storm Recovery Capital Fund (33000).
  88. OGS convention center account (50318).
  89. Empire Plaza Gift Shop (50327)
  90. Centralized services fund (55000).
  91. Archives records management account (55052).
  92. Federal single audit account (55053).
  93. Civil service EHS occupational health program account (55056).
  94. Banking services account (55057).
  95. Cultural resources survey account (55058).
  96. Automation & printing chargeback account (55060).
  97. OFT NYT account (55061).
  98. Data center account (55062).
  99. Intrusion detection account (55066).
  100. Domestic violence grant account (55067).
  101. Centralized technology services account (55069).
  102. Labor contact center account (55071).
  103. Human services contact center account (55072).
  104. Tax contact center account (55073).
  105. Policing the NYS thruway account.
  106. Executive direction internal audit account (55251).
  107. CIO Information technology centralized services account (55252).
  108. Health insurance internal service account (55300).
  109.  Civil  service employee benefits division administrative account
(55301).
  110. Correctional industries revolving fund (55350).
  111. Employees health insurance account (60201).
  112. Medicaid management information system escrow fund (60900).
  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 and nutrition services fund (25000).
  2. Federal health and human services fund (25100).
  3. Federal education fund (25200).
  4. Federal block grant fund (25250).
  5. Federal miscellaneous operating grants fund (25300).
  6. Federal unemployment insurance administration fund (25900).
  7. Federal unemployment insurance occupational training fund (25950).
  8. Federal emergency employment act fund (26000).
  9. Federal capital projects fund (31350).
  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, 2017, and with respect to item 5 under the miscella-
neous  category  set  forth  in  this section, up to and after March 31,
2017, up to the unencumbered balance or the following 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.

S. 6405--A                         100                        A. 9005--A

  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. $3,000,000 from the  general  fund  to  the  miscellaneous  special
revenue fund, tax revenue arrearage account (22168).
  Education:
  1.  $2,260,000,000  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.  $986,000,000  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.  Up  to $137,700,000 from the moneys deposited in commercial gaming
revenue account  (23701)  to  the  general  fund  as  reimbursement  for
disbursements  made from the general fund for supplemental aid to educa-
tion during the prior fiscal year due to the unencumbered balance of the
commercial gaming revenue account during the  prior  fiscal  year  being
less  than required to fully fund payments of general support for public
schools, pursuant to Chapter 61 of the laws of 2015.
  5. $300,000 from the local government records  management  improvement
fund (20500) to the archives partnership trust fund (20350).
  6. $900,000 from the general fund to the miscellaneous special revenue
fund, Batavia school for the blind account (22032).
  7. $900,000 from the general fund to the miscellaneous special revenue
fund, Rome school for the deaf account (22053).
  8.  $343,400,000  from  the  state  university  dormitory  income fund
(40350) 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. $40,000,000 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, 2015 through March 31,
2016.
  12. An amount up to $14,251,000 from the general  fund  to  the  state
university   income  fund,  state  university  general  revenue  account
(22653).
  Environmental Affairs:
  1. $16,000,000 from any of the department of  environmental  conserva-
tion's  special  revenue federal funds to the environmental conservation
special revenue fund, federal indirect recovery account (21065).

S. 6405--A                         101                        A. 9005--A

  2. $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.
  3. $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 miscellaneous special revenue fund, federal grant  indirect
cost recovery account (22188).
  4. $1,000,000 from any of the office of parks, recreation and historic
preservation  special revenue federal funds to the miscellaneous special
revenue fund, I love NY water account (21930).
  5. $146,000,000 from the general fund to the environmental  protection
fund, environmental protection fund transfer account (30451).
  6.  $9,700,000  from  the general fund to the hazardous waste remedial
fund, hazardous waste oversight and assistance account (31505).
  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. $4,000,000 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. $18,670,000 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.
  4. $140,000,000 from any of the office  of  temporary  and  disability
assistance  or department of health special revenue funds to the general
fund.
  5. $2,500,000 from any of  the  office  of  temporary  and  disability
assistance  special  revenue  federal funds to the miscellaneous special
revenue fund, office of  temporary  and  disability  assistance  program
account (21980).
  6. $21,000,000 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
children  and family services miscellaneous special revenue fund, multi-
agency training contract account (21989).
  7. $65,000,000 from the  miscellaneous  special  revenue  fund,  youth
facility per diem account (22186), to the general fund.
  8.  $621,850  from the general fund to the combined gifts, grants, and
bequests fund, WB Hoyt Memorial account (20128).
  9. $3,100,000 from  the  miscellaneous  special  revenue  fund,  state
central registry (22028), to the general fund.
  10.  $1,000,000  from  the  general  fund  to the housing program fund
(31850).
  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 (55300).

S. 6405--A                         102                        A. 9005--A

  3. $192,400,000  from  the  health  insurance  reserve  receipts  fund
(60550) to the general fund.
  4. $150,000 from the general fund to the not-for-profit revolving loan
fund (20650).
  5. $150,000 from the not-for-profit revolving loan fund (20650) to the
general fund.
  6.  $3,000,000  from  the  miscellaneous special revenue fund, surplus
property account (22036), to the general fund.
  7. $19,000,000 from the miscellaneous special  revenue  fund,  revenue
arrearage account (22024), to the general fund.
  8.  $1,826,000  from  the  miscellaneous special revenue fund, revenue
arrearage account (22024), to the miscellaneous  special  revenue  fund,
authority budget office account (22138).
  9.  $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.
  10.  $21,789,000  from  the  general  fund to the centralized services
fund, COPS account (55013).
  11. $2,360,000 from the general fund to the agencies internal  service
fund,  central  technology  services account (55069), for the purpose of
enterprise technology projects.
  12. $15,000,000 from the miscellaneous special revenue fund,  workers'
compensation  account  (21995),  to  the  miscellaneous capital projects
fund, workers' compensation board IT business process design fund.
  Health:
  1. $33,710,000 from the miscellaneous special revenue fund, quality of
care account (21915), to the general fund.
  2. A transfer from the general fund to the combined gifts, grants  and
bequests  fund, breast cancer research and education account (20155), up
to an amount equal to the  monies  collected  and  deposited  into  that
account in the previous fiscal year.
  3.  A transfer from the general fund to the combined gifts, grants and
bequests  fund,  prostate  cancer  research,  detection,  and  education
account  (20183),  up  to  an  amount  equal to the moneys collected and
deposited into that account in the previous fiscal year.
  4. A transfer from the general fund to the combined gifts, grants  and
bequests  fund,  Alzheimer's  disease  research  and  assistance account
(20143), up to an amount equal to the  moneys  collected  and  deposited
into that account in the previous fiscal year.
  5.  $30,295,000  from the HCRA resources fund (20800) to the miscella-
neous special revenue fund, empire state stem cell  trust  fund  account
(22161).
  6. $7,000,000 from the miscellaneous special revenue fund, certificate
of  need  account  (21920),  to the miscellaneous capital projects fund,
healthcare IT capital subfund (32216).
  7. $1,000,000 from the miscellaneous special  revenue  fund,  adminis-
tration  program  account (21982), to the miscellaneous capital projects
fund, healthcare IT capital account (32216).
  8. $1,000,000 from  the  miscellaneous  special  revenue  fund,  vital
records  account  (22103),  to  the miscellaneous capital projects fund,
healthcare IT capital account (32216).
  9. $55,500,000 from the HCRA resources fund  (20800)  to  the  capital
projects fund (30000).
  10.  $3,700,000  from  the  miscellaneous  New York state agency fund,
medical assistance account to the general fund.

S. 6405--A                         103                        A. 9005--A

  11. $4,886,000 from the general fund to the  medical  marihuana  trust
fund, health operation and oversight account (23755).
  12.  $1,086,000  from  the miscellaneous special revenue fund, certif-
icate of need account (21920), to the general fund.
  13. $1,000,000 from the miscellaneous special  revenue  fund,  profes-
sional  medical  conduct  account  (22088), to the miscellaneous capital
projects fund, healthcare IT capital account (32216).
  Labor:
  1. $400,000 from the miscellaneous special revenue fund, DOL  fee  and
penalty account (21923), to the child performer's protection fund, child
performer protection account (20401).
  2. $8,400,000 from the miscellaneous special revenue fund, DOL fee and
penalty account (21923), to the general fund.
  3.  $3,300,000  from  the  unemployment insurance interest and penalty
fund,  unemployment  insurance  special  interest  and  penalty  account
(23601), 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.  $1,950,000,000  from the general fund to the miscellaneous special
revenue fund, mental hygiene patient income account (21909).
  3. $1,550,000,000 from the general fund to the  miscellaneous  special
revenue fund, mental hygiene program fund account (21907).
  4.  $100,000,000  from  the miscellaneous special revenue fund, mental
hygiene program fund account (21907), to the general fund.
  5. $100,000,000 from the miscellaneous special  revenue  fund,  mental
hygiene patient income account (21909), to the general fund.
  6.  $3,800,000  from  the  miscellaneous  special revenue fund, mental
hygiene patient income account (21909), to the agencies internal service
fund, civil service EHS occupational health program account (55056).
  7. $5,000,000 from the chemical  dependence  service  fund,  substance
abuse  services  fund  account  (22700),  to  the  miscellaneous capital
projects fund, chemical dependence service capital account.
  Public Protection:
  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. $10,500,000 from the general fund to  the  correctional  industries
revolving   fund,   correctional  industries  internal  service  account
(55350).
  4. $3,000,000 from the federal miscellaneous  operating  grants  fund,
DMNA damage account (25324), to the general fund.
  5.  $6,300,000  from  the  general  fund  to the miscellaneous special
revenue fund, crimes against revenue program account (22015).
  6. $8,600,000 from the miscellaneous special  revenue  fund,  criminal
justice improvement account (21945), to the general fund.
  7.  $106,000,000  from  the state police motor vehicle law enforcement
and motor vehicle theft  and  insurance  fraud  prevention  fund,  state
police  motor  vehicle  enforcement account (22802), to the general fund
for state operation expenses of the division of state police.
  8. $53,500,000 from the general fund to  the  correctional  facilities
capital improvement fund (32350).
  9.  $5,000,000  from  the  general  fund  to the dedicated highway and
bridge trust fund (30050) for the purpose of work zone safety activities

S. 6405--A                         104                        A. 9005--A

provided by the division of state police for the department of transpor-
tation.
  10. $10,000,000 from the miscellaneous special revenue fund, statewide
public  safety  communications  account (22123), to the capital projects
fund (30000).
  11. $2,900,000 from the  miscellaneous  special  revenue  fund,  legal
services assistance account (22096), to the general fund.
  12.  $300,000  from the state police motor vehicle law enforcement and
motor vehicle theft and insurance fraud prevention fund,  motor  vehicle
theft and insurance fraud account (22801), to the general fund.
  13.  $1,000,000 from the general fund to the agencies internal service
fund, center for employment opportunities NWP account.
  Transportation:
  1. $17,672,000 from the federal miscellaneous operating grants fund to
the miscellaneous special revenue fund, New York Metropolitan  Transpor-
tation Council account (21913).
  2. $20,147,000 from the federal capital projects fund to the miscella-
neous special revenue fund, New York Metropolitan Transportation Council
account (21913).
  3.  $1,240,000 from the miscellaneous special revenue fund, compulsory
insurance account (22087), to the dedicated  highway  and  bridge  trust
fund (30050).
  4.  $15,046,384 from the general fund to the mass transportation oper-
ating assistance fund, public transportation systems  operating  assist-
ance account (21401), of which $12,000,000 constitutes the base need for
operations.
  5.  $810,000,000  from  the  general fund to the dedicated highway and
bridge trust fund (30050).
  6. $936,000 from the  miscellaneous  special  revenue  fund,  accident
prevention  course program account (22094), to the dedicated highway and
bridge trust fund (30050).
  7. $1,234,000 from the miscellaneous special revenue fund,  motorcycle
safety  account  (21976), to the dedicated highway and bridge trust fund
(30050).
  8. $309,250,000 from the general fund to the MTA financial  assistance
fund, mobility tax trust account (23651).
  9. $5,000,000 from the miscellaneous special revenue fund, transporta-
tion  regulation  account  (22067)  to  the dedicated highway and bridge
trust fund (30050), for disbursements made  from  such  fund  for  motor
carrier  safety that are in excess of the amounts deposited in the dedi-
cated highway and bridge trust fund (30050) for such purpose pursuant to
section 94 of the transportation law.
  10. $34,000 from the miscellaneous special revenue fund, seized assets
account (21906), to the dedicated highway and bridge trust fund (30050).
  Miscellaneous:
  1. $250,000,000 from the general fund to any funds or accounts for the
purpose of reimbursing certain outstanding accounts receivable balances.
  2. $500,000,000 from the general fund to the  debt  reduction  reserve
fund (40000).
  3.  $450,000,000  from  the New York state storm recovery capital fund
(33000) to the revenue bond tax fund (40152).
  4. $15,500,000 from the general fund, community  projects  account  GG
(10256), to the general fund, state purposes account (10050).
  5.  $1,840,000,000  from the general fund to the dedicated infrastruc-
ture investment fund.

S. 6405--A                         105                        A. 9005--A

  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, 2017:
  1.  Upon request of the commissioner of environmental conservation, up
to $11,410,000 from revenues credited to any of the department of  envi-
ronmental  conservation special revenue funds, including $3,293,400 from
the environmental protection and oil spill  compensation  fund  (21200),
and  $1,783,600 from the conservation fund (21150), 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 miscellaneous special revenue fund, housing indirect
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 $5,000,000 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. On or before March 31, 2017, 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  5.  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
reimbursement of bondable equipment for further transfer to the  state's
general fund.
  S  6.  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, 2017, 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  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

S. 6405--A                         106                        A. 9005--A

designee,  on  or before March 31, 2017, 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 8. Notwithstanding any law to the  contrary,  the  state  university
chancellor or his or her designee is authorized and directed to transfer
estimated  tuition revenue balances from the state university collection
fund (61000) to the  state  university  income  fund,  state  university
general revenue offset account (22655) on or before March 31, 2017.
  S  9.  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 $69,264,000 from the general fund  to  the  state  university  income
fund,  state  university  hospitals  income reimbursable account (22656)
during the period July 1, 2016 through June 30, 2017 to reflect  ongoing
state  subsidy  of  SUNY  hospitals and to pay costs attributable to the
SUNY hospitals' state agency status.
  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  $996,778,300  from  the  general fund to the state university income
fund, state university general revenue offset account (22655) during the
period of July 1, 2016 through June 30, 2017 to  support  operations  at
the state university.
  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 state university  chancel-
lor  or his or her designee, up to $55,000,000 from the state university
income fund, state  university  hospitals  income  reimbursable  account
(22656),  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 (32400) on or before June 30, 2017.
  S  12. 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-
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 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 hospitals income reimbursable account (22656)  to
pay  hospital  operating  costs or 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, 2017.

S. 6405--A                         107                        A. 9005--A

  S 13. Notwithstanding any law to the contrary, upon the  direction  of
the director of the budget and the chancellor of the state university of
New York or his or her designee, and in accordance with section 4 of the
state  finance law, the comptroller is hereby authorized and directed to
transfer  monies from the state university dormitory income fund (40350)
to the state university residence hall rehabilitation fund (30100),  and
from  the state university residence hall rehabilitation fund (30100) to
the state university dormitory income fund (40350), in a net amount  not
to exceed $80 million.
  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, 2017, 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 $750 million from the unencumbered balance of any special revenue
fund or account, agency  fund  or  account,  internal  service  fund  or
account,  enterprise  fund  or account, or any combination of such 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  2016-17  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 pursuant to federal law, rule, or regulation as assent-
ed to in chapter 683 of the laws of 1938 and chapter 700 of the laws  of
1951 are not permitted 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 miscellaneous special revenue fund,  tech-
nology  financing  account (22207) or the miscellaneous capital projects
fund, information technology capital financing account (32215), for  the
purpose  of  consolidating  technology  procurement  and  services.  The
amounts transferred to the miscellaneous special revenue fund, technolo-
gy financing account (22207) 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 funds that would result  in
the  loss  of eligibility for federal benefits or federal funds pursuant
to federal law, rule, or regulation as assented to in chapter 683 of the
laws of 1938 and chapter 700 of the  laws  of  1951  are  not  permitted
pursuant to this authorization.
  S  17. Notwithstanding any law to the contrary, and in accordance with
section 4 of the state finance law, the comptroller is hereby authorized

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and directed to transfer, at the request of the director of the  budget,
up  to $350 million from any non-general fund or account, or combination
of funds and accounts, to the general fund for the  purpose  of  consol-
idating  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 general fund shall be
completed from amounts collected by non-general funds or accounts pursu-
ant to a fund deposit schedule.  Transfers from funds that would  result
in  the loss of eligibility for federal benefits or federal funds pursu-
ant to federal law, rule, or regulation as assented to in chapter 683 of
the laws of 1938 and chapter 700 of the laws of 1951 are  not  permitted
pursuant to this authorization.
  S  18. 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 transfer to the state treasury
to the credit of the general fund $20,000,000 for the state fiscal  year
commencing  April  1,  2016,  the  proceeds of which will be utilized to
support energy-related state activities.
  S 19. 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 make a contribution to the state  treasury
to  the  credit  of  the  general fund in the amount of $23,000,000 from
proceeds collected by the authority from the auction or sale  of  carbon
dioxide emission allowances allocated by the department of environmental
conservation on or before March 31, 2017.
  S  20. 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 transfer to the state university income
fund general revenue  account  (22653),  in  an  amount  not  to  exceed
$15,000,000  for the state fiscal year commencing April 1, 2016 from the
proceeds collected by the authority from the auction or sale  of  carbon
dioxide emission allowances allocated by the department of environmental
conservation, which amount shall be utilized to support the Clean Energy
Workforce Opportunity Program, to expand and develop clean energy educa-
tion  and  workforce  training  programs;  provided  further, that up to
$5,000,000 of such amount shall be available  to  support  Clean  Energy
Workforce  Opportunity  Program  initiatives  at state university of New
York community colleges.
  S 21. Subdivision 5 of section 97-rrr of the  state  finance  law,  as
amended  by  section  21 of part I of chapter 60 of the laws of 2015, 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
[fifteen]  SIXTEEN,  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
[$3,382,279,000] $3,227,844,000, 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 [fifteen] SIXTEEN.

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  S 22. 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  2016.  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 2016 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 23. The opening paragraph of section 2 and section 47 of part  I  of
chapter  60  of  the  laws  of 2015, providing for the administration of
certain funds and accounts related to the 2015-16 budget, are amended to
read as follows:
  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, 2016, AND WITH RESPECT TO ITEM 5 UNDER THE MISCELLA-
NEOUS  CATEGORY  SET  FORTH  IN  THIS SECTION, UP TO AND AFTER MARCH 31,
2016, up to the unencumbered balance or the following amounts:
  S 47. This act shall take effect immediately and shall  be  deemed  to
have been in full force and effect on and after April 1, 2015; provided,
however,  [that] WITH THE EXCEPTION OF ITEM 5 OF THE MISCELLANEOUS CATE-
GORY SET FORTH WITHIN  SECTION  TWO  OF  THIS  ACT,  the  provisions  of
sections  one through eight and sections thirteen through twenty of this
act shall expire March 31, 2016, when upon such date the  provisions  of
such sections shall be deemed repealed.
  S  24. Subdivision 6 of section 4 of the state finance law, as amended
by section 22 of part I of chapter 55 of the laws of 2014, is amended to
read as follows:
  6. Notwithstanding any law to the contrary, at the  beginning  of  the
state  fiscal  year,  the  state  comptroller  is  hereby authorized and
directed to receive for deposit to  the  credit  of  a  fund  and/or  an
account  such  monies as are identified by the director of the budget as
having been intended for such deposit to support disbursements from such
fund and/or account made in pursuance of an  appropriation  by  law.  As
soon  as  practicable  upon enactment of the budget, the director of the
budget shall,  but  not  less  than  three  days  following  preliminary
submission  to the chairs of the senate finance committee and the assem-
bly ways and means committee, file with the state comptroller  an  iden-
tification  of specific monies to be so deposited. Any subsequent change
regarding the monies to be so deposited shall be filed by  the  director
of  the  budget,  as  soon  as practicable, but not less than three days
following preliminary submission to the chairs  of  the  senate  finance
committee and the assembly ways and means committee.
  All monies identified by the director of the budget to be deposited to
the  credit of a fund and/or account shall be consistent with the intent
of the budget for the then current state fiscal year as enacted  by  the
legislature.
  [The  provisions  of  this  subdivision  shall expire on March thirty-
first, two thousand sixteen.]
  S 25. Subdivision 4 of section 40 of the state finance law, as amended
by section 23 of part I of chapter 55 of the laws of 2014, is amended to
read as follows:
  4. Every appropriation made from a fund or account to a department  or
agency shall be available for the payment of prior years' liabilities in
such fund or account for fringe benefits, indirect costs, and telecommu-

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nications  expenses  and  expenses  for  other centralized services fund
programs without limit. Every appropriation shall also be available  for
the  payment  of  prior  years'  liabilities  other than those indicated
above,  but  only  to the extent of one-half of one percent of the total
amount appropriated to a department or agency in such fund or account.
  [The provisions of this subdivision shall expire  March  thirty-first,
two thousand sixteen.]
  S  26.  Subparagraph  (i) of paragraph (a) of subdivision 3 of section
92-cc of the state finance law, as added by chapter 1  of  the  laws  of
2007, is amended to read as follows:
  (i)  Economic  downturn. The commissioner of labor shall calculate and
publish, on or before the fifteenth day of each month, a composite index
of business cycle indicators.  Such  index  shall  be  calculated  using
monthly  data on New York state PRIVATE SECTOR employment, [total] AVER-
AGE WEEKLY HOURS OF manufacturing [hours worked] WORKERS, and THE  unem-
ployment RATE prepared by the department of labor or its successor agen-
cy,  and  total  sales  tax  [collected  net of law changes] COLLECTIONS
ADJUSTED FOR INFLATION, prepared  by  the  department  of  taxation  and
finance  or  its  successor  agency. Such index shall be [constructed in
accordance with the procedures for calculating composite indexes  issued
by the conference board or its successor organization, and] adjusted for
seasonal  variations  in  accordance  with  the procedures issued by the
[census bureau of the] United States  [department  of  commerce]  CENSUS
BUREAU or its successor agency. If the composite index declines for five
consecutive months, the commissioner of labor shall notify the governor,
the  speaker of the assembly, the temporary president of the senate, and
the minority leaders of the assembly and the senate. Upon such notifica-
tion, the director of the budget may  authorize  and  direct  the  comp-
troller  to transfer from the rainy day reserve fund to the general fund
such amounts as the director of the budget deems necessary to  meet  the
requirements  of  the  state  financial  plan. The authority to transfer
funds under the provisions of this  subdivision  shall  lapse  when  the
composite  index  shall  have  increased  for five consecutive months or
twelve months from the original  notification  of  the  commissioner  of
labor, whichever occurs earlier. Provided, however, that for every addi-
tional and consecutive monthly decline succeeding the five month decline
so noted by the commissioner of labor, the twelve month lapse date shall
be extended by one additional month; or
  S  27.  Paragraph  (a)  of  subdivision 3 of section 93-b of the state
finance law, as added by section 1 of part H of chapter 60 of  the  laws
of 2015, is amended to read as follows:
  (a)  Economic  downturn.  Notwithstanding any law to the contrary, for
the purpose of this section, the commissioner of labor  shall  calculate
and  publish,  on or before the fifteenth day of each month, a composite
index of business cycle indicators. Such index shall be calculated using
monthly data on New York state PRIVATE SECTOR employment, [total]  AVER-
AGE  WEEKLY HOURS OF manufacturing [hours worked] WORKERS, and THE unem-
ployment RATE prepared by the department of labor or its successor agen-
cy, and total sales tax  [collected  net  of  law  changes]  COLLECTIONS
ADJUSTED  FOR  INFLATION,  prepared  by  the  department of taxation and
finance or its successor agency. Such index  shall  be  [constructed  in
accordance  with the procedures for calculating composite indexes issued
by the conference board or its successor organization, and] adjusted for
seasonal variations in accordance with  the  procedures  issued  by  the
[census  bureau  of  the]  United States [department of commerce] CENSUS
BUREAU or its successor agency. If the composite index declines for five

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consecutive months, the commissioner of labor shall notify the governor,
the speaker of the assembly, the temporary president of the senate,  and
the minority leaders of the assembly and the senate. Upon such notifica-
tion,  the  director  of  the  budget may authorize and direct the comp-
troller to transfer from the dedicated infrastructure investment fund to
the general fund such amounts as the director of the budget deems neces-
sary to meet the requirements of the state financial plan. The authority
to transfer funds under the provisions of  this  paragraph  shall  lapse
when  the  composite  index  shall  have  increased for five consecutive
months or twelve months from the original notification  of  the  commis-
sioner  of  labor, whichever occurs earlier. Provided, however, that for
every additional and consecutive monthly  decline  succeeding  the  five
month  decline  so  noted by the commissioner of labor, the twelve month
lapse date shall be extended by one additional month.
  S 28. 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.  Annually on or before each June 30th, 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
investment of monies deposited therein that  will  or  may  have  to  be
rebated  to  the  federal  government  pursuant to the provisions of the
internal revenue code of 1986, as amended.
  S 29. Subdivision 1 of section 47 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 25 of part I of chapter 60 of the laws
of 2015, is amended to read as follows:
  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 office of information technology services, depart-
ment  of  law,  and  other  state  costs  associated  with  such capital
projects. The aggregate principal  amount  of  bonds  authorized  to  be
issued  pursuant  to  this  section shall not exceed [two] THREE hundred
[sixty-nine] SIXTY-FOUR  million  [one]  EIGHT  hundred  forty  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

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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 30. 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  27  of  part I of chapter 60 of the laws of 2015, 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
hereby  authorized  to  issue  bonds,  notes and other obligations in an
aggregate principal amount  not  to  exceed  seven  billion  [one]  FOUR
hundred  [sixty-three]  TWENTY-FOUR million [three] NINE hundred [sixty-
nine] NINETY-NINE thousand dollars [$7,163,369,000] $7,424,999,000,  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  appropriations  or  reappropriations  made  to  the  department of
corrections and community supervision from the  correctional  facilities
capital  improvement  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  repay-
ment the total aggregate principal amount of outstanding bonds, notes or
other  obligations  may be greater than seven billion [one] FOUR hundred
[sixty-three] TWENTY-FOUR  million  [three]  NINE  hundred  [sixty-nine]
NINETY-NINE  thousand  dollars  [$7,163,369,000] $7,424,999,000, only if
the present value of the aggregate 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 thereof to the date of issue of the refunding or
repayment bonds, notes or other obligations and to the price bid includ-
ing estimated accrued interest or proceeds received by  the  corporation
including estimated accrued interest from the sale thereof.
  S  31.  Paragraph  (a) of subdivision 2 of section 47-e of the private
housing finance law, as amended by section 28 of part I of chapter 60 of
the laws of 2015, 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

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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 [three] FOUR billion [one]  SIX
hundred  [fifty-three]  NINETY-SEVEN million [seven] FOUR hundred [nine-
ty-nine] SEVENTY-FOUR thousand dollars, plus a principal amount of bonds
issued to fund the debt service reserve fund in accordance with the debt
service reserve fund requirement established by the agency and  to  fund
any  other  reserves  that the agency reasonably deems necessary for the
security or marketability 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 partic-
ular 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 32. 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 29 of part I of chapter 60 of the laws of 2015, 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 or to reimburse the
state for  funding  such  projects  having  a  cost  not  in  excess  of
[$8,658,881,000]  $9,147,234,000  cumulatively by the end of fiscal year
[2015-16] 2016-17.
  S 33. Subdivision 1 of section 1689-i of the public  authorities  law,
as amended by section 30 of part I of chapter 60 of the laws of 2015, 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  one  hundred  [forty]  FIFTY-FOUR
million dollars.
  S  34.  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 31 of
part I of chapter 60 of the laws of 2015, 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-

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opment corporation is hereby authorized to issue bonds or notes  in  one
or   more  series  in  an  aggregate  principal  amount  not  to  exceed
[$155,600,000] $167,600,000, 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
including  IT initiatives for the division of state police, 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 subdivi-
sion (b) of this section and such bonds and notes shall contain  on  the
face  thereof a statement to such effect. Except for purposes of comply-
ing with the internal revenue code, any interest income earned  on  bond
proceeds shall only be used to pay debt service on such bonds.
  S  35.  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  32 of part I of chapter 60 of the laws of 2015, 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, the New York works economic development  fund,  projects  for  the
retention of professional football in western New York, the empire state
economic  development  fund,  the  clarkson-trudeau partnership, the New
York genome center, the cornell university college of  veterinary  medi-
cine,  the  olympic  regional  development  authority, a project at nano
Utica, onondaga county revitalization  projects,  Binghamton  university
school of pharmacy, New York power electronics manufacturing consortium,
regional infrastructure projects, A COMMERCIALIZATION CENTER IN CHAUTAU-
QUA  COUNTY,  AN  INDUSTRIAL  SCALE RESEARCH AND DEVELOPMENT FACILITY IN
CLINTON COUNTY, UPSTATE REVITALIZATION INITIATIVE PROJECTS,  MARKET  NEW
YORK  PROJECTS, 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 [two] THREE billion [eight] SIX hundred
[eighty-eight] FIFTY-THREE  million  two  hundred  fifty-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-

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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, the New
York works economic development fund,  projects  for  the  retention  of
professional  football  in  western  New York, the empire state economic
development fund, the clarkson-trudeau partnership, the New York  genome
center, the cornell university college of veterinary medicine, the olym-
pic  regional  development  authority, a project at nano Utica, onondaga
county revitalization projects, Binghamton university school of  pharma-
cy,  New  York  power  electronics  manufacturing  consortium,  regional
infrastructure projects, A COMMERCIALIZATION CENTER IN CHAUTAUQUA  COUN-
TY,  AN  INDUSTRIAL  SCALE  RESEARCH AND DEVELOPMENT FACILITY IN CLINTON
COUNTY, UPSTATE REVITALIZATION  INITIATIVE  PROJECTS,  MARKET  NEW  YORK
PROJECTS,  and  other  state  costs  associated  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 duration, 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 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.
  S  36.  Subdivision 3 of section 1285-p of the public authorities law,
as amended by section 33 of part I of chapter 60 of the laws of 2015, is
amended to read as follows:
  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] TWO billion [seven  hundred  seventy-five]  EIGHT
million  [seven]  TWO hundred sixty thousand dollars, exclusive of bonds
issued to fund any debt service reserve funds, pay costs of issuance  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 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  37.  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 34 of part I of chapter 60 of the laws
of 2015, 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

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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
[$440,000,000]  $550,000,000, 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
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  38.  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 35 of
part I of chapter 60 of the laws of 2015, 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 $197,000,000 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 [$469,800,000] $509,600,000, 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 39. Subdivision 1 of section 386-b of the public authorities law, as
amended  by  section  36 of part I of chapter 60 of the laws of 2015, is
amended to read as follows:
  1. Notwithstanding any other provision of law  to  the  contrary,  the
authority, 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,
Indian reservation roads, and facilities, and transportation infrastruc-

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ture   projects   including  aviation  projects,  non-MTA  mass  transit
projects, and rail service preservation projects, including work  appur-
tenant  and  ancillary  thereto. The aggregate principal amount of bonds
authorized  to be issued pursuant to this section shall not exceed [one]
TWO billion [six  hundred  ninety]  SEVEN  HUNDRED  TWENTY-FIVE  million
dollars  [$1,690,000,000] $2,725,000,000, 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 authori-
ty, the 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 40. Paragraph (c) of subdivision 19 of section 1680  of  the  public
authorities law, as amended by section 37 of part I of chapter 60 of the
laws of 2015, 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  eleven  billion  [two]  SIX hundred [twenty-eight] THREE 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

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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 41. Paragraph (c) of subdivision 14 of section 1680  of  the  public
authorities law, as amended by section 38 of part I of chapter 60 of the
laws of 2015, 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 seven billion  [three]  FIVE  hundred
[ninety-two]  FORTY-EIGHT  million  [seven]  FOUR  hundred [fifty-three]
ELEVEN thousand dollars. The legislature 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  42. Subdivision 10-a of section 1680 of the public authorities law,
as amended by section 39 of part I of chapter 60 of the laws of 2015, 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 eight hundred [thir-
ty-eight] SIXTY-ONE million four hundred [fifty-eight] FIFTY-FOUR  thou-
sand  dollars.  Such amount shall be exclusive of bonds and notes issued
to fund any reserve fund or funds, costs of issuance and to  refund  any
outstanding  bonds and notes, issued on behalf of the state, relating to
a locally sponsored community college.
  S 43. Subdivision 1 of section 17 of part D of chapter 389 of the laws
of 1997, relating  to  the  financing  of  the  correctional  facilities

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improvement  fund and the youth facility improvement fund, as amended by
section 41 of part I of chapter 60 of the laws of 2015,  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
hereby authorized to issue bonds, notes  and  other  obligations  in  an
aggregate principal amount not to exceed six hundred [eleven] FORTY-SEV-
EN   million   [two   hundred   fifteen]   SIXTY-FIVE  thousand  dollars
[($611,215,000)]  ($647,065,000),  which  authorization  increases   the
aggregate principal amount of bonds, notes and other obligations author-
ized by section 40 of chapter 309 of the laws of 1996, and shall include
all bonds, notes and other obligations issued pursuant to chapter 211 of
the  laws  of  1990,  as  amended  or supplemented. The proceeds of such
bonds, notes or other obligations shall be paid to the state, for depos-
it in the youth facilities improvement fund,  to  pay  for  all  or  any
portion  of  the amount or amounts paid by the state from appropriations
or reappropriations made to the office of children and  family  services
from  the  youth  facilities  improvement fund for capital projects. The
aggregate amount of bonds, notes and 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 office of children and
family services; 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  hundred  [eleven]
FORTY-SEVEN  million  [two  hundred fifteen] SIXTY-FIVE thousand dollars
[($611,215,000)] ($647,065,000), 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  44.  Paragraph  b  of  subdivision 2 of section 9-a of section 1 of
chapter 392 of the laws of 1973, constituting the New York state medical
care facilities finance agency act, as amended by section 42 of  part  I
of chapter 60 of the laws of 2015, is amended to read as follows:
  b.  The  agency shall have power and is hereby authorized from time to
time to issue negotiable bonds and notes in conformity  with  applicable
provisions  of  the uniform commercial code in such principal amount as,
in the opinion of the agency, shall  be  necessary,  after  taking  into
account  other moneys which may be available for the purpose, to provide
sufficient funds to  the  facilities  development  corporation,  or  any

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successor agency, for the financing or refinancing of or for the design,
construction, acquisition, reconstruction, rehabilitation or improvement
of  mental  health  services  facilities pursuant to paragraph a of this
subdivision,  the payment of interest on mental health services improve-
ment bonds and mental health services improvement notes issued for  such
purposes,  the establishment of reserves to secure such bonds and notes,
the cost or premium of bond insurance or  the  costs  of  any  financial
mechanisms  which  may  be used to reduce the debt service that would be
payable by the agency on its mental health services facilities  improve-
ment  bonds  and notes and all other expenditures of the agency incident
to and necessary or convenient to providing the  facilities  development
corporation,  or  any  successor agency, with funds for the financing or
refinancing of or for any such design, construction, acquisition, recon-
struction, rehabilitation or improvement and for the refunding of mental
hygiene improvement bonds issued pursuant to section 47-b of the private
housing finance law; provided, however, that the agency shall not  issue
mental  health  services  facilities improvement bonds and mental health
services facilities improvement notes in an aggregate  principal  amount
exceeding  [seven]  EIGHT  billion [seven hundred twenty-two] TWENTY-ONE
million eight hundred fifteen thousand dollars, excluding mental  health
services facilities improvement bonds and mental health services facili-
ties  improvement  notes  issued  to  refund  outstanding  mental health
services facilities improvement bonds and mental health services facili-
ties improvement notes; provided, however, that upon any such  refunding
or  repayment  of  mental  health  services facilities improvement bonds
and/or mental health services facilities  improvement  notes  the  total
aggregate principal amount of outstanding mental health services facili-
ties  improvement  bonds  and mental health facilities improvement notes
may be greater than [seven] EIGHT  billion  [seven  hundred  twenty-two]
TWENTY-ONE  million  eight  hundred  fifteen  thousand  dollars only if,
except as hereinafter provided with respect to  mental  health  services
facilities  bonds  and mental health services facilities notes issued to
refund mental hygiene improvement bonds authorized to be issued pursuant
to the provisions of section 47-b of the private  housing  finance  law,
the  present  value  of  the  aggregate debt service of the refunding or
repayment bonds to be issued shall not exceed the present value  of  the
aggregate  debt  service  of  the  bonds  to  be refunded or repaid. For
purposes hereof, the present values 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 obli-
gations, 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 thereof 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  authority including estimated accrued interest from the sale there-
of. Such bonds, other than bonds issued  to  refund  outstanding  bonds,
shall  be  scheduled  to  mature  over  a term not to exceed the average
useful life, as certified by the facilities development corporation,  of
the  projects  for which the bonds are issued, and in any case shall not
exceed thirty years and the maximum maturity of notes  or  any  renewals
thereof  shall not exceed five years from the date of the original issue
of such notes. Notwithstanding the provisions of this section, the agen-

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cy shall have the power and is hereby authorized to issue mental  health
services  facilities  improvement  bonds  and/or  mental health services
facilities  improvement  notes  to  refund  outstanding  mental  hygiene
improvement  bonds authorized to be issued pursuant to the provisions of
section 47-b of the private housing finance law and the amount of  bonds
issued  or  outstanding  for  such  purposes  shall  not be included for
purposes of determining the amount of  bonds  issued  pursuant  to  this
section. The director of the budget shall allocate the aggregate princi-
pal  authorized  to  be  issued by the agency among the office of mental
health, office for  people  with  developmental  disabilities,  and  the
office  of alcoholism and substance abuse services, in consultation with
their respective commissioners to finance bondable appropriations previ-
ously approved by the legislature.
  S 45. Paragraph (b) of subdivision 3 of section 1 and  clause  (B)  of
subparagraph  (iii)  of  paragraph  (j) of subdivision 4 of section 1 of
part D of chapter 63 of the laws of 2005 relating to the composition and
responsibilities of the New York state higher education capital matching
grant board, as amended by section 43 of part I of  chapter  60  of  the
laws of 2015, is amended to read as follows:
  (b)  Within amounts appropriated therefor, the board is hereby author-
ized and directed to award matching capital grants  totaling  [210]  240
million dollars. Each college shall be eligible for a grant award amount
as  determined  by the calculations pursuant to subdivision five of this
section. In addition, such colleges shall be  eligible  to  compete  for
additional  funds  pursuant to paragraph (h) of subdivision four of this
section.
  (B) The dormitory authority shall not issue any bonds or notes  in  an
amount  in  excess of [210] 240 million dollars for the purposes of this
section; excluding bonds or notes  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. Except for purposes of complying with the internal revenue
code, any interest on bond proceeds shall  only  be  used  to  pay  debt
service on such bonds.
  S 46. Notwithstanding any other provision of law to the contrary, from
the  taxes,  interest and penalties collected or received by the commis-
sioner of taxation and finance in respect of the tax imposed by the city
of New York pursuant to the authority of section  1210,  1211,  1212  or
1212-A  of the tax law,the comptroller shall pay, as directed in writing
by the director of the budget, the sum of $16,666,667 on or  before  the
twelfth  day  of  each  month  from  such  taxes, penalties and interest
collected or received by such commissioner during the previous month  to
(i) any issuers of state-related debt for the purposes of paying princi-
pal,  interest, and related expenses, or for retiring or defeasing bonds
previously issued, including any  accrued  interest  or  other  expenses
related  thereto,  for any state-related bonding program or programs, or
to (ii) a governmental fund or funds of the state  treasury.  The  comp-
troller shall make the first payment to issuers of state-related debt or
the  government  funds  on  the twelfth day of May, 2016 from the taxes,
penalties and interest collected or received during April 2016  and  the
last payment on or before the twelfth day of April, 2019 from the taxes,
penalties   and  interest  collected  or  received  during  March  2019.
Provided,  however,  that  in  no  event  shall  such  payments   exceed
$200,000,000  in  any  state fiscal year; and provided further that such
payments shall not reduce the  reasonable  costs  of  such  commissioner
under paragraph (b) of section 1261 of the tax law.

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  S  47.  This  act shall take effect immediately and shall be deemed to
have been in full force and effect on and after April 1, 2016; provided,
however, with the exception of item 5 of the miscellaneous category  set
forth  within  section  two of this act:  (a) the provisions of sections
one  through eight, and sections twelve through twenty of this act shall
expire March 31, 2017, when  upon  such  date  the  provisions  of  such
sections  shall  be  deemed  repealed; and (b) the provisions of section
forty-six of this act shall expire upon the last  payment  made  by  the
comptroller  pursuant  to  section  forty-six of this act when upon such
date the provisions of such section shall be deemed  repealed;  provided
that  the  state  comptroller shall notify the legislative bill drafting
commission upon the occurrence of  the  last  payment  provided  for  in
section  forty-six of this act in order that the commission may maintain
an accurate and timely effective database of the official  text  of  the
laws  of  the  state  of  New  York  in  furtherance of effectuating the
provisions of section 44 of the legislative law and section 70-b of  the
public officers law.

                                 PART O

  Section  1.  Paragraph  1  of  subdivision  2-a of section 19-a of the
public lands law, as amended by section 1 of part T of chapter 55 of the
laws of 2013, is amended to read as follows:
  (1) Notwithstanding any provision of this section to the contrary,  in
addition  to state aid otherwise payable pursuant to this section, there
shall be payable to any city located in a county in which there has been
constructed a state office  building  project  in  accordance  with  the
provisions  of  chapter  one  hundred  fifty-two of the laws of nineteen
hundred sixty-four, as amended, and pursuant to  an  agreement  entitled
the  "South  Mall  contract" dated May eleventh, nineteen hundred sixty-
five, state aid in accordance with the following schedule:
               State Fiscal Year
                                   Amount

               2000-2001           $4,500,000
               2001-2002           $4,500,000
               2002-2003           $4,500,000
               2003-2004           $9,850,000
               2004-2005           $16,850,000
               2005-2006           $22,850,000
               2006-2007           $22,850,000
               2007-2008           $22,850,000
               2008-2009           $22,850,000
               2009-2010           $22,850,000
               2010-2011           $22,850,000
               2011-2012           $15,000,000
               2012-2013           $22,850,000
               2013-2014           $22,850,000
               2014-2015           $15,000,000
               2015-2016           $15,000,000
               2016-2017           [$15,000,000] $27,500,000
               2017-2018           $15,000,000
               2018-2019           $15,000,000
               2019-2020           $15,000,000
               2020-2021           $15,000,000
               2021-2022           $15,000,000

S. 6405--A                         123                        A. 9005--A

               2022-2023           $15,000,000
               2023-2024           $15,000,000
               2024-2025           $15,000,000
               2025-2026           $15,000,000
               2026-2027           $15,000,000
               2027-2028           $15,000,000
               2028-2029           $15,000,000
               2029-2030           $15,000,000
               2030-2031           $15,000,000
               2031-2032           [$7,150,000] $1,800,000
               [2032-2033          $7,150,000]
  S  2.  This  act  shall take effect immediately and shall be deemed to
have been in full force and effect on and after April 1, 2016.

                                 PART P

  Section 1. Subdivision 1 of section 483-a of  the  real  property  tax
law,  as  amended by chapter 272 of the laws of 2013, is amended to read
as follows:
  1. [Structures] THE FOLLOWING STRUCTURES permanently affixed to  agri-
cultural  land  SHALL BE EXEMPT FROM TAXATION, SPECIAL AD VALOREM LEVIES
AND SPECIAL ASSESSMENTS: (A) STRUCTURES for the  purpose  of  preserving
and  storing  forage  in  edible  condition; (B) farm feed grain storage
bins; (C) commodity sheds; (D) BULK MILK TANKS AND COOLERS USED TO  HOLD
MILK  AWAITING  SHIPMENT TO MARKET; AND (E) manure storage, handling and
treatment facilities, including composting [or anaerobic  digestion]  of
agricultural  materials,  such  as  livestock manure and farming wastes,
food residuals or other organic wastes associated with  food  production
or consumption with at least fifty percent by weight of its feedstock on
an  annual  basis being livestock manure, farming wastes and crops grown
specifically for use as [anaerobic digestion  or]  composting  feedstock
[and  including  any  equipment  necessary  to the process of producing,
collecting, storing, cleaning and converting biogas into forms of energy
and transporting biogas or energy on-site; and bulk milk tanks and cool-
ers used to hold milk awaiting shipment to market shall be  exempt  from
taxation,  special  ad  valorem  levies and special assessments].  "Food
residuals" means organic material, including, but not limited  to,  food
scraps,  food  processing  residue,  and  related soiled or unrecyclable
paper used in food packaging, preparation or cleanup.
  S 2. The real property tax law is amended  by  adding  a  new  section
483-e to read as follows:
  S  483-E.  ANAEROBIC  DIGESTION  FACILITIES. 1. STRUCTURES PERMANENTLY
AFFIXED TO LAND FOR THE PURPOSE OF ANAEROBIC DIGESTION  OF  AGRICULTURAL
MATERIALS,  INCLUDING  STRUCTURES NECESSARY FOR THE STORAGE AND HANDLING
OF THE AGRICULTURAL MATERIALS THAT ARE PART OF  THE  DIGESTION  PROCESS,
TOGETHER  WITH  ANY EQUIPMENT NECESSARY FOR PRODUCING, COLLECTING, STOR-
ING, CLEANING AND CONVERTING BIOGAS INTO FORMS OF ENERGY AND GENERATION,
TRANSMISSION, TRANSPORTING, USE OF AND/OR THE SALE OF BIOGAS  OR  ENERGY
ON-SITE,  OFF-SITE, AND/OR PURSUANT TO AN INTERCONNECTION AGREEMENT WITH
A UTILITY; SHALL BE EXEMPT FROM TAXATION, SPECIAL AD VALOREM LEVIES  AND
SPECIAL  ASSESSMENTS.  "AGRICULTURAL  MATERIALS"  INCLUDES,  BUT  IS NOT
LIMITED TO, LIVESTOCK MANURE, FARMING  WASTES  AND  FOOD  RESIDUALS  AND
OTHER ORGANIC WASTES ASSOCIATED WITH FOOD PRODUCTION OR CONSUMPTION WITH
AT  LEAST  FIFTY  PERCENT  BY WEIGHT OF ITS FEEDSTOCK ON AN ANNUAL BASIS
BEING LIVESTOCK MANURE, FARMING WASTES AND CROPS GROWN SPECIFICALLY  FOR
USE  AS  ANAEROBIC DIGESTION FEEDSTOCK.   "FOOD RESIDUALS" MEANS ORGANIC

S. 6405--A                         124                        A. 9005--A

MATERIAL, INCLUDING, BUT NOT LIMITED TO, FOOD  SCRAPS,  FOOD  PROCESSING
RESIDUE,  AND  RELATED SOILED OR UNRECYCLABLE PAPER USED IN FOOD PACKAG-
ING, PREPARATION OR CLEANUP.
  2.  THE  EXEMPTION  PROVIDED  BY SUBDIVISION ONE OF THIS SECTION SHALL
ONLY BE GRANTED UPON THE APPLICATION OF THE OWNER OF THE  PROPERTY  UPON
WHICH  SUCH  STRUCTURES  ARE  LOCATED, ON A FORM TO BE PRESCRIBED BY THE
COMMISSIONER. SUCH APPLICATION SHALL BE FILED ON OR BEFORE THE APPROPRI-
ATE TAXABLE STATUS DATE WITH THE ASSESSOR OF THE MUNICIPALITY HAVING THE
POWER TO ASSESS REAL PROPERTY. ONCE AN EXEMPTION IS GRANTED, NO  RENEWAL
THEREOF SHALL BE NECESSARY.
  S  3.  Subdivision  2  of section 487 of the real property tax law, as
amended by chapter 515 of the laws  of  2002,  is  amended  to  read  as
follows:
  2.  Real property which includes a solar or wind energy system or farm
waste energy system approved in accordance with the provisions  of  this
section  shall  be exempt from taxation to the extent of any increase in
the value thereof by reason of the inclusion of such solar or wind ener-
gy system or farm waste energy system for a  period  of  fifteen  years.
When  a  solar or wind energy system or components thereof or farm waste
energy system also serve as part of the building structure, the increase
in value which shall be exempt from  taxation  shall  be  equal  to  the
assessed  value  attributable to such system or components multiplied by
the ratio of the incremental cost of such system or  components  to  the
total  cost of such system or components. THE EXEMPTION PROVIDED BY THIS
SECTION IS INAPPLICABLE TO ANY STRUCTURE THAT SATISFIES THE REQUIREMENTS
FOR EXEMPTION UNDER SECTION FOUR HUNDRED EIGHTY-THREE-E OF THIS TITLE.
  S 4. This act shall take effect immediately and shall apply to assess-
ment rolls based on taxable status dates occurring on and after March 1,
2013; provided, that an  application  for  the  exemption  on  the  2013
assessment  roll  shall be considered timely if filed on or before March
1, 2017; and provided further, that in the event such application should
be denied, administrative and judicial review shall be available in  the
same manner and to the same extent as if the application had been for an
exemption  on  the  2017  assessment  roll;  provided, however, that the
amendments made by section three of this act  shall  not  apply  to  any
exemption  from taxation for a farm waste energy system that was granted
pursuant to real property tax  law  section  four  hundred  eighty-seven
prior to such effective date.
  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 P of this act shall be
as specifically set forth in the last section of such Parts.

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

                                 9005--B

                          I N  A S S E M B L Y

                            January 14, 2016
                               ___________

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 -- again reported from  said
  committee  with amendments, ordered reprinted as amended and recommit-
  ted to said committee

AN ACT to amend the executive law, in relation to  the  creation  of  an
  office of special investigation to review matters involving the use of
  deadly  physical  force  by  a  police  officer; to amend the criminal
  procedure law, in relation to grand jury reports and proceedings,  the
  district  attorney's letter and leave to appeal; to amend the criminal
  procedure law and the judiciary law, in relation to functions  of  the
  chief  administrator  of  the  courts;  to amend the executive law, in
  relation to reporting requirements; and to amend the  criminal  proce-
  dure  law,  in relation to the contents of an application for a search
  warrant (Part A); to amend 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,  in  relation
  to  the  effectiveness  thereof  (Part  B);  to  amend the tax law, in
  relation to suspending the  transfer  of  monies  into  the  emergency
  services  revolving  loan  fund  from the public safety communications
  account (Part C); to amend the executive law, in  relation  to  trans-
  ferring  certain  functions  to  the division of state police from the
  division of homeland security and emergency services; and in  relation
  to  collecting and analyzing information relating to terrorist threats
  and activities (Part D); to amend chapter 268 of  the  laws  of  1996,
  amending  the  education  law  and  the  state finance law relating to
  providing a recruitment incentive and retention  program  for  certain
  active  members  of  the  New  York  army national guard, New York air
  national guard, and New York naval militia, in relation to the  effec-
  tiveness  of such chapter (Part E); to amend chapter 83 of the laws of
  1995 amending the state finance law and other laws relating to  bonds,
  notes,  and  revenues, in relation to extending the expiration date of
  certain provisions thereof; to amend chapter 1 of  the  laws  of  2005
  amending the state finance law relating to restricting contacts in the
  procurement process and the recording of contacts relating thereto, in
  relation to extending the expiration date of certain provisions there-

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
              

                      [ ] is old law to be omitted.
                                                           LBD12670-03-6

A. 9005--B                          2

  of;  and  to  amend the state finance law, in relation to allowing the
  state comptroller to excuse non-material deviations in a  procurement,
  authorizing  the  commissioner  of  the office of general services and
  state  agencies  to develop alternative procurement methods not other-
  wise authorized by law under certain circumstances,  providing  unsuc-
  cessful  offerors  a reasonable opportunity for debriefing, reports on
  centralized contracts, increasing the threshold for  the  state  comp-
  troller's  approval  of certain contracts and clarifying the valuation
  of non-cash contracts by the state comptroller, and  the  commencement
  of  the  restricted period during the procurement process (Part F); to
  amend the workers' compensation law, in relation  to  the  payment  of
  claims  of  affected  World Trade Center volunteers (Part G); to amend
  the workers' compensation law and the insurance law,  in  relation  to
  providing  benefits  for injury or sickness, pregnancy or family leave
  (Part H); intentionally omitted (Part I); intentionally omitted  (Part
  J); intentionally omitted (Part K); to amend the civil service law, in
  relation  to  the expiration of public arbitration panels (Part L); to
  amend the state finance law, in relation to the dedicated  infrastruc-
  ture  investment  fund  (Part M); to provide for the administration of
  certain funds and accounts related to the 2016-17 budget,  authorizing
  certain  payments  and  transfers;  to amend the state finance law, in
  relation to the rainy day reserve fund, the  dedicated  infrastructure
  investment  fund infrastructure investment account, and the school tax
  relief fund; to amend the state finance law, in relation to  payments,
  transfers and deposits; to amend the state finance law, in relation to
  the  period  for which appropriations can be made; to amend chapter 60
  of the laws of 2015, providing for the administration of certain funds
  and accounts related to the 2015-16 budget,  in  relation  to  certain
  transfers  and  to the effectiveness of certain provisions thereof; to
  amend the  New  York  state  urban  development  corporation  act,  in
  relation  to  funding  project  costs for certain 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 the issu-
  ance of bonds; to amend the public authorities law, in relation to the
  dormitory authority; 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 issuance of  bonds  by
  the  urban  development corporation; to amend the New York state urban
  development corporation act, in relation to the issuance of bonds;  to
  amend  the  public  authorities law, in relation to the state environ-
  mental infrastructure projects; 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
  81 of the laws of 2002, relating to 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 peace bridge  and  trans-
  portation  capital  projects;  to amend the public authorities law, in

A. 9005--B                          3

  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 the New
  York  state medical care facilities finance agency act, in relation to
  bonds and mental health facilities improvement notes; to amend chapter
  63 of the laws of 2005, relating to the composition  and  responsibil-
  ities  of  the  New York state higher education capital matching grant
  board, in relation to increasing the  amount  of  authorized  matching
  capital  grants; to direct the distribution of local sales tax revenue
  from the city of New York; to amend the workers' compensation law,  in
  relation  to the distribution of assessment reserves; to amend the New
  York state urban development  corporation  act,  in  relation  to  the
  aggregate amount of and issuance of certain bonds; to amend the public
  authorities  law,  in  relation  to  authorization for the issuance of
  bonds for the capital  restructuring  bond  finance  program  and  the
  health  care  facility  transformation  program; and providing for the
  repeal of certain provisions upon  expiration  thereof  (Part  N);  to
  amend  the public lands law, in relation to state aid on certain state
  leased or state owned land (Part O); intentionally omitted  (Part  P);
  to  amend  the  public  service law, in relation to creating the state
  office of the utility consumer advocate (Part Q); to amend the  public
  service  law,  in relation to utility intervenor reimbursement; and to
  amend the state finance law, in relation to establishing  the  utility
  intervenor account (Part R); to amend the legislative law, in relation
  to  extending  the  expiration  of payments to members of the assembly
  serving in a special capacity; and to amend chapter 141 of the laws of
  1994, amending the legislative law and the state finance law  relating
  to the operation and administration of the legislature, in relation to
  extending such provisions (Part S); to amend the state finance law, in
  relation  to  the  cost effectiveness of consultant contracts by state
  agencies; and providing for the repeal of such provisions upon expira-
  tion thereof (Part T); to amend the county law, in relation  to  plans
  for representation of persons accused of a crime or certain parties in
  family  court  or  surrogate's court (Part U); to amend the correction
  law, in relation to a pilot program for the use of  body-worn  cameras
  on  certain  correction officers (Part V); to amend chapter 363 of the
  laws of 2010, amending the judiciary  law  relating  to  granting  the
  chief  administrator  of the courts the authority to allow referees to
  determine applications for orders of protection during the hours fami-
  ly court is in session, in relation to the  expiration  date  thereof;
  and  to  amend  chapter 219 of the laws of 2002 amending the judiciary
  law relating to the judicial hearing officer  pilot  program  and  the
  powers  of  the  chief  administrator  of  the  courts, in relation to
  extending the expiration of the provisions of such chapter  (Part  W);
  to  amend  the  retirement  and  social  security  law, in relation to
  providing credit to members of public retirement systems of the  state
  for  military  service; and making an appropriation therefor (Part X);
  to amend the civil service law, in relation to fiscally eligible muni-
  cipalities in disputes in collective negotiations (Part Y);  to  amend
  chapter 747 of the laws of 2006, amending the state finance law relat-
  ing  to  the  tribal-state compact revenue account, in relation to the
  effectiveness thereof; to amend 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, in
  relation to the effectiveness thereof; and to amend the state  finance
  law,  in  relation to the Niagara Falls underground railroad interpre-

A. 9005--B                          4

  tive center (Part Z); establishing the distribution of additional  aid
  and  incentives for municipality funds; and to amend the state finance
  law, in relation to prior year aid  (Part  AA);  to  amend  the  state
  finance  law, in relation to qualifying the obligation requiring state
  agencies to pay small businesses within fifteen days of receipt of  an
  invoice;  and  to  amend chapter 568 of the laws of 2015, amending the
  state finance law relating to requiring state agencies  to  pay  small
  businesses  within  fifteen days of receipt of an invoice, in relation
  to the effective date thereof (Part BB); and to amend the  county  law
  and  the executive law, in relation to indigent defense services (Part
  CC)

  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 public protection and general
government budget for the 2016-2017 state fiscal year. Each component is
wholly contained within a Part identified as Parts  A  through  CC.  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, including the effective date of the
Part, which makes a reference to a section "of this act", when  used  in
connection  with  that particular component, shall be deemed to mean and
refer to the corresponding section of the Part in  which  it  is  found.
Section  three of this act sets forth the general effective date of this
act.

                                 PART A

  Section 1. The executive law is amended by adding a new  section  70-b
to read as follows:
  S  70-B.  OFFICE  OF SPECIAL INVESTIGATION.   1. THERE SHALL BE ESTAB-
LISHED WITHIN THE DEPARTMENT OF LAW AN OFFICE OF  SPECIAL  INVESTIGATION
WHICH  SHALL  HAVE  THE  POWER  TO INVESTIGATE AND PROSECUTE ANY ALLEGED
CRIMINAL OFFENSE OR OFFENSES COMMITTED BY A POLICE OFFICER AS DEFINED IN
SUBDIVISION THIRTY-FOUR OF SECTION 1.20 OF THE CRIMINAL  PROCEDURE  LAW,
OR  A  PEACE  OFFICER  AS DEFINED IN SUBDIVISION THIRTY-THREE OF SECTION
1.20 OF THE CRIMINAL PROCEDURE LAW, CONCERNING THE DEATH OF  ANY  PERSON
THAT  RESULTED  FROM OR POTENTIALLY RESULTED FROM INJURIES THAT OCCURRED
OR MAY HAVE OCCURRED AS A RESULT OF ANY ENCOUNTER WITH SUCH POLICE OFFI-
CER OR PEACE OFFICER. THE OFFICE SHALL CONDUCT SUCH AN INVESTIGATION AND
MAY CONDUCT SUCH A PROSECUTION UPON ITS WRITTEN  FINDING  THAT  SUCH  IS
APPROPRIATE  BECAUSE:  (I)  THERE IS A LACK OF ALTERNATIVE PROSECUTORIAL
RESOURCES TO ADEQUATELY INVESTIGATE AND PROSECUTE SUCH CRIMINAL  OFFENSE
OR  OFFENSES;  (II)  SUCH INVESTIGATION AND PROSECUTION CANNOT BE EFFEC-
TIVELY CONDUCTED BY THE DISTRICT ATTORNEY  OF  THE  COUNTY  WHEREIN  THE
OFFENSE  OR  A  PORTION THEREOF IS ALLEGED TO HAVE BEEN COMMITTED; (III)
THE DISTRICT ATTORNEY HAS FAILED OR REFUSED TO EFFECTIVELY CONDUCT  SUCH
INVESTIGATION AND PROSECUTION; OR (IV) THE EXERCISE OF SUCH JURISDICTION
IS  NECESSARY  TO  ENSURE  THE  CONFIDENCE OF THE PUBLIC IN THE CRIMINAL
JUSTICE SYSTEM AND JUDICIAL SYSTEM. THE OFFICE OF SPECIAL  INVESTIGATION
WITHIN  THE  DEPARTMENT  OF  LAW  SHALL BE HEADED BY THE DEPUTY ATTORNEY
GENERAL APPOINTED BY THE ATTORNEY GENERAL PURSUANT TO SUBDIVISION  THREE
OF THIS SECTION.

A. 9005--B                          5

  2. IN ALL PROCEEDINGS PURSUANT TO SUBDIVISION ONE OF THIS SECTION, THE
DEPUTY ATTORNEY GENERAL, APPOINTED PURSUANT TO SUBDIVISION THREE OF THIS
SECTION, MAY APPEAR IN PERSON OR BY ANY ASSISTANT ATTORNEY GENERAL HE OR
SHE  MAY DESIGNATE BEFORE ANY COURT OR GRAND JURY IN THE STATE AND EXER-
CISE  ALL  OF  THE  POWERS AND PERFORM ALL OF THE DUTIES WITH RESPECT TO
SUCH ACTIONS OR PROCEEDINGS WHICH THE DISTRICT ATTORNEY WOULD  OTHERWISE
BE AUTHORIZED OR REQUIRED TO EXERCISE OR PERFORM.
  3.  NOTWITHSTANDING  ANY  OTHER PROVISION OF LAW, THE ATTORNEY GENERAL
SHALL, WITHOUT CIVIL SERVICE EXAMINATION, APPOINT AND EMPLOY, FIX HIS OR
HER COMPENSATION, AND AT HIS OR HER PLEASURE REMOVE, A  DEPUTY  ATTORNEY
GENERAL  IN  CHARGE OF THE OFFICE OF SPECIAL INVESTIGATION. THE ATTORNEY
GENERAL MAY, AND WITHOUT CIVIL SERVICE EXAMINATION, APPOINT AND  EMPLOY,
AND AT PLEASURE REMOVE, SUCH ASSISTANT DEPUTIES, INVESTIGATORS AND OTHER
PERSONS  AS  HE  OR  SHE DEEMS NECESSARY, DETERMINE THEIR DUTIES AND FIX
THEIR COMPENSATION.
  4. (A) WHERE AN INVESTIGATION OR PROSECUTION OF THE TYPE DESCRIBED  IN
SUBDIVISION  ONE  OF THIS SECTION INVOLVES ACTS THAT APPEAR TO HAVE BEEN
ENGAGED IN BY A POLICE OFFICER OR PEACE OFFICER EMPLOYED BY THE STATE OF
NEW YORK, THE ATTORNEY GENERAL SHALL PROMPTLY APPLY TO A SUPERIOR  COURT
IN  THE COUNTY IN WHICH SUCH ACTS ALLEGEDLY OCCURRED FOR THE APPOINTMENT
OF A SPECIAL ASSISTANT ATTORNEY GENERAL TO INVESTIGATE  AND  POTENTIALLY
PROSECUTE  SUCH MATTER. NOTWITHSTANDING THE PROVISIONS OF ANY OTHER LAW,
SUCH COURT SHALL THEREUPON APPOINT A QUALIFIED ATTORNEY AT LAW HAVING AN
OFFICE IN OR RESIDING  IN  SUCH  COUNTY  OR  AN  ADJOINING  COUNTY,  NOT
EMPLOYED  AS  A DISTRICT ATTORNEY OR ASSISTANT DISTRICT ATTORNEY, TO ACT
AS A SPECIAL ASSISTANT ATTORNEY GENERAL WITH RESPECT TO SUCH MATTER,  AT
A REASONABLE AND APPROPRIATE HOURLY RATE TO BE SET BY SUCH COURT.
  (B)  THE  ATTORNEY GENERAL SHALL PROMPTLY NOTIFY THE STATE COMPTROLLER
AND THE COURT WHEN SUCH APPOINTMENT HAS BEEN MADE AND ACCEPTED  BY  SUCH
ATTORNEY.    REASONABLE  FEES  FOR ATTORNEYS AND INVESTIGATION AND LITI-
GATION EXPENSES SHALL BE PAID BY THE STATE TO SUCH PRIVATE COUNSEL  FROM
TIME  TO  TIME  DURING  THE PENDENCY OF THE INVESTIGATION AND ANY PROSE-
CUTION AND APPEAL, UPON THE AUDIT AND WARRANT OF  THE  COMPTROLLER.  ANY
DISPUTE  WITH  RESPECT TO THE PAYMENT OF SUCH FEES AND EXPENSES SHALL BE
RESOLVED BY THE COURT UPON MOTION OR BY WAY OF A SPECIAL PROCEEDING.
  (C) THE DEPUTY ATTORNEY GENERAL APPOINTED PURSUANT TO THIS SUBDIVISION
MAY APPEAR IN PERSON OR BY ANY SPECIAL ASSISTANT DEPUTY ATTORNEY GENERAL
HE OR SHE MAY DESIGNATE BEFORE ANY COURT OR GRAND JURY IN THE STATE  AND
EXERCISE ALL OF THE POWERS AND PERFORM ALL OF THE DUTIES WITH RESPECT TO
SUCH  ACTIONS OR PROCEEDINGS WHICH THE DISTRICT ATTORNEY WOULD OTHERWISE
BE AUTHORIZED OR REQUIRED TO EXERCISE OR PERFORM.
  S 2. Paragraph (d) of subdivision 3 of section 190.25 of the  criminal
procedure  law  is amended and a new paragraph (a-1) is added to read as
follows:
  (A-1) A JUDGE OR JUSTICE OF THE SUPERIOR COURT;
  (d) An interpreter. Upon request of the grand jury OR THE  COURT,  the
prosecutor must provide an interpreter to interpret the testimony of any
witness who does not speak the English language well enough to be readi-
ly  understood.  Such  interpreter must, if he OR SHE has not previously
taken the constitutional oath of office, first take an oath  before  the
grand jury that he OR SHE will faithfully interpret the testimony of the
witness  and  that  he  OR  SHE will keep secret all matters before such
grand jury within his OR HER knowledge;
  S 3. Subdivision 6 of section 190.25 of the criminal procedure law  is
amended and a new subdivision 4-a is added to read as follows:

A. 9005--B                          6

  4-A.  (A)  NOTWITHSTANDING  THE PROVISIONS OF SUBDIVISION FOUR OF THIS
SECTION, WHEN, FOLLOWING SUBMISSION TO A GRAND JURY OF A CRIMINAL CHARGE
OR CHARGES, THE GRAND JURY DISMISSES ALL CHARGES  PRESENTED  OR  DIRECTS
THE  DISTRICT  ATTORNEY TO FILE IN A LOCAL CRIMINAL COURT A PROSECUTOR'S
INFORMATION  CHARGING  AN  OFFENSE  OTHER  THAN A FELONY, AS PROVIDED IN
SUBDIVISION ONE OF SECTION 190.70 OF THIS ARTICLE, AN APPLICATION MAY BE
MADE TO THE SUPERIOR COURT FOR  DISCLOSURE  OF  THE  FOLLOWING  MATERIAL
RELATING TO THE PROCEEDINGS BEFORE SUCH GRAND JURY:
  (I) THE CRIMINAL CHARGE OR CHARGES SUBMITTED;
  (II) THE LEGAL INSTRUCTIONS PROVIDED TO THE GRAND JURY;
  (III)  THE  TESTIMONY OF ALL PUBLIC SERVANTS WHO TESTIFIED IN AN OFFI-
CIAL CAPACITY BEFORE THE GRAND JURY AND  OF  ALL  PERSONS  WHO  PROVIDED
EXPERT TESTIMONY; AND
  (IV) THE TESTIMONY OF ALL OTHER PERSONS WHO TESTIFIED BEFORE THE GRAND
JURY, REDACTED AS NECESSARY TO PREVENT DISCOVERY OF THEIR NAMES AND SUCH
OTHER  PERSONAL  DATA  OR  INFORMATION THAT MAY REVEAL OR HELP TO REVEAL
THEIR IDENTITIES.
  (B) THE APPLICATION SPECIFIED IN PARAGRAPH (A) OF THIS SUBDIVISION MAY
BE MADE BY ANY PERSON, MUST BE IN WRITING AND, EXCEPT WHERE MADE BY  THE
PEOPLE,  MUST  BE  UPON  NOTICE TO THE PEOPLE. THE COURT SHALL DIRECT OR
PROVIDE NOTICE TO ANY OTHER APPROPRIATE PERSON  OR  AGENCY.  WHERE  MORE
THAN  ONE  APPLICATION IS MADE HEREUNDER IN RELATION TO SUCH A DISMISSAL
OR DIRECTION, THE COURT MAY CONSOLIDATE SUCH APPLICATIONS AND  DETERMINE
THEM TOGETHER. WHEN NO APPLICATION HEREUNDER IS MADE, THE SUPERIOR COURT
MAY  ORDER  DISCLOSURE ON ITS OWN MOTION AS PROVIDED IN PARAGRAPH (C) OF
THIS SUBDIVISION AT ANY TIME FOLLOWING  NOTICE  TO  THE  PEOPLE  AND  AN
OPPORTUNITY  TO BE HEARD AND REASONABLE EFFORTS TO NOTIFY AND PROVIDE AN
OPPORTUNITY TO BE HEARD TO ANY OTHER APPROPRIATE PERSON OR AGENCY.
  (C) UPON AN APPLICATION AS PROVIDED IN PARAGRAPH (A) OF THIS  SUBDIVI-
SION  OR  ON  THE COURT'S OWN MOTION, THE COURT, AFTER PROVIDING PERSONS
GIVEN NOTICE AN OPPORTUNITY TO BE HEARD, SHALL DETERMINE WHETHER:
  (I) A SIGNIFICANT NUMBER OF MEMBERS OF THE GENERAL PUBLIC IN THE COUN-
TY IN WHICH THE GRAND JURY WAS DRAWN AND IMPANELED ARE LIKELY AWARE THAT
A CRIMINAL INVESTIGATION HAD  BEEN  CONDUCTED  IN  CONNECTION  WITH  THE
SUBJECT MATTER OF THE GRAND JURY PROCEEDING; AND
  (II)  A  SIGNIFICANT  NUMBER  OF MEMBERS OF THE GENERAL PUBLIC IN SUCH
COUNTY ARE LIKELY AWARE OF THE IDENTITY OF THE SUBJECT AGAINST WHOM  THE
CRIMINAL  CHARGE  SPECIFIED  IN  PARAGRAPH  (A)  OF THIS SUBDIVISION WAS
SUBMITTED TO A GRAND JURY, OR SUCH SUBJECT HAS CONSENTED TO SUCH DISCLO-
SURE; AND
  (III) THERE IS SIGNIFICANT PUBLIC INTEREST IN DISCLOSURE.
  WHERE THE COURT IS SATISFIED THAT ALL THREE OF THESE FACTORS ARE PRES-
ENT, AND EXCEPT AS PROVIDED IN PARAGRAPH (D) OF  THIS  SUBDIVISION,  THE
COURT SHALL DIRECT THE DISTRICT ATTORNEY TO DISCLOSE THE ITEMS SPECIFIED
IN PARAGRAPH (A) OF THIS SUBDIVISION.
  (D)  NOTWITHSTANDING  ANY  OTHER  PROVISIONS  OF  THIS SUBDIVISION, ON
APPLICATION OF THE DISTRICT ATTORNEY OR ANY INTERESTED PERSON, OR ON ITS
OWN MOTION, THE COURT SHALL LIMIT DISCLOSURE OF THE ITEMS  SPECIFIED  IN
PARAGRAPH  (A)  OF  THIS  SUBDIVISION, IN WHOLE OR PART, WHERE THE COURT
DETERMINES THERE IS A REASONABLE LIKELIHOOD  THAT  SUCH  DISCLOSURE  MAY
LEAD TO DISCOVERY OF THE IDENTITY OF A WITNESS WHO IS NOT A PUBLIC SERV-
ANT OR EXPERT WITNESS, IMPERIL THE HEALTH OR SAFETY OF A GRAND JUROR WHO
PARTICIPATED  IN  THE  PROCEEDING  OR  A WITNESS WHO APPEARED BEFORE THE
GRAND JURY, JEOPARDIZE AN IDENTIFIED CURRENT OR FUTURE CRIMINAL INVESTI-
GATION, CREATE A SPECIFIC THREAT TO PUBLIC SAFETY, OR DESPITE THE INTER-

A. 9005--B                          7

ESTS REFLECTED BY THIS SUBDIVISION  IS  CONTRARY  TO  THE  INTERESTS  OF
JUSTICE.
  (E) WHERE A COURT DETERMINES NOT TO DIRECT DISCLOSURE PURSUANT TO THIS
SUBDIVISION,  IT  SHALL DO SO IN A WRITTEN ORDER DISMISSING THE APPLICA-
TION THEREFOR THAT SHALL EXPLAIN WITH SPECIFICITY, TO THE EXTENT PRACTI-
CABLE, THE BASIS FOR ITS DETERMINATION.
  6. (A) The legal advisors of the grand jury  are  the  court  and  the
district  attorney,  and  the  grand  jury may not seek or receive legal
advice from any other source.  Where necessary or appropriate, the court
or the district attorney, or both, must instruct the grand jury concern-
ing the law with respect to its duties or any matter before it, and such
instructions must be recorded in the minutes.
  (B) NOTWITHSTANDING PARAGRAPH (A) OF THIS SUBDIVISION,  OR  ANY  OTHER
LAW TO THE CONTRARY, IN ANY PROCEEDING BEFORE A GRAND JURY THAT INVOLVES
THE  SUBMISSION  OF  A  CRIMINAL  CHARGE  OR CHARGES AGAINST A PERSON OR
PERSONS FOR AN ACT OR ACTS THAT OCCURRED AT A TIME WHEN SUCH PERSON  WAS
A  POLICE OFFICER OR PEACE OFFICER, AND THAT CONCERN THE DEATH OF ANY OF
ANY PERSON THAT RESULTED FROM OR POTENTIALLY RESULTED FROM INJURIES THAT
OCCURRED OR MAY HAVE OCCURRED AS A RESULT OF  ANY  ENCOUNTER  WITH  SUCH
POLICE  OFFICER  OR  PEACE OFFICER, THE COURT, AFTER CONSULTATION ON THE
RECORD WITH THE DISTRICT ATTORNEY, SHALL INSTRUCT THE GRAND JURY  AS  TO
THE CRIMINAL CHARGE OR CHARGES TO BE SUBMITTED AND THE LAW APPLICABLE TO
SUCH CHARGES AND TO THE MATTERS BEFORE SUCH GRAND JURY.  THEREAFTER, ANY
QUESTIONS,  REQUESTS FOR EXHIBITS, REQUESTS FOR READBACK OF TESTIMONY OR
OTHER REQUESTS FROM THE GRAND JURY OR A MEMBER THEREOF SHALL BE PROVIDED
TO THE COURT, AND ADDRESSED BY  THE  COURT  AFTER  CONSULTATION  ON  THE
RECORD WITH THE DISTRICT ATTORNEY.
  (C)  NOTWITHSTANDING THE PROVISIONS OF SUBDIVISIONS FOUR AND FOUR-A OF
THIS SECTION, FOLLOWING FINAL ACTION BY THE GRAND JURY ON THE CHARGE  OR
CHARGES  SUBMITTED  PURSUANT TO PARAGRAPH (B) OF THIS SECTION, THE COURT
SHALL MAKE SUCH LEGAL INSTRUCTIONS AND CHARGES SUBMITTED TO  SUCH  GRAND
JURY  AVAILABLE  TO  THE  PUBLIC  ON REQUEST, PROVIDED THAT THE NAMES OF
WITNESSES  AND  ANY  INFORMATION  THAT  WOULD  IDENTIFY  SUCH  WITNESSES
INCLUDED  IN  SUCH  LEGAL INSTRUCTIONS OR CHARGES SHALL BE REDACTED WHEN
THE COURT DETERMINES, IN A WRITTEN ORDER RELEASED  TO  THE  PUBLIC,  AND
ISSUED  AFTER  NOTICE TO THE PEOPLE AND THE REQUESTER AND AN OPPORTUNITY
TO BE HEARD AND REASONABLE EFFORTS TO NOTIFY AND PROVIDE AN  OPPORTUNITY
TO  BE  HEARD TO ANY OTHER APPROPRIATE PERSON OR AGENCY, THAT THERE IS A
REASONABLE LIKELIHOOD THAT PUBLIC  RELEASE  OF  SUCH  INFORMATION  WOULD
ENDANGER ANY INDIVIDUAL.
  S 4. Section 230.20 of the criminal procedure law is amended by adding
a new subdivision 5 to read as follows:
  5.  ANY PARTY AGGRIEVED BY AN ORDER OF THE APPELLATE DIVISION CONCERN-
ING A MOTION MADE PURSUANT TO SUBDIVISION TWO OF THIS SECTION  MAY  SEEK
LEAVE  TO  APPEAL  FROM  SUCH ORDER TO THE COURT OF APPEALS, PURSUANT TO
SUBDIVISION THREE OF SECTION 450.90 OF THIS CHAPTER.
  S 5. Section 450.90 of the criminal procedure law is amended by adding
a new subdivision 3 to read as follows:
  3. PROVIDED THAT A CERTIFICATE GRANTING  LEAVE  TO  APPEAL  IS  ISSUED
PURSUANT  TO SECTION 460.20 OF THIS TITLE, AN APPEAL MAY BE TAKEN TO THE
COURT OF APPEALS BY ANY PARTY AGGRIEVED BY AN  ORDER  OF  THE  APPELLATE
DIVISION CONCERNING A MOTION MADE PURSUANT TO SUBDIVISION TWO OF SECTION
230.20  OF  THIS  CHAPTER. UPON THE REQUEST OF EITHER PARTY, THE HEARING
AND DETERMINATION OF AN APPEAL  GRANTED  PURSUANT  TO  THIS  SUBDIVISION
SHALL  BE CONDUCTED IN AN EXPEDITIOUS MANNER. THE CHIEF ADMINISTRATOR OF
THE COURTS, WITH THE ADVICE AND CONSENT OF THE ADMINISTRATIVE  BOARD  OF

A. 9005--B                          8

THE  COURTS, SHALL ADOPT RULES FOR THE EXPEDITIOUS BRIEFING, HEARING AND
DETERMINATION OF SUCH APPEALS.
  S  6. Subdivision 1 of section 10.40 of the criminal procedure law, as
amended by chapter 237 of the laws  of  2015,  is  amended  to  read  as
follows:
  1.  The  chief  administrator  of  the  courts shall have the power to
adopt, amend and rescind forms for the efficient and just administration
of this chapter.   SUCH FORMS SHALL  INCLUDE,  WITHOUT  LIMITATION,  THE
FORMS  DESCRIBED  IN  PARAGRAPH  (Z)  OF  SUBDIVISION TWO OF SECTION TWO
HUNDRED TWELVE OF THE JUDICIARY LAW. A failure by any  party  to  submit
papers  in compliance with forms authorized by this section shall not be
grounds for that reason alone for denial or granting of any motion.
  S 7. Subdivision 2 of section 212 of the judiciary law is  amended  by
adding  six  new  paragraphs  (u), (v), (w), (x), (y) and (z) to read as
follows:
  (U) COMPILE AND PUBLISH DATA ON MISDEMEANOR OFFENSES  IN  ALL  COURTS,
DISAGGREGATED BY COUNTY, INCLUDING THE FOLLOWING INFORMATION:
  (I) THE AGGREGATE NUMBER OF MISDEMEANORS CHARGED, BY INDICTMENT OR THE
FILING OF A MISDEMEANOR COMPLAINT OR INFORMATION;
  (II) THE OFFENSE CHARGED;
  (III) THE RACE, ETHNICITY, AGE, AND SEX OF THE INDIVIDUAL CHARGED;
  (IV) WHETHER THE INDIVIDUAL WAS ISSUED A SUMMONS OR APPEARANCE TICKET,
WAS  SUBJECT  TO  CUSTODIAL  ARREST, AND/OR WAS HELD TO ARRAIGNMENT AS A
RESULT OF THE ALLEGED MISDEMEANOR;
  (V) THE ZIP CODE OR LOCATION WHERE THE ALLEGED MISDEMEANOR OCCURRED;
  (VI) THE DISPOSITION,  INCLUDING,  AS  THE  CASE  MAY  BE,  DISMISSAL,
ACQUITTAL,  ADJOURNMENT IN CONTEMPLATION OF DISMISSAL, PLEA, CONVICTION,
OR OTHER DISPOSITION;
  (VII) IN THE CASE OF DISMISSAL, THE REASONS THEREFOR; AND
  (VIII) THE SENTENCE  IMPOSED,  IF  ANY,  INCLUDING  FINES,  FEES,  AND
SURCHARGES.
  (V)  COMPILE  AND  PUBLISH DATA ON VIOLATIONS IN ALL COURTS, DISAGGRE-
GATED BY COUNTY, INCLUDING THE FOLLOWING INFORMATION:
  (I) THE AGGREGATE NUMBER OF VIOLATIONS CHARGED BY  THE  FILING  OF  AN
INFORMATION;
  (II) THE VIOLATION CHARGED;
  (III) THE RACE, ETHNICITY, AGE, AND SEX OF THE INDIVIDUAL CHARGED;
  (IV) WHETHER THE INDIVIDUAL WAS ISSUED A SUMMONS OR APPEARANCE TICKET,
WAS  SUBJECT  TO  CUSTODIAL  ARREST, AND/OR WAS HELD TO ARRAIGNMENT AS A
RESULT OF THE ALLEGED VIOLATION;
  (V) THE ZIP CODE OR LOCATION WHERE THE ALLEGED VIOLATION OCCURRED;
  (VI) THE DISPOSITION,  INCLUDING,  AS  THE  CASE  MAY  BE,  DISMISSAL,
ACQUITTAL, CONVICTION, OR OTHER DISPOSITION;
  (VII) IN THE CASE OF DISMISSAL, THE REASONS THEREFOR; AND
  (VIII)  THE  SENTENCE  IMPOSED,  IF  ANY,  INCLUDING  FINES, FEES, AND
SURCHARGES.
  (W) THE CHIEF ADMINISTRATOR SHALL INCLUDED THE INFORMATION REQUIRED BY
PARAGRAPHS (U) AND (V) OF THIS SUBDIVISION IN THE ANNUAL REPORT  SUBMIT-
TED  TO  THE  LEGISLATURE  AND THE GOVERNOR PURSUANT TO PARAGRAPH (J) OF
SUBDIVISION ONE OF THIS SECTION. THE CHIEF ADMINISTRATOR SHALL ALSO MAKE
THE INFORMATION REQUIRED BY PARAGRAPHS (U) AND (V) OF  THIS  SUBDIVISION
AVAILABLE  TO  THE  PUBLIC BY POSTING IT ON THE WEBSITE OF THE OFFICE OF
COURT ADMINISTRATION AND SHALL UPDATE  SUCH  INFORMATION  ON  A  MONTHLY
BASIS.  THE INFORMATION SHALL BE POSTED IN ALPHANUMERIC FORM THAT CAN BE
DIGITALLY TRANSMITTED OR PROCESSED AND NOT IN PORTABLE  DOCUMENT  FORMAT
OR SCANNED COPIES OF ORIGINAL DOCUMENTS.

A. 9005--B                          9

  (X)  NOTHING  IN  PARAGRAPHS  (U) AND (V) OF THIS SUBDIVISION SHALL BE
CONSTRUED AS GRANTING AUTHORITY TO THE CHIEF ADMINISTRATOR,  A  CRIMINAL
JUSTICE  OR  LAW ENFORCEMENT AGENCY, A GOVERNMENTAL ENTITY, OR ANY AGENT
OR REPRESENTATIVE OF THE FOREGOING, TO USE, DISSEMINATE, OR PUBLISH  ANY
INDIVIDUAL'S  NAME, DATE OF BIRTH, NYSID, SOCIAL SECURITY NUMBER, DOCKET
NUMBER, OR OTHER UNIQUE IDENTIFIER IN VIOLATION OF THE  CRIMINAL  PROCE-
DURE LAW, THE GENERAL BUSINESS LAW, OR ANY OTHER LAW.
  (Y)  NOTHING  IN  PARAGRAPHS  (U) AND (V) OF THIS SUBDIVISION SHALL BE
CONSTRUED AS GRANTING AUTHORITY TO THE CHIEF ADMINISTRATOR,  A  CRIMINAL
JUSTICE  OR  LAW  ENFORCEMENT  AGENCY, A GOVERNMENTAL ENTITY, A PARTY, A
JUDGE, A PROSECUTOR, OR ANY  AGENT OR REPRESENTATIVE OF THE FOREGOING TO
INTRODUCE, USE, DISSEMINATE, PUBLISH OR  CONSIDER  ANY  RECORDS  IN  ANY
JUDICIAL  OR ADMINISTRATIVE PROCEEDING EXPUNGED OR SEALED UNDER APPLICA-
BLE PROVISIONS OF THE CRIMINAL PROCEDURE LAW, THE FAMILY COURT  ACT,  OR
ANY OTHER LAW.
  (Z)  IN  EXECUTING  THE REQUIREMENTS OF PARAGRAPHS (U) AND (V) OF THIS
SECTION, THE CHIEF ADMINISTRATOR MAY ADOPT  RULES  CONSISTENT  WITH  THE
REQUIREMENTS  OF  PARAGRAPHS  (X)  AND (Y) OF THIS SUBDIVISION REQUIRING
APPROPRIATE LAW ENFORCEMENT OR CRIMINAL  JUSTICE  AGENCIES  TO  IDENTIFY
ACTIONS  AND  PROCEEDINGS  INVOLVING THESE OFFENSES, AND WITH RESPECT TO
SUCH ACTIONS AND PROCEEDINGS, TO REPORT, IN SUCH FORM AND MANNER AS  THE
CHIEF  ADMINISTRATOR  SHALL PRESCRIBE, THE INFORMATION SPECIFIED HEREIN.
FURTHER, TO FACILITATE THIS PROVISION,  THE  CHIEF  ADMINISTRATOR  SHALL
ADOPT  RULES TO FACILITATE RECORD SHARING, RETENTION AND OTHER NECESSARY
COMMUNICATION AMONG THE CRIMINAL COURTS AND  LAW  ENFORCEMENT  AGENCIES,
SUBJECT  TO  APPLICABLE  PROVISIONS  OF  THE CRIMINAL PROCEDURE LAW, THE
FAMILY COURT ACT, AND ANY OTHER LAW PERTAINING TO  THE  CONFIDENTIALITY,
EXPUNGEMENT AND SEALING OF RECORDS.
  S  8.  The  executive  law is amended by adding a new section 837-s to
read as follows:
  S 837-S. REPORTING DUTIES OF LAW ENFORCEMENT DEPARTMENTS WITH  RESPECT
TO  ARREST-RELATED DEATHS. 1. THE CHIEF OF EVERY POLICE DEPARTMENT, EACH
COUNTY SHERIFF, AND THE SUPERINTENDENT OF STATE  POLICE  SHALL  PROMPTLY
REPORT  TO THE DIVISION ANY ARREST-RELATED DEATH, DISAGGREGATED BY COUN-
TY. AN ARREST-RELATED DEATH IS A DEATH THAT OCCURS DURING  LAW  ENFORCE-
MENT  CUSTODY  OR  AN  ATTEMPT  TO  ESTABLISH CUSTODY INCLUDING, BUT NOT
LIMITED TO, DEATHS CAUSED BY ANY USE OF FORCE. THE  DATA  SHALL  INCLUDE
THE FOLLOWING INFORMATION:
  (A) THE NUMBER OF ARREST-RELATED DEATHS;
  (B) THE RACE, ETHNICITY, AGE, AND SEX OF THE INDIVIDUAL;
  (C) THE ZIP CODE OR LOCATION WHERE THE DEATH OCCURRED; AND
  (D)   A   BRIEF  DESCRIPTION  OF  THE  CIRCUMSTANCES  SURROUNDING  THE
ARREST-RELATED DEATH.
  2. THE DIVISION SHALL PRESENT TO THE GOVERNOR AND THE  LEGISLATURE  AN
ANNUAL  REPORT CONTAINING THE INFORMATION REQUIRED BY SUBDIVISION ONE OF
THIS SECTION. THE INITIAL REPORT REQUIRED BY THIS SUBDIVISION  SHALL  BE
FOR  THE  PERIOD  BEGINNING  JULY FIRST, TWO THOUSAND SIXTEEN AND ENDING
DECEMBER THIRTY-FIRST, TWO THOUSAND SIXTEEN AND SHALL  BE  PRESENTED  NO
LATER  THAN  FEBRUARY  FIRST, TWO THOUSAND SEVENTEEN.   THEREAFTER, EACH
ANNUAL REPORT SHALL BE PRESENTED NO LATER THAN FEBRUARY FIRST.
  3. THE DIVISION SHALL MAKE THE INFORMATION REQUIRED BY SUBDIVISION ONE
OF THIS SECTION AVAILABLE TO THE PUBLIC BY POSTING IT ON THE WEBSITE  OF
THE  DIVISION  AND SHALL UPDATE SUCH INFORMATION ON A MONTHLY BASIS. THE
INFORMATION SHALL BE POSTED IN ALPHANUMERIC FORM THAT CAN  BE  DIGITALLY
TRANSMITTED  OR PROCESSED AND NOT IN PORTABLE DOCUMENT FORMAT OR SCANNED
COPIES OF ORIGINAL DOCUMENTS.

A. 9005--B                         10

  S 9.  Paragraph (e) of subdivision 3 of section 690.35 of the criminal
procedure law, as added by chapter 504 of the laws of 1991, such  subdi-
vision  as renumbered by chapter 815 of the laws of 1992, is amended and
a new paragraph (f) is added to read as follows:
  (e)  In  the case of an application for a search warrant as defined in
paragraph (b) of subdivision two of section 690.05 OF  THIS  ARTICLE,  a
copy  of  the  warrant  of  arrest and the underlying accusatory instru-
ment[.]; AND
  (F) A FULL DISCLOSURE OF ALL PRIOR DENIALS OF THE SAME  OR  A  SIMILAR
APPLICATION,  AS  WELL  AS  ANY  PRIOR FAILURE TO ISSUE A SEARCH WARRANT
BASED ON THE SAME OR A SIMILAR APPLICATION, BY  A  DIFFERENT  JUDGE,  IF
KNOWN TO THE APPLICANT.
  S  10. Severability clause. If any clause, sentence, paragraph, subdi-
vision, 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  11.  This act shall take effect on the thirtieth day after it shall
have become a law; provided, however, that the amendments to subdivision
1 of section 10.40 of the criminal procedure law made by section six  of
this  act  shall survive the expiration and reversion of such section as
provided in section 11 of chapter 237 of the laws of 2015, as amended.

                                 PART B

  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  25  of  part B of chapter 55 of the laws of 2015, 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, [2016] 2017, 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, 2016.

                                 PART C

  Section  1. Paragraph (b) of subdivision 6 of section 186-f of the tax
law, as amended by section 1 of part D of chapter  55  of  the  laws  of
2014, is amended to read as follows:
  (b)  The  sum  of  one  million  five hundred thousand dollars must be
deposited into the New York state emergency services revolving loan fund
annually; provided, however, that such sums shall not be  deposited  for
state  fiscal  years two thousand eleven--two thousand twelve, two thou-
sand twelve--two thousand thirteen, two thousand fourteen--two  thousand
fifteen  [and], two thousand fifteen--two thousand sixteen, TWO THOUSAND
SIXTEEN--TWO THOUSAND SEVENTEEN AND TWO THOUSAND SEVENTEEN--TWO THOUSAND
EIGHTEEN;
  S 2. This act shall take effect immediately.

                                 PART D

A. 9005--B                         11

  Section 1. Notwithstanding any law to the contrary,  the  responsibil-
ities,  duties and functions, pursuant to subdivision 2 of section 70 of
the civil service law, of the intelligence  and  analysis  unit  of  the
office  of counterterrorism within the division of homeland security and
emergency services shall be transferred to the division of state police.
  S  2.  Paragraphs  (f)  and (g) of subdivision 2 of section 709 of the
executive law, as amended by section 14 of part B of chapter 56  of  the
laws of 2010, are amended to read as follows:
  (f)  coordinate  state  resources  for  the collection and analysis of
information relating to [terrorist threats and terrorist activities  and
other]  natural  and  man-made disasters throughout the state subject to
any applicable laws, rules, or regulations;
  (g) coordinate and facilitate information sharing among local,  state,
and  federal  [law  enforcement] agencies to ensure appropriate intelli-
gence to assist in the early identification of and response  to  [poten-
tial  terrorist  activities  and  other] natural and man-made disasters,
subject to any applicable laws,  rules,  or  regulations  governing  the
release, disclosure or sharing of any such information;
  S  3.  Section 709-a of the executive law, as added by section 15-a of
part B of chapter 56 of the laws of 2010, is amended to read as follows:
  S 709-a. Office of counterterrorism. The  office  of  counterterrorism
shall develop and analyze the state's policies, protocols and strategies
relating to the prevention and detection of terrorist acts and terrorist
threats. The office shall also be responsible for [the collection, anal-
ysis  and  sharing  of  information  relating  to  terrorist threats and
terrorist activities throughout  the  state;]  coordinating  strategies,
protocols  and  first  responder equipment needs to detect a biological,
chemical or radiological terrorist act or threat; working  with  private
entities and local, state and federal agencies to conduct assessments of
the  vulnerability  of  critical infrastructure to terrorist attack; and
consulting with appropriate state  and  local  governments  and  private
entities  to  facilitate  and  foster  cooperation to better prepare the
state to prevent and detect threats and acts of terrorism.
  S 3-a. Section 223 of the executive law, as amended by chapter 428  of
the laws of 1999, is amended to read as follows:
  S  223. Duties and powers of the superintendent of state police and of
members of the state police. 1. It shall be the duty of the  superinten-
dent  of  the state police and of members of the state police to prevent
and detect crime and apprehend criminals. They shall also be subject  to
the  call of the governor and are empowered to co-operate with any other
department of the state or with local  authorities.    THEY  SHALL  ALSO
COLLECT  AND  ANALYZE  INFORMATION  RELATING  TO  TERRORIST  THREATS AND
TERRORIST ACTIVITIES THROUGHOUT THE STATE  AND  SHARE  SUCH  INFORMATION
AMONG  LOCAL,  STATE, AND FEDERAL LAW ENFORCEMENT AGENCIES TO ENSURE THE
COORDINATION OF APPROPRIATE INTELLIGENCE TO ASSIST IN  THE  EARLY  IDEN-
TIFICATION  OF AND RESPONSE TO POTENTIAL TERRORIST THREATS AND TERRORIST
ACTIVITIES. They shall have power to  arrest,  without  a  warrant,  any
person  committing or attempting to commit within their presence or view
a breach of the peace or other violation of law, to  serve  and  execute
warrants  of arrest or search issued by proper authority and to exercise
all other powers of police officers of the state of New York.  Any  such
warrants  issued  by any magistrate of the state may be executed by them
in any part of the state according to the tenor thereof without indorse-
ment. But they shall not exercise their powers within the limits of  any
city  to suppress rioting and disorder except by direction of the gover-
nor or upon the request of the mayor of the city with  the  approval  of

A. 9005--B                         12

the  governor. Any member of the rank of sergeant or above may take pre-
arraignment bail from any defendant in the amounts and under the circum-
stances and conditions that police may take bail.
  2.  The superintendent may, by written order, designate a police offi-
cer, as defined in paragraph (b), (c) or (d) of subdivision  thirty-four
of  section 1.20 of the criminal procedure law, to assist members of the
state police in order to more effectively address the detection of crime
and apprehension of criminals  within  the  state  and  its  localities.
Police  officers  so  designated,  while actively working in conjunction
with members of the state police either directly or as part of a specif-
ic task force, shall be paid by and remain employees of their particular
county, city, town or village, but shall for purposes  of  the  criminal
procedure law, have their geographic area of employment deemed to be New
York state.
  S  3-b. Section 223 of the executive law, as amended by chapter 843 of
the laws of 1980, is amended to read as follows:
  S 223. Duties and powers of the superintendent of state police and  of
members  of the state police. It shall be the duty of the superintendent
of the state police and of members of the state police  to  prevent  and
detect  crime and apprehend criminals. They shall also be subject to the
call of the governor and are empowered  to  co-operate  with  any  other
department  of  the  state  or with local authorities.   THEY SHALL ALSO
COLLECT AND  ANALYZE  INFORMATION  RELATING  TO  TERRORIST  THREATS  AND
TERRORIST  ACTIVITIES  THROUGHOUT  THE  STATE AND SHARE SUCH INFORMATION
AMONG LOCAL, STATE, AND FEDERAL LAW ENFORCEMENT AGENCIES TO  ENSURE  THE
COORDINATION  OF  APPROPRIATE  INTELLIGENCE TO ASSIST IN THE EARLY IDEN-
TIFICATION OF AND RESPONSE TO POTENTIAL TERRORIST THREATS AND  TERRORIST
ACTIVITIES.  They  shall  have  power  to arrest, without a warrant, any
person committing or attempting to commit within their presence or  view
a  breach  of  the peace or other violation of law, to serve and execute
warrants of arrest or search issued by proper authority and to  exercise
all  other  powers of police officers of the state of New York. Any such
warrants issued by any magistrate of the state may be executed  by  them
in any part of the state according to the tenor thereof without indorse-
ment.  But they shall not exercise their powers within the limits of any
city to suppress rioting and disorder except by direction of the  gover-
nor  or  upon  the request of the mayor of the city with the approval of
the governor. Any member of the rank of sergeant or above may take  pre-
arraignment bail from any defendant in the amounts and under the circum-
stances and conditions that police may take bail.
  S  4. 1. Transfer of records. Upon the transfer of functions, pursuant
to section one of this act, the division of homeland security and  emer-
gency services shall deliver to the division of state police, all perti-
nent books, papers, records and property.
  2. Existing rights and remedies preserved. No existing right or remedy
of  any  character shall be lost, impaired or affected by reason of this
act.
  3. Pending actions and proceedings. No action or proceeding pending at
the time when this act shall take effect,  brought  by  or  against  the
division  of  homeland  security  and emergency services relating to the
function, power or duty transferred to or devolved upon the division  of
state  police  shall be affected by this act, but the same may be prose-
cuted or defended in the name of the division of state police  and  upon
the  application  to  the  court,  the division of state police shall be
substituted as a party.

A. 9005--B                         13

  4. Completion of unfinished business. Any  business  or  other  matter
undertaken  or  commenced by the division of homeland security and emer-
gency services pertaining to or connected with  the  functions,  powers,
obligations and duties transferred and assigned to the division of state
police,  pending on the effective date of this act, may be conducted and
completed by the division of state police in the same manner  and  under
the  same  terms and conditions and with the same effect as if conducted
and completed  by  the  division  of  homeland  security  and  emergency
services.
  S  5.  This act shall take effect immediately; provided, however, that
the amendments to section 223 of  the  executive  law  made  by  section
three-a  of this act shall be subject to the expiration and reversion of
such section pursuant to section 3 of chapter 428 of the laws  of  1999,
as  amended,  when  upon  such date the provisions of section three-b of
this act shall take effect.

                                 PART E

  Section 1. Section 5 of chapter 268 of the laws of 1996, amending  the
education law and the state finance law relating to providing a recruit-
ment  incentive  and retention program for certain active members of the
New York army national guard, New York air national guard, and New  York
naval  militia,  as amended by section 24 of part A of chapter 57 of the
laws of 2011, is amended to read as follows:
  S 5. This act shall take effect January 1, 1997 and shall  expire  and
be  deemed  repealed  September 1, [2016] 2021; provided that any person
who has begun to receive the benefits of this act prior to  its  expira-
tion and repeal shall be entitled to continue to receive the benefits of
this act after its expiration and repeal until completion of a baccalau-
reate  degree  or  cessation  of  status  as an active member, whichever
occurs first.
  S 2. This act shall take effect immediately.

                                 PART F

  Section 1. Subdivision 5 of section 362 of the chapter 83 of the  laws
of 1995 amending the state finance law and other laws relating to bonds,
notes  and revenues, as amended by section 37 of part L of chapter 55 of
the laws of 2012, is amended to read as follows:
  5. Sections thirty-one through forty-two of this act shall take effect
on the thirtieth day after it shall have  become  a  law  and  shall  be
deemed to have been in full force and effect on and after April 1, 1995;
provided  that section 163 of the state finance law, as added by section
thirty-three of this act shall remain in full  force  and  effect  until
June  30,  [2016]  2021  at  which  time  it  shall expire and be deemed
repealed. Contracts executed prior to the expiration of such section 163
shall remain in full force and effect until the expiration of  any  such
contract  notwithstanding  the  expiration of certain provisions of this
act.
  S 2. Section 16 of chapter 1 of the laws of 2005, amending  the  state
finance  law relating to restricting contacts in the procurement process
and the recording of contacts relating thereto, as amended by chapter 62
of the laws of 2014, is amended to read as follows:
  S 16. This act shall take effect immediately; provided, however,  that
sections  one,  six,  eight,  nine,  ten, eleven and fifteen of this act
shall take effect January 1, 2006; and provided, however, the amendments

A. 9005--B                         14

to paragraph f of subdivision 9 of section 163 of the state finance  law
made  by section fifteen of this act shall not affect the repeal of such
section and shall be deemed repealed therewith; provided, further,  that
the  amendments to article 1-A of the legislative law, made by this act,
shall not affect the repeal of such article pursuant to chapter 2 of the
laws of 1999, as  amended,  and  shall  be  deemed  repealed  therewith;
provided, further, that sections thirteen and fourteen of this act shall
take effect January 1, 2006 and shall be deemed repealed July 31, [2016]
2021;  provided, further, that effective immediately, the advisory coun-
cil on procurement lobbying created pursuant to section twelve  of  this
act  shall  be constituted no later than sixty days following the effec-
tive date of this act, provided that effective sixty days following  the
effective date of this act, the advisory council on procurement lobbying
shall  be  authorized  to  establish  model guidelines and to add, amend
and/or repeal any rules or regulations necessary for the  implementation
of  its  duties  under sections twelve and thirteen of this act, and the
advisory council authorized to make and complete such  model  guidelines
on  or  before  the  effective  date  of  section  thirteen of this act;
provided, further, that procurement contracts for  which  bid  solicita-
tions  have been issued prior to the effective date of this act shall be
awarded pursuant to the provisions of law in effect at the time of issu-
ance.
  S 2-a. Subdivision 12 of section 163 of  the  state  finance  law,  as
added by chapter 83 of the laws of 1995, is amended to read as follows:
  12.  Review  by  the  office  of  the state comptroller. Review by the
office of the state comptroller shall be in accordance with section  one
hundred  twelve  of  this  chapter.  IF  THE  CONTRACTING AGENCY HAS NOT
COMPLIED WITH ONE OR MORE PROVISIONS OF THIS ARTICLE,  THE  STATE  COMP-
TROLLER MAY APPROVE THE AWARDED CONTRACT IF:
  A. THE CONTRACTING AGENCY DETERMINES AND CERTIFIES, BASED ON CLEAR AND
CONVINCING EVIDENCE, THAT THE NONCOMPLIANCE WAS A NON-MATERIAL DEVIATION
FROM  ONE  OR  MORE PROVISIONS OF THIS ARTICLE. FOR THE PURPOSES OF THIS
SUBDIVISION "NON-MATERIAL DEVIATION" SHALL MEAN THAT SUCH  NONCOMPLIANCE
DID  NOT PREJUDICE OR FAVOR ANY VENDOR OR POTENTIAL VENDOR, SUCH NONCOM-
PLIANCE DID NOT SUBSTANTIALLY AFFECT THE  FAIRNESS  OF  THE  COMPETITIVE
PROCESS, AND THAT A NEW PROCUREMENT WOULD NOT BE IN THE BEST INTEREST OF
THE  STATE.   SUCH DETERMINATION BY THE CONTRACTING AGENCY AND THE STATE
COMPTROLLER SHALL BE DOCUMENTED IN THE PROCUREMENT RECORD; AND
  B. THE STATE COMPTROLLER CONCURS IN SUCH DETERMINATION.
  S 2-b. Paragraph (a) of subdivision 2 of  section  112  of  the  state
finance  law,  as  amended  by section 18 of part L of chapter 55 of the
laws of 2012, is amended to read as follows:
  (a) Before any contract made for or by any state  agency,  department,
board, officer, commission, or institution, except the office of general
services,  shall be executed or become effective, whenever such contract
exceeds fifty thousand dollars in amount and before  any  contract  made
for  or  by  the  office of general services shall be executed or become
effective, whenever such contract exceeds eighty-five  thousand  dollars
in  amount,  it  shall first be approved by the comptroller and filed in
his or her office, with the exception  of  contracts  established  as  a
centralized  contract  through  the  office  of  general  services  [and
purchase orders or other  procurement  transactions  issued  under  such
centralized  contracts]  THAT  WERE  NOT AWARDED PURSUANT TO SUBDIVISION
SIXTEEN OF SECTION ONE HUNDRED SIXTY-THREE OF THIS CHAPTER.   The  comp-
troller  shall  make  a  final  written  determination  with  respect to
approval of such contract within ninety days of the submission  of  such

A. 9005--B                         15

contract  to  his  or her office unless the comptroller shall notify, in
writing, the state agency, department, board,  officer,  commission,  or
institution,  prior  to the expiration of the ninety day period, and for
good  cause, of the need for an extension of not more than fifteen days,
or a reasonable period of time agreed to by such state  agency,  depart-
ment,  board, officer, commission, or institution and provided, further,
that such written determination or extension shall be made part  of  the
procurement record pursuant to paragraph f of subdivision one of section
one hundred sixty-three of this chapter.
  S 2-c. Section 163 of the state finance law is amended by adding a new
subdivision 16 to read as follows:
  16.  ALTERNATIVE  PROCUREMENT  METHODS FOR THE ACQUISITION OF NON-CON-
STRUCTION RELATED COMMODITIES, SERVICES  AND  TECHNOLOGY.  A.  WHEN  THE
COMMISSIONER  OR A STATE AGENCY DETERMINES THAT IT IS IN THE BEST INTER-
EST OF THE STATE TO DEVELOP A PROCUREMENT METHOD NOT AUTHORIZED BY  THIS
SECTION  FOR NON-CONSTRUCTION RELATED COMMODITIES, SERVICES OR TECHNOLO-
GY, THE COMMISSIONER OR STATE AGENCY IS HEREBY AUTHORIZED TO DEVELOP AND
USE SUCH METHOD FOR A SPECIFIC CONTRACT AWARD. SUCH DETERMINATION  SHALL
BE  MADE  IN WRITING AND SHALL INCLUDE DOCUMENTATION FOR THE PROCUREMENT
RECORD THAT SUCH ALTERNATIVE PROCUREMENT METHOD:  (I)  WOULD  SERVE  THE
INTEREST  OF  THE  STATE  BETTER  THAN OTHER METHODS CURRENTLY AVAILABLE
UNDER THIS SECTION; (II) CAN BE APPLIED ON A COMPETITIVE, FAIR AND EQUI-
TABLE BASIS; AND (III) CONTAINS AN  APPROPRIATE  EVALUATION  METHODOLOGY
THAT  CONSIDERS  BOTH  COST  AND  QUALITATIVE EVALUATION FACTORS.   SUCH
ALTERNATIVE PROCUREMENT METHOD SHALL BE SUBJECT TO ALL OTHER  APPLICABLE
PROVISIONS  OF  THIS SECTION. THE COMMISSIONER OR A STATE AGENCY MAY NOT
UNDERTAKE AN ALTERNATIVE PROCUREMENT METHOD UNTIL  THE  COMPTROLLER  HAS
DETERMINED  THAT  THE  PROPOSED ALTERNATIVE PROCUREMENT METHOD IS IN THE
BEST INTEREST OF THE STATE; CAN BE APPLIED ON A  COMPETITIVE,  FAIR  AND
EQUITABLE BASIS; AND UTILIZES AN APPROPRIATE EVALUATION METHODOLOGY THAT
CONSIDERS BOTH COST AND QUALITATIVE EVALUATION FACTORS.
  B.  WHEN  USING  AN  ALTERNATIVE PROCUREMENT METHOD AUTHORIZED BY THIS
SUBDIVISION, THE COMMISSIONER OR AGENCY SHALL INCLUDE IN  ITS  SOLICITA-
TION  A DETAILED DESCRIPTION OF THE PROPOSED METHOD OF AWARD. IN ADVANCE
OF THE INITIAL RECEIPT OF OFFERS OR  BIDS,  THE  COMMISSIONER  OR  STATE
AGENCY SHALL DETERMINE AND DOCUMENT IN THE PROCUREMENT RECORD THE EVALU-
ATION  CRITERIA  AND  PROCESS  TO  BE  USED  IN THE DETERMINATION OF THE
SPECIFIC CONTRACT AWARD AND THE PROCESS  BY  WHICH  THE  EVALUATION  AND
SELECTION  SHALL BE CONDUCTED. IN ADDITION TO THE REQUIREMENTS SET FORTH
IN PARAGRAPH G OF SUBDIVISION NINE  OF  THIS  SECTION,  THE  PROCUREMENT
RECORD  SHALL  DOCUMENT  THE  BASIS UPON WHICH THE AGENCY HAS DETERMINED
THAT POTENTIAL VENDORS WILL BE ABLE TO RESPOND WITH VIABLE BIDS TO  SUCH
ALTERNATIVE PROCUREMENT.
  C. NOTWITHSTANDING THE PROVISIONS OF SUBDIVISION FIVE OF SECTION THREE
HUNDRED  FIFTY-FIVE  OF  THE  EDUCATION  LAW  TO THE CONTRARY OR SECTION
SIXTY-TWO HUNDRED EIGHTEEN OF THE EDUCATION  LAW,  BEFORE  ANY  CONTRACT
AWARDED  UNDER  THIS  SECTION  WHICH  EXCEEDS  FIFTY THOUSAND DOLLARS IN
AMOUNT BECOMES EFFECTIVE IT MUST BE  APPROVED  BY  THE  COMPTROLLER  AND
FILED IN HIS OR HER OFFICE.
  D.  FOR EACH PROCUREMENT AWARDED PURSUANT TO THIS SECTION, THE COMMIS-
SIONER OR STATE AGENCY SHALL SUBMIT TO THE GOVERNOR, THE COMPTROLLER AND
THE HEADS OF THE FISCAL COMMITTEES OF EACH HOUSE OF THE  STATE  LEGISLA-
TURE  NO  LATER  THAN THE MID-POINT OF THE INITIAL TERM OF THE RESULTANT
CONTRACT A REPORT ASSESSING THE VALIDITY OF THE PROCUREMENT  METHOD  AND
COMPARING ITS RESULTS TO PROCUREMENT METHODS FOR COMMODITIES OR SERVICES
OR TECHNOLOGY.

A. 9005--B                         16

  S  2-d.  Paragraph  c  of  subdivision  9  of section 163 of the state
finance law, as amended by chapter 137 of the laws of 2008,  is  amended
to read as follows:
  c.  Where  provided  in  the  solicitation, state agencies may require
clarification from [offerers] OFFERORS for purposes of assuring  a  full
understanding  of responsiveness to the solicitation requirements. Where
provided for in the solicitation, revisions may be  permitted  from  all
[offerers]  OFFERORS  determined to be susceptible of being selected for
contract award, prior to award. [Offerers] OFFERORS  shall  be  accorded
fair   and  equal  treatment  with  respect  to  their  opportunity  for
discussion and revision of offers. [A state agency shall, upon  request,
provide  a  debriefing  to  any unsuccessful offerer that responded to a
request for proposal or an invitation for bids,  regarding  the  reasons
that  the  proposal or bid submitted by the unsuccessful offerer was not
selected for an award. The opportunity for an  unsuccessful  offerer  to
seek  a  debriefing  shall  be  stated  in the solicitation, which shall
provide a reasonable time for requesting a debriefing.]
  S 2-e. Subdivision 9 of section  163  of  the  state  finance  law  is
amended by adding a new paragraph h to read as follows:
  H. (I) WITHIN FIFTEEN DAYS OF THE SELECTION OF A SUCCESSFUL OFFEROR BY
A STATE AGENCY AND PRIOR TO THE SUBMISSION FOR APPROVAL OF A CONTRACT TO
THE  OFFICE  OF THE STATE COMPTROLLER IF THAT CONTRACT IS SUBJECT TO THE
APPROVAL OF THE COMPTROLLER, ALL UNSUCCESSFUL OFFERORS SHALL BE  ADVISED
IN  WRITING  OF  THE  COMPLETION OF THE SELECTION PROCESS AND THAT THEIR
OFFER WAS NOT SELECTED FOR THIS AWARD. THIS NOTICE  SHALL  DISCLOSE  THE
IDENTITY OF THE SUCCESSFUL OFFEROR.
  (II)  FOR  ANY  CONTRACT  ESTABLISHED AS A CENTRALIZED CONTRACT BY THE
OFFICE OF GENERAL SERVICES, WITHIN FIFTEEN  DAYS  OF  SELECTION  OF  THE
SUCCESSFUL  OFFEROR  BY THE OFFICE OF GENERAL SERVICES, ALL UNSUCCESSFUL
OFFERORS SHALL BE ADVISED IN WRITING OF THE COMPLETION OF THE  SELECTION
PROCESS  AND  THAT  THEIR  OFFER WAS NOT SELECTED FOR AWARD. THIS NOTICE
SHALL DISCLOSE THE IDENTITY OF THE SUCCESSFUL OFFEROR.
  (III) EACH REQUEST FOR PROPOSALS OR INVITATION FOR  BIDS  SHALL  STATE
THAT EACH UNSUCCESSFUL OFFEROR THAT RESPONDED TO SUCH REQUEST OR INVITA-
TION  SHALL  BE  PROVIDED  AN  OPPORTUNITY FOR A DEBRIEFING BY THE STATE
AGENCY SEEKING SUCH PROPOSALS OR BIDS IF SUCH A REQUEST IS  MADE  WITHIN
FIFTEEN  DAYS OF WRITTEN NOTIFICATION THAT SUCH OFFEROR WAS NOT SELECTED
FOR AWARD.
  (IV) THE STATE AGENCY, UPON A REQUEST MADE WITHIN FIFTEEN DAYS OF  ITS
WRITTEN  NOTICE TO UNSUCCESSFUL OFFERORS PURSUANT TO SUBPARAGRAPH (I) OR
(II) OF THIS PARAGRAPH BY AN  UNSUCCESSFUL  OFFEROR,  SHALL  PROVIDE  AN
OPPORTUNITY  FOR  AN  IN-PERSON,  OR  IF  NECESSARY  A VIDEO-CONFERENCED
DEBRIEFING DISCUSSION WITH AGENCY PERSONNEL WHO WERE INVOLVED IN AND ARE
KNOWLEDGEABLE ABOUT THE PROCUREMENT  EVALUATION  PROCESS  WITHIN  THIRTY
DAYS  OF  SUCH REQUEST.  SUCH DEBRIEFING, SHALL INCLUDE, BUT NEED NOT BE
LIMITED TO: (A) THE REASONS THAT THE PROPOSAL OR BID  SUBMITTED  BY  THE
UNSUCCESSFUL OFFEROR WAS NOT SELECTED FOR AWARD; (B) THE QUALITATIVE AND
QUANTITATIVE  ANALYSIS  EMPLOYED BY THE AGENCY IN ASSESSING THE RELATIVE
MERITS OF THE OFFERS; (C) THE  APPLICATION  OF  EACH  OF  THE  SELECTION
CRITERIA  TO  THE  UNSUCCESSFUL  OFFEROR'S  PROPOSAL OR BID; AND (D) THE
REASONS FOR THE SELECTION OF THE WINNING PROPOSAL OR BID. SUCH PERSONNEL
SHALL ALSO PROVIDE, TO THE EXTENT PRACTICABLE, ADVICE  AND  GUIDANCE  TO
THE  UNSUCCESSFUL  OFFEROR  CONCERNING METHODS OF IMPROVING PROPOSALS OR
BIDS BY SUCH OFFEROR.
  (V) THE STATE AGENCY SHALL PROVIDE AN UNSUCCESSFUL OFFEROR A  THOROUGH
WRITTEN  EXPLANATION  DETAILING  THE  INFORMATION  DISCUSSED  DURING THE

A. 9005--B                         17

DEBRIEFING CONDUCTED PURSUANT TO SUBPARAGRAPH (IV) OF THIS PARAGRAPH  IF
SUCH A WRITTEN EXPLANATION IS REQUESTED BY AN UNSUCCESSFUL OFFEROR WITH-
IN  FIFTEEN DAYS OF SUCH DEBRIEFING. THE STATE AGENCY SHALL PROVIDE SUCH
UNSUCCESSFUL OFFEROR WITH SUCH WRITTEN EXPLANATION WITHIN THIRTY DAYS OF
RECEIVING SUCH A REQUEST.
  S  2-f.  Subdivision  15  of  section  163 of the state finance law is
amended by adding a new paragraph d to read as follows:
  D. IN ADDITION TO OTHER REPORTS  REQUIRED  BY  THIS  SUBDIVISION,  THE
COMMISSIONER  OF  GENERAL SERVICES SHALL PREPARE A REPORT ON THE SAVINGS
ACHIEVED FROM  ALL  CONTRACTS  ESTABLISHED  AS  A  CENTRALIZED  CONTRACT
THROUGH  THE  OFFICE  OF  GENERAL SERVICES PURSUANT TO THIS SECTION, THE
IMPACT  OF  SUCH  CONTRACTS  ON  SMALL,  MINORITY  AND  WOMEN-OWNED  AND
SERVICE-DISABLED  VETERAN-OWNED BUSINESS ENTERPRISES, AND THE EFFECTIVE-
NESS OF SUCH CONTRACTS IN FULFILLING THE PURCHASING NEEDS OF ALL AUTHOR-
IZED USERS OF SUCH CONTRACTS.  SUCH REPORT SHALL BE  SUBMITTED  BY  SUCH
COMMISSIONER  TO  THE  GOVERNOR, THE STATE COMPTROLLER, AND THE HEADS OF
THE FISCAL COMMITTEES OF EACH HOUSE OF THE STATE  LEGISLATURE  NO  LATER
THAN  JANUARY FIFTEENTH, TWO THOUSAND SEVENTEEN, AND THEREAFTER ANNUALLY
ON OR BEFORE SUCH DATE.
  S 2-g. Subdivision 3 of section 112  of  the  state  finance  law,  as
amended  by  chapter  319  of  the  laws  of 1992, is amended to read as
follows:
  3. A contract or other instrument wherein the  state  or  any  of  its
officers, agencies, boards or commissions agrees to give a consideration
other  than the payment of money, when the value or reasonably estimated
value of such consideration exceeds [ten] TWENTY-FIVE thousand  dollars,
shall  not  become  a valid enforceable contract unless such contract or
other instrument shall first be approved by the comptroller and filed in
his office. FOR PURPOSES OF THIS SUBDIVISION, WHERE CONSIDERATION CANNOT
BE DETERMINED IN TERMS OF MONETARY VALUE, IT SHALL BE VALUED IN TERMS OF
INTRINSIC VALUE.
  S 2-h. Paragraph f of subdivision 1 of  section  139-j  of  the  state
finance  law, as amended by chapter 4 of the laws of 2010, is amended to
read as follows:
  f. "Restricted period" shall mean the period of time  commencing  with
the  earliest written notice, advertisement or solicitation of a request
for proposal, invitation for bids, or solicitation of proposals, or  any
other method PROVIDED FOR BY LAW OR REGULATION for soliciting a response
from  [offerers]  OFFERORS intending to result in a procurement contract
with a governmental entity and ending with the final contract award  and
approval  by  the  governmental  entity and, where applicable, the state
comptroller. A GOVERNMENTAL  ENTITY'S  DETERMINATION  OF  A  PROCUREMENT
NEED,  INCLUDING  PURSUANT  TO  SUBDIVISION  FIVE OF SECTION ONE HUNDRED
SIXTY-THREE OF THIS CHAPTER, SHALL NOT, WITHOUT  PUBLIC  NOTICE,  ADVER-
TISEMENT,  SOLICITATION,  OR  INVITATION  FOR  BIDS  OR PROPOSALS IN THE
STATE'S PROCUREMENT OPPORTUNITIES NEWSLETTER IN ACCORDANCE WITH  ARTICLE
FOUR-C OF THE ECONOMIC DEVELOPMENT LAW, A GOVERNMENTAL ENTITY'S WEBSITE,
OR  AS  OTHERWISE  PROVIDED FOR BY LAW, RULE OR REGULATION, BE DEEMED TO
COMMENCE A RESTRICTED PERIOD.
  S 3. This act shall take effect immediately and  shall  be  deemed  to
have been in full force and effect on and after April 1, 2016; provided,
however,  that  the  provisions  of sections two-a, two-c, two-d, two-e,
two-f, two-g and two-h of this act shall apply to any procurement initi-
ated on or after such date; provided, further however, that  the  amend-
ments  to  section  163 of the state finance law made by sections two-a,
two-c, two-d, two-e and two-f of this act shall not affect the repeal of

A. 9005--B                         18

such section as provided in subdivision 5 of section 362 of  chapter  83
of the laws of 1995, as amended, and shall be deemed repealed therewith;
provided,  further, however, that the amendments to section 139-j of the
state finance law made by section two-h of this act shall not affect the
repeal  of  such  section  as provided in section 16 of chapter 1 of the
laws of 2005, as amended, and shall be deemed repealed therewith.

                                 PART G

  Section 1 - 23. Intentionally omitted.
  S 24. Section 167 of the workers' compensation law, as added by  chap-
ter 446 of the laws of 2006, is amended to read as follows:
  S  167.  Claims  of  volunteers. For persons who participated in World
Trade Center rescue, recovery and clean-up operations as volunteers, the
uninsured employers' fund shall be deemed to be the employer [only]  for
the  purposes  of administering and paying claims pursuant to this arti-
cle. Benefits under this chapter shall be  payable  to  such  volunteers
[only]  IN THE FIRST INSTANCE AND to the extent that funds are available
out of funds appropriated to the United States Department of Labor under
Public Law 109-148 to reimburse the uninsured employer's  fund  for  the
payment  of  such  benefits AND THEREAFTER FROM THE UNINSURED EMPLOYERS'
FUND. THE UNINSURED EMPLOYERS' FUND  MAY  PAY  FOR  VOLUNTEERS'  MEDICAL
TREATMENT  NOTWITHSTANDING  SUCH  MEDICAL EXPENSES HAVING BEEN DENIED BY
THE WORLD TRADE CENTER HEALTH ORGANIZATION.
  S 25 - 39. Intentionally omitted.
  S 40. This act shall take effect immediately.

                                 PART H

  Section 1.  Subdivision 2 of section 76 of the  workers'  compensation
law,  as added by chapter 600 of the laws of 1949, is amended to read as
follows:
  2. The purposes of the state insurance fund herein created are  hereby
enlarged to provide [for the] insurance [by the state insurance fund of]
FOR  the payment of the benefits required by section two hundred four of
this chapter, INCLUDING BENEFITS FOR FAMILY CARE PROVIDED EITHER IN  THE
SAME  POLICY  WITH  OR IN A SEPARATE POLICY FROM BENEFITS FOR DISABILITY
RESULTING FROM INJURY, SICKNESS OR PREGNANCY  OF  AN  EMPLOYEE,  AND  AS
PROVIDED  PURSUANT  TO  SECTION TWO HUNDRED ELEVEN-A OF THIS CHAPTER.  A
separate fund is hereby created within the state insurance  fund,  which
shall  be  known  as  the  "disability  benefits  fund", and which shall
consist of all premiums received and paid into said fund on  account  of
such insurance, all securities acquired by and through the use of moneys
belonging  to  said fund and of interest earned upon moneys belonging to
said fund and deposited or invested as herein provided. Said  disability
benefits  fund  shall be applicable to the payment of benefits, expenses
and assessments on account of insurance written pursuant to article nine
of this chapter.
  S 2. Section 88-c of the workers' compensation law, as added by  chap-
ter 103 of the laws of 1981, is amended to read as follows:
  S  88-c.  Coverage  of  state  employees.  Notwithstanding  any  other
provisions of law to the contrary AND EXCEPT AS SET FORTH IN SECTION TWO
HUNDRED ELEVEN-A OF THIS CHAPTER, the liability of  the  state  for  the
payment  of compensation under this chapter heretofore existing or here-
inafter arising shall be secured by an insuring agreement to be  entered
into  between  the  department  of civil service and the state insurance

A. 9005--B                         19

fund wherein the state, from moneys appropriated therefor, shall pay  in
advance to the fund on a periodic basis the actual costs to the fund for
the  meeting  and  paying, as the same become due and payable, all obli-
gations  incurred  under  this  chapter  by  the  state  as an employer.
Notwithstanding any law to the contrary, the fund may on an  actuarially
sound  basis provide to the state insurance for any portion of the obli-
gations of the state as employer under  this  chapter  with  respect  to
injuries  or  deaths  resulting from accidents arising out of and in the
course of employment on or after April first, nineteen  hundred  eighty-
one.  All  such  payments made by the state and paid into the state fund
shall constitute a separate account in the fund to be  used  solely  for
the  purpose  of  discharging  all compensation obligations of the state
pursuant to the provisions of this chapter and in  accordance  with  the
insuring  agreement  as  provided  in  this  section. Any portion of the
account may be invested in the same manner as the assets of the fund  as
provided  in  section eighty-seven of this article. The liability of the
fund for the payment of any claims or the meeting of any obligations  of
the  state  as  an employer as provided in this chapter shall not exceed
the moneys paid into such separate account and any increments or diminu-
tions thereof. The agreement shall further provide that the  fund  shall
render  all  services  and make all reasonable expenditures necessary or
required for the processing, defense and payment  of  all  claims  under
this chapter, including the protection of liens, subrogation, credit and
other  rights  of the state as an employer or the fund as an insurer, in
situations where the employees' injuries or deaths were caused by culpa-
bility of third parties. Except to the extent  that  the  state  obtains
insurance  on  an  actuarially sound basis pursuant to the provisions of
this section, the provisions of section eighty-six of this chapter  with
respect to the maintenance of reserves for the purpose of meeting antic-
ipated  compensation  losses,  shall  not in any manner be applicable to
claims of employees of the state with  respect  to  injuries  or  deaths
resulting  from accidents arising out of and in the course of employment
prior to April first, nineteen hundred eighty-one,  or  to  an  insuring
agreement  entered into between the state insurance fund and the depart-
ment of civil service in accordance with the provisions of this section.
  S 3. The section heading  and  the  first  undesignated  paragraph  of
section  120  of the workers' compensation law, as amended by chapter 61
of the laws of 1989, are amended to read as follows:
  Discrimination against employees [who bring proceedings]. It shall  be
unlawful  for  any  employer  or  his  or  her  duly authorized agent to
discharge OR FAIL TO REINSTATE PURSUANT TO SECTION TWO  HUNDRED  THREE-B
OF THIS CHAPTER, or in any other manner discriminate against an employee
as  to  his  or  her  employment  because  such  employee has claimed or
attempted to claim  compensation  from  such  employer,  OR  CLAIMED  OR
ATTEMPTED  TO CLAIM ANY BENEFITS PROVIDED UNDER THIS CHAPTER, or because
he or she has testified or is about to testify  in  a  proceeding  under
this chapter and no other valid reason is shown to exist for such action
by the employer.
  S  4. Subdivision 1 of section 141-a of the workers' compensation law,
as added by chapter 6 of the  laws  of  2007,  is  amended  to  read  as
follows:
  S  141-a.  Civil enforcement. 1. To investigate violations of sections
fifty-two [and], one hundred thirty-one, AND  TWO  HUNDRED  THIRTEEN  of
this chapter, the chair or his or her designees shall have the power to:
  (a) Enter and inspect any place of business at any reasonable time for
the purpose of investigating employer compliance.

A. 9005--B                         20

  (b) Examine and copy business records.
  (c) Administer oaths and affirmations.
  (d)   Issue  and  serve  subpoenas  for  attendance  of  witnesses  or
production of business records, books, papers, correspondence,  memoran-
da, and other records. Such subpoenas may be served without the state on
any  defendant  over whom a New York court would have personal jurisdic-
tion under the civil practice law and rules as  to  the  subject  matter
under  investigation, provided the information or testimony sought bears
a reasonable relationship to the subject matter under investigation.
  S 5. Subdivision 9 of section 201 of the workers' compensation law  is
amended by adding two new paragraphs C and D to read as follows:
  C.  "DISABILITY"  ALSO INCLUDES FAMILY CARE, AS DEFINED IN SUBDIVISION
FIFTEEN OF THIS SECTION.
  D. UNLESS OTHERWISE SET FORTH IN THIS ARTICLE, ALL PROVISIONS OF  THIS
ARTICLE APPLICABLE TO "DISABILITY" SHALL APPLY TO (I) DISABILITY ARISING
FROM INJURY OR SICKNESS; (II) DISABILITY CAUSED BY OR IN CONNECTION WITH
PREGNANCY;  AND  (III) FAMILY CARE.   UNLESS OTHERWISE SET FORTH IN THIS
ARTICLE, ALL PROVISIONS  OF  THIS  ARTICLE  APPLICABLE  TO  A  "DISABLED
EMPLOYEE"  SHALL APPLY TO EMPLOYEES IN NEED OF TIME OFF FOR THE PURPOSES
OF SUBPARAGRAPHS (I), (II) AND (III) OF THIS PARAGRAPH.
  S 6. Subdivision 14 of section 201 of the workers'  compensation  law,
as added by chapter 600 of the laws of 1949 and as renumbered by chapter
438 of the laws of 1964, is amended to read as follows:
  14.  "A  day  of  disability"  means any day on which the employee was
prevented from performing work because of disability, INCLUDING ANY  DAY
WHICH THE EMPLOYEE USES FOR FAMILY CARE, and for which [he] THE EMPLOYEE
has not received his OR HER regular remuneration.
  S 7. Section 201 of the workers' compensation law is amended by adding
twelve  new  subdivisions 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25 and
26 to read as follows:
  15. "FAMILY CARE" SHALL MEAN ANY LEAVE TAKEN BY AN EMPLOYEE FROM WORK:
  A. TO PARTICIPATE IN PROVIDING CARE, INCLUDING PHYSICAL OR  PSYCHOLOG-
ICAL CARE, FOR A FAMILY MEMBER OF THE EMPLOYEE MADE NECESSARY BY A SERI-
OUS HEALTH CONDITION OF THE FAMILY MEMBER; OR
  B.  TO  BOND  WITH THE EMPLOYEE'S CHILD DURING THE FIRST TWELVE MONTHS
AFTER THE CHILD'S BIRTH, OR THE FIRST TWELVE MONTHS AFTER THE  PLACEMENT
OF THE CHILD FOR ADOPTION OR FOSTER CARE WITH THE EMPLOYEE.
  C.  BECAUSE OF ANY QUALIFYING EXIGENCY AS INTERPRETED UNDER THE FAMILY
AND MEDICAL LEAVE ACT,  29  U.S.C.  S  2612(A)(1)(E)  AND  29  C.F.R.  S
825.126(A)(1)-(8),  ARISING  OUT  OF  THE FACT THAT THE SPOUSE, DOMESTIC
PARTNER, CHILD, OR PARENT OF THE EMPLOYEE IS ON ACTIVE DUTY (OR HAS BEEN
NOTIFIED OF AN IMPENDING CALL OR ORDER TO  ACTIVE  DUTY)  IN  THE  ARMED
FORCES OF THE UNITED STATES.
  16. "CHILD" MEANS A BIOLOGICAL, ADOPTED OR FOSTER CHILD, A STEP-CHILD,
A  LEGAL WARD OR A CHILD OF A PERSON WHO STANDS IN PARENTAL RELATIONSHIP
TO THE CHILD.
  17. "DOMESTIC PARTNER" HAS THE MEANING SET FORTH IN SUBDIVISION ONE OF
SECTION FOUR OF THIS CHAPTER.
  18. "SERIOUS HEALTH CONDITION" MEANS AN ILLNESS,  INJURY,  IMPAIRMENT,
OR PHYSICAL OR MENTAL CONDITION THAT:
  A.  REQUIRES  INPATIENT  CARE  IN  A  HOSPITAL, HOSPICE OR RESIDENTIAL
HEALTH CARE FACILITY; OR
  B. REQUIRES CONTINUING TREATMENT BY A HEALTH CARE PROVIDER.
  19. "PARENT" MEANS  BIOLOGICAL  OR  ADOPTIVE  PARENT,  FOSTER  PARENT,
STEP-PARENT, PARENT-IN-LAW, OR PERSON WHO STOOD IN PARENTAL RELATIONSHIP
TO AN EMPLOYEE.

A. 9005--B                         21

  20.  "FAMILY  MEMBER" MEANS A CHILD, SPOUSE, DOMESTIC PARTNER, PARENT,
GRANDCHILD, GRANDPARENT, SIBLING OR PARENT OF A SPOUSE OR DOMESTIC PART-
NER.
  21.  "PARENTAL  RELATIONSHIP"  IS  A  RELATIONSHIP  IN  WHICH A PERSON
ASSUMES THE OBLIGATIONS INCIDENT TO PARENTHOOD FOR A CHILD AND  ACTUALLY
DISCHARGES  THOSE  OBLIGATIONS,  OR  A  RELATIONSHIP  IN  WHICH A PERSON
ASSUMED THOSE OBLIGATIONS AND DISCHARGED THEM BEFORE THE CHILD  ATTAINED
ADULTHOOD.  A BIOLOGICAL OR LEGAL RELATIONSHIP IS NOT NECESSARY.
  22. "GRANDCHILD" MEANS THE CHILD OF A CHILD.
  23.  "HEALTH  CARE  PROVIDER"  MEANS A HEALTH CARE PRACTITIONER WHO IS
LICENSED UNDER RELEVANT FEDERAL OR STATE LAWS TO PROVIDE MEDICAL,  EMER-
GENCY  OR  HEALTH  SERVICES  AND  IS  TREATING  AN EMPLOYEE'S DISABILITY
RESULTING FROM INJURY, SICKNESS OR PREGNANCY, OR A FAMILY MEMBER  FOR  A
SERIOUS  HEALTH  CONDITION.    FOR  AN  EMPLOYEE  OR A FAMILY MEMBER WHO
ADHERES TO THE FAITH OR TEACHINGS OF ANY CHURCH OR DENOMINATION AND  WHO
IN  ACCORDANCE  WITH ITS CREED, TENETS OR PRINCIPLES DEPENDS FOR HEALING
UPON PRAYER THROUGH SPIRITUAL MEANS ALONE IN THE PRACTICE  OF  RELIGION,
"HEALTH  CARE  PROVIDER"  INCLUDES A PRACTITIONER DULY ACCREDITED BY THE
CHURCH OR DENOMINATION WHO IS PROVIDING CARE TO THE EMPLOYEE  OR  FAMILY
MEMBER.
  24. "FAMILY CARE COST" SHALL MEAN:
  A.  PRIOR TO JULY FIRST, TWO THOUSAND EIGHTEEN, UP TO FORTY-FIVE CENTS
PER WEEK; AND
  B. DURING EVERY SUBSEQUENT YEAR COMMENCING ON JULY FIRST SUCH  MAXIMUM
AMOUNT  AS SHALL BE SET BY REGULATION OF THE SUPERINTENDENT OF FINANCIAL
SERVICES FOLLOWING CONSULTATION WITH THE FAMILY CARE ADVISORY COUNCIL BY
APRIL FIRST OF THE SAME YEAR BASED ON THE  SUPERINTENDENT'S  ACTUARIALLY
SOUND ESTIMATION OF THE COST PER EMPLOYEE OF PROVIDING FAMILY CARE BENE-
FITS,  BUT  IN  NO  EVENT  MORE THAN ONE HUNDRED FIFTEEN PERCENT OF SUCH
ESTIMATION OF THE COST PER EMPLOYEE OF PROVIDING  FAMILY  CARE  BENEFITS
THROUGH THE STATE INSURANCE FUND.
  25. "GRANDPARENT" MEANS THE PARENT OF A PARENT.
  26.  "SIBLING"  MEANS  A  BROTHER OR A SISTER, WHETHER RELATED THROUGH
HALF BLOOD, WHOLE BLOOD OR ADOPTION OR A STEP-SIBLING.
  S 8. The workers' compensation law is amended by adding a new  section
203-a to read as follows:
  S  203-A. RETALIATORY ACTION PROHIBITED. 1.  THE PROVISIONS OF SECTION
ONE HUNDRED TWENTY OF THIS CHAPTER AND SECTION TWO HUNDRED FORTY-ONE  OF
THIS ARTICLE SHALL BE APPLICABLE TO FAMILY CARE LEAVE AS FULLY AS IF SET
FORTH IN THIS SECTION.
  2.  NOTHING  IN  THIS  SECTION SHALL BE DEEMED TO DIMINISH THE RIGHTS,
PRIVILEGES, OR REMEDIES OF ANY EMPLOYEE UNDER ANY COLLECTIVE  BARGAINING
AGREEMENT OR EMPLOYMENT CONTRACT.
  S  9. The workers' compensation law is amended by adding a new section
203-b to read as follows:
  S 203-B. FAMILY CARE LEAVE. ANY ELIGIBLE EMPLOYEE OF A COVERED EMPLOY-
ER WHO TAKES LEAVE UNDER THIS SECTION SHALL BE ENTITLED, ON RETURN  FROM
SUCH LEAVE, TO BE RESTORED BY THE EMPLOYER TO THE POSITION OF EMPLOYMENT
HELD  BY  THE  EMPLOYEE WHEN THE LEAVE COMMENCED, OR TO BE RESTORED TO A
COMPARABLE POSITION WITH COMPARABLE EMPLOYMENT BENEFITS, PAY  AND  OTHER
TERMS  AND CONDITIONS OF EMPLOYMENT. THE TAKING OF LEAVE FOR THE PURPOSE
OF FAMILY CARE SHALL NOT RESULT IN THE LOSS OF  ANY  EMPLOYMENT  BENEFIT
ACCRUED  PRIOR TO THE DATE ON WHICH THE LEAVE COMMENCED. NOTHING IN THIS
SECTION SHALL BE CONSTRUED TO  ENTITLE  ANY  RESTORED  EMPLOYEE  TO  THE
ACCRUAL  OF  ANY  SENIORITY  OR EMPLOYMENT BENEFITS DURING ANY PERIOD OF
LEAVE, OR ANY RIGHT, BENEFIT OR POSITION TO  WHICH  THE  EMPLOYEE  WOULD

A. 9005--B                         22

HAVE BEEN ENTITLED HAD THE EMPLOYEE NOT TAKEN THE LEAVE.  A VIOLATION OF
THIS  SECTION SHALL BE A VIOLATION OF SECTION ONE HUNDRED TWENTY OF THIS
CHAPTER AND ALL REMEDIES  AND  PENALTIES  AVAILABLE  UNDER  SECTION  ONE
HUNDRED TWENTY OF THIS CHAPTER SHALL BE AVAILABLE FOR VIOLATIONS OF THIS
SECTION AS FULLY AS IF SET FORTH IN THIS SECTION.
  S 10. The workers' compensation law is amended by adding a new section
203-c to read as follows:
  S  203-C. HEALTH INSURANCE DURING FAMILY LEAVE. IN ACCORDANCE WITH THE
FAMILY AND MEDICAL LEAVE ACT (29 U.S.C. SS 2601-2654), DURING ANY PERIOD
OF FAMILY LEAVE THE EMPLOYER SHALL MAINTAIN ANY EXISTING HEALTH BENEFITS
OF THE EMPLOYEE IN FORCE FOR THE  DURATION  OF  SUCH  LEAVE  AS  IF  THE
EMPLOYEE  HAD CONTINUED TO WORK FROM THE DATE HE OR SHE COMMENCED FAMILY
LEAVE UNTIL THE DATE HE OR SHE RETURNS TO EMPLOYMENT.
  S 11. Subdivision 1 of section 204 of the workers'  compensation  law,
as  added  by  chapter  600  of the laws of 1949, is amended and two new
subdivisions 3 and 4 are added to read as follows:
  1. Disability benefits shall be payable to an  eligible  employee  for
disabilities  commencing  after  June thirtieth, nineteen hundred fifty,
beginning with the eighth consecutive day of disability  and  thereafter
during  the  continuance of disability, subject to the limitations as to
maximum and minimum amounts and duration and other conditions and  limi-
tations in this section and in sections two hundred five and two hundred
six  OF  THIS ARTICLE.  WHEN AN EMPLOYEE IS ELIGIBLE TO RECEIVE BENEFITS
FOR FAMILY CARE REASONS IMMEDIATELY AFTER  RECEIVING  BENEFITS  FOR  THE
EMPLOYEE'S  OWN INJURY, SICKNESS OR PREGNANCY, BENEFITS SHALL BE PAYABLE
TO THE EMPLOYEE BEGINNING ON THE FIRST  DAY  OF  ELIGIBLE  FAMILY  CARE.
Successive periods of disability caused by the same or related injury or
sickness  OR  REASON  FOR FAMILY CARE shall be deemed a single period of
disability only if separated by less than three months.
  3. THE WEEKLY BENEFIT WHICH  THE  DISABLED  EMPLOYEE  IS  ENTITLED  TO
RECEIVE  FOR  DISABILITY COMMENCING ON OR AFTER JANUARY FIRST, TWO THOU-
SAND SEVENTEEN SHALL BE TWO-THIRDS  OF  THE  EMPLOYEE'S  AVERAGE  WEEKLY
WAGE,  BUT  IN  NO  CASE  SHALL SUCH BENEFIT EXCEED FIFTY PERCENT OF THE
STATEWIDE AVERAGE WEEKLY WAGE AS DETERMINED BY THE STATE  DEPARTMENT  OF
LABOR  PURSUANT  TO  SUBDIVISION SIXTEEN OF SECTION TWO OF THIS CHAPTER.
THE WEEKLY BENEFIT WHICH THE DISABLED EMPLOYEE IS  ENTITLED  TO  RECEIVE
FOR DISABILITY COMMENCING ON OR AFTER APRIL FIRST, TWO THOUSAND EIGHTEEN
SHALL  BE  TWO-THIRDS  OF  THE EMPLOYEE'S AVERAGE WEEKLY WAGE, BUT IN NO
CASE SHALL SUCH BENEFIT EXCEED FIFTY-FIVE PERCENT OF THE STATEWIDE AVER-
AGE WEEKLY WAGE AS DETERMINED BY THE STATE DEPARTMENT OF LABOR  PURSUANT
TO  SUBDIVISION SIXTEEN OF SECTION TWO OF THIS CHAPTER. THE WEEKLY BENE-
FIT WHICH THE DISABLED EMPLOYEE IS ENTITLED TO  RECEIVE  FOR  DISABILITY
COMMENCING  ON OR AFTER APRIL FIRST, TWO THOUSAND NINETEEN SHALL BE TWO-
THIRDS OF THE EMPLOYEE'S AVERAGE WEEKLY WAGE BUT IN NO CASE  SHALL  SUCH
BENEFIT  EXCEED  SIXTY  PERCENT  OF THE STATEWIDE AVERAGE WEEKLY WAGE AS
DETERMINED BY THE STATE DEPARTMENT  OF  LABOR  PURSUANT  TO  SUBDIVISION
SIXTEEN  OF  SECTION  TWO  OF THIS CHAPTER. THE WEEKLY BENEFIT WHICH THE
DISABLED EMPLOYEE IS ENTITLED TO RECEIVE FOR DISABILITY COMMENCING ON OR
AFTER APRIL  FIRST,  TWO  THOUSAND  TWENTY  AND  SUBSEQUENTLY  SHALL  BE
TWO-THIRDS  OF  THE  EMPLOYEE'S AVERAGE WEEKLY WAGE BUT IN NO CASE SHALL
SUCH BENEFIT EXCEED SIXTY-SEVEN PERCENT OF THE STATEWIDE AVERAGE  WEEKLY
WAGE AS DETERMINED BY THE STATE DEPARTMENT OF LABOR PURSUANT TO SUBDIVI-
SION  SIXTEEN OF SECTION TWO OF THIS CHAPTER.  FOR DISABILITY COMMENCING
ON OR AFTER JANUARY FIRST, TWO THOUSAND SEVENTEEN,  THE  WEEKLY  BENEFIT
FOR A DISABLED EMPLOYEE WHO IS CONCURRENTLY ELIGIBLE FOR BENEFITS IN THE
EMPLOYMENT  OF  MORE THAN ONE COVERED EMPLOYER SHALL, WITHIN THE MAXIMUM

A. 9005--B                         23

HEREIN PROVIDED, BE TWO-THIRDS OF THE TOTAL OF  THE  EMPLOYEE'S  AVERAGE
WEEKLY  WAGES  RECEIVED  FROM  ALL  SUCH COVERED EMPLOYERS, AND SHALL BE
ALLOCATED IN THE PROPORTION OF  THEIR  RESPECTIVE  AVERAGE  WEEKLY  WAGE
PAYMENTS.
  4. NOTWITHSTANDING ANY CONTRARY PROVISIONS IN THIS ARTICLE, AN EMPLOY-
EE SHALL BE ENTITLED TO TAKE LEAVE FOR FAMILY CARE UNDER THIS ARTICLE ON
AN INTERMITTENT OR REDUCED LEAVE SCHEDULE, EXCEPT THAT AN EMPLOYEE SHALL
NOT  BE ENTITLED TO INTERMITTENT OR REDUCED LEAVE TO PROVIDE FAMILY CARE
UNDER PARAGRAPH A OF SUBDIVISION FIFTEEN OF SECTION TWO HUNDRED  ONE  OF
THIS  ARTICLE UNLESS SHOWN TO BE MEDICALLY NECESSARY. THE EMPLOYEE SHALL
MAKE A REASONABLE EFFORT TO SCHEDULE INTERMITTENT OR REDUCED LEAVE SO AS
NOT TO UNDULY DISRUPT THE OPERATIONS OF THE EMPLOYER. LEAVE TAKEN ON  AN
INTERMITTENT  OR  REDUCED LEAVE SCHEDULE SHALL NOT RESULT IN A REDUCTION
OF THE TOTAL AMOUNT OF LEAVE TO WHICH AN EMPLOYEE IS ENTITLED UNDER THIS
ARTICLE BEYOND THE AMOUNT OF LEAVE ACTUALLY TAKEN.
  S 12. Subdivisions 1, 2, 3, 4, 7 and 8 of section 205 of the  workers'
compensation law, subdivision 1 as amended by chapter 651 of the laws of
1958,  subdivision  2  as amended by chapter 270 of the laws of 1990 and
subdivisions 3, 4, 7 and 8 as added by chapter 600 of the laws  of  1949
and  as renumbered by chapter 352 of the laws of 1981, are amended and a
new subdivision 9 is added to read as follows:
  1. (A) For DISABILITY RESULTING FROM INJURY, SICKNESS OR PREGNANCY  OF
AN EMPLOYEE, FOR more than twenty-six weeks during a period of fifty-two
consecutive calendar weeks or during any one period of disability; OR
  (B)  FOR  FAMILY  CARE,  FOR MORE THAN TWELVE WEEKS DURING A PERIOD OF
FIFTY-TWO CONSECUTIVE CALENDAR WEEKS OR DURING ANY ONE PERIOD OF  FAMILY
CARE;
  2. for any period of disability RESULTING FROM THE INJURY, SICKNESS OR
PREGNANCY  OF AN EMPLOYEE during which an employee is not under the care
of a [duly licensed physician or with respect  to  disability  resulting
from  a  condition  of  the foot which may lawfully be treated by a duly
registered and licensed podiatrist of the state  of  New  York  or  with
respect to a disability resulting from a condition which may lawfully be
treated  by  a duly registered and licensed chiropractor of the state of
New York or with respect to a  disability  resulting  from  a  condition
which may lawfully be treated by a duly licensed dentist of the state of
New  York  or  with  respect  to a disability resulting from a condition
which may lawfully be treated by a duly registered and licensed psychol-
ogist of the state of New York or with respect to a disability resulting
from a condition which may lawfully be treated by a duly certified nurse
midwife, for any period of such disability during which an  employee  is
neither under the care of a physician nor a podiatrist, nor a chiroprac-
tor,  nor  a dentist, nor a psychologist, nor a certified nurse midwife;
and for any period of disability during which an employee who adheres to
the faith or teachings of any church or denomination and who in  accord-
ance with its creed, tenets or principles depends for healing upon pray-
er  through  spiritual  means  alone in the practice of religion, is not
under the care of a practitioner duly accredited by the church or denom-
ination, and provided such employee shall submit to all  physical  exam-
inations as required by this chapter.] HEALTH CARE PROVIDER;
  3. for any disability RESULTING FROM INJURY OR SICKNESS OF AN EMPLOYEE
occasioned by the wilful intention of the employee to bring about injury
to  or  the sickness of himself or another, or resulting from any injury
or sickness sustained in the perpetration by the employee of an  illegal
act;

A. 9005--B                         24

  4.  for any day of disability during which the employee performed work
for remuneration or profit; BUT NOT INCLUDING ANY REMUNERATION  RECEIVED
FOR CARING FOR A FOSTER OR ADOPTED CHILD OR OTHER INDIVIDUAL RESIDING IN
THE EMPLOYEE'S PLACE OF RESIDENCE;
  7.  for  any disability due to any act of war, declared or undeclared,
if such act shall occur after June thirtieth,  nineteen  hundred  fifty,
EXCEPT  THAT  NOTHING  IN  THIS  SUBDIVISION  SHALL BAR AN EMPLOYEE FROM
RECEIVING BENEFITS UNDER THIS ARTICLE FOR CARE OF A FAMILY MEMBER  DISA-
BLED DUE TO AN ACT OF WAR;
  8.  for any disability RESULTING FROM AN INJURY, SICKNESS OR PREGNANCY
OF THE EMPLOYEE commencing before the employee becomes eligible to bene-
fits hereunder [or commencing prior  to  July  first,  nineteen  hundred
fifty,  but  this  shall not preclude benefits for recurrence after July
first, nineteen hundred fifty, of a disability commencing  prior  there-
to.];
  9. FOR ANY DAY OF ABSENCE FROM WORK RESULTING FROM INJURY, SICKNESS OR
PREGNANCY   OF   THE   EMPLOYEE   TAKEN  UNDER  SECTION  SEVENTY-ONE  OR
SEVENTY-THREE OF THE CIVIL SERVICE LAW.
  S 13. The workers' compensation law is amended by adding a new section
205-a to read as follows:
  S 205-A. RELATIONSHIP BETWEEN DISABILITY BENEFITS FOR FAMILY CARE  AND
FOR THE EMPLOYEE'S OWN INJURY, SICKNESS OR PREGNANCY.  1. THE RECEIPT OF
BENEFITS  FOR DISABILITY RESULTING FROM INJURY, SICKNESS OR PREGNANCY OF
THE EMPLOYEE, SHALL NOT COUNT TOWARD ANY TIME LIMITATION UNDER  SUBDIVI-
SION  ONE  OF SECTION TWO HUNDRED FIVE OF THIS ARTICLE ON THE RECEIPT OF
BENEFITS FOR FAMILY CARE, AND THE RECEIPT OF BENEFITS  FOR  FAMILY  CARE
SHALL  NOT  COUNT  TOWARD  ANY  TIME LIMITATION UNDER SUBDIVISION ONE OF
SECTION TWO HUNDRED FIVE OF THIS ARTICLE ON THE RECEIPT OF BENEFITS  FOR
DISABILITY RESULTING FROM INJURY, SICKNESS OR PREGNANCY TO THE EMPLOYEE,
EXCEPT  THAT  AN  EMPLOYEE  MAY  RECEIVE DISABILITY BENEFITS ON ONLY ONE
CLAIM AT ANY TIME.
  2. AN EMPLOYER MAY REQUIRE THAT AN INDIVIDUAL WHO IS ENTITLED TO LEAVE
UNDER THE PROVISIONS OF THE FAMILY AND MEDICAL LEAVE  ACT  OF  1993,  29
U.S.C.  SEC.  2601  ET SEQ. SHALL TAKE ANY FAMILY CARE BENEFITS PROVIDED
UNDER THIS ARTICLE CONCURRENTLY WITH LEAVE TAKEN PURSUANT TO THE  FAMILY
AND MEDICAL LEAVE ACT.
  S 13-a. Subdivision 1 of section 208 of the workers' compensation law,
as  amended  by  chapter  314 of the laws of 2010, is amended to read as
follows:
  1. Benefits provided under this article shall be paid periodically and
promptly and, except as to a contested period of disability, without any
decision by the board. [The] FOR DISABILITY AS DEFINED IN  PARAGRAPHS  A
AND  B  OF  SUBDIVISION NINE OF SECTION TWO HUNDRED ONE OF THIS ARTICLE,
THE first payment of benefits shall be due  on  the  fourteenth  day  of
disability  and  benefits  for that period shall be paid directly to the
employee within four business days thereafter or  within  four  business
days  after  the  filing  of  required  proof of claim, whichever is the
later. FOR DISABILITY AS DEFINED IN PARAGRAPHS C AND  D  OF  SUBDIVISION
NINE  OF  SECTION  TWO HUNDRED ONE OF THIS ARTICLE, THE FIRST PAYMENT OF
BENEFITS SHALL BE DUE ON THE FIRST DAY OF ELIGIBLE FAMILY CARE AND BENE-
FITS FOR THAT PERIOD SHALL BE PAID DIRECTLY TO THE EMPLOYEE WITHIN  FOUR
BUSINESS  DAYS  THEREAFTER OR WITHIN FOUR BUSINESS DAYS AFTER THE FILING
OF REQUIRED PROOF OF CLAIM,  WHICHEVER  IS  LATER.  Thereafter  benefits
shall  be  due  and  payable  bi-weekly in like manner. The chairman may
determine that benefits may be paid monthly  or  semi-monthly  if  wages
were  so  paid,  and may authorize deviation from the foregoing require-

A. 9005--B                         25

ments to facilitate  prompt  payment  of  benefits.  Any  inquiry  which
requires  the employee's response in order to continue benefits uninter-
rupted or unmodified shall provide a reasonable time period in which  to
respond  and include a clear and prominent statement of the deadline for
responding and consequences of failing to respond.
  S 14. Subdivisions 3 and 5 of section 209 of the workers' compensation
law, subdivision 3 as amended by chapter 415 of the laws  of  1983,  and
subdivision  5  as added by chapter 600 of the laws of 1949, are amended
to read as follows:
  3. The contribution of each such employee to the  cost  of  disability
benefits provided by this article shall be one-half of one per centum of
the  employee's  wages  paid  to  him  on and after July first, nineteen
hundred fifty, but not in excess of sixty cents per week FOR THE COST OF
DISABILITY BENEFITS FOR INJURY, SICKNESS OR PREGNANCY  OF  THE  EMPLOYEE
PLUS  THE  FAMILY  CARE  COST,  AS DEFINED IN SUBDIVISION TWENTY-FOUR OF
SECTION TWO HUNDRED ONE OF THIS ARTICLE.
  5. In collecting employee contributions  through  payroll  deductions,
the  employer  shall  act as the agent of his OR HER employees and shall
use the contributions only to provide disability benefits as required by
this article. IN NO EVENT MAY THE  EMPLOYEE'S  ANNUAL  CONTRIBUTION  FOR
FAMILY  LEAVE  EXCEED  HIS  OR  HER  PRO RATA SHARE OF THE ACTUAL ANNUAL
PREMIUM CHARGED FOR  THE  SAME  YEAR.  After  June  thirtieth,  nineteen
hundred  fifty,  if the employer is not providing, or to the extent that
he OR SHE is not then providing, for the payment of disability  benefits
to  his OR HER employees by insuring with the state fund or with another
insurance carrier, he OR SHE shall keep the contributions of his employ-
ees as trust funds separate and  apart  from  all  other  funds  of  the
employer. The payment of such contributions by the employer to a carrier
providing  for the payment of such benefits shall discharge the employer
from responsibility with respect to such contributions.
  S 14-a. Section 210 of the workers'  compensation  law,  as  added  by
chapter 600 of the laws of 1949, is amended to read as follows:
  S 210. Employer contributions. 1. Every covered employer shall, on and
after  January  first,  nineteen  hundred  fifty, contribute the cost of
providing [disability] benefits FOR DISABILITY  RESULTING  FROM  INJURY,
SICKNESS  OR PREGNANCY in excess of the contributions collected from his
employees, to the extent and in the manner provided in this article.
  2. The special contribution of each covered employer  to  the  accumu-
lation  of funds to provide benefits for disabled unemployed shall be as
provided in subdivision one of section  two  hundred  fourteen  OF  THIS
ARTICLE.
  3. The contribution of every covered employer to the cost of providing
[disability]  benefits FOR DISABILITY RESULTING FROM INJURY, SICKNESS OR
PREGNANCY after June thirtieth, nineteen hundred  fifty,  shall  be  the
excess  of such cost over the amount of the contributions of his employ-
ees.
  4. No profit shall be  derived  by  any  employer  or  association  of
employers  or of employees from providing payment of disability benefits
under this article. All funds representing  contributions  of  employers
and employees, and increments thereon, held by employers or associations
of  employers  or  of  employees authorized or permitted to pay benefits
under the provisions of this article, and by  trustees  paying  benefits
under  plans  or  agreements  meeting  the  requirements  of section two
hundred eleven OF THIS ARTICLE,  shall  be  trust  funds  and  shall  be
expended  only  to  provide for the payment of benefits to employees and

A. 9005--B                         26

for the costs of administering this article and for the support  of  the
fund established under section two hundred fourteen OF THIS ARTICLE.
  S  15.  Section  211  of  the  workers' compensation law is amended by
adding two new subdivisions 7 and 8 to read as follows:
  7. SUCH FAMILY CARE BENEFITS AS ARE PROVIDED FOR IN THIS ARTICLE SHALL
BE IN ADDITION TO, AND SHALL NOT AMEND, REPEAL OR REPLACE, THE TERMS  OF
ANY  AGREEMENT  THAT IS COLLECTIVELY  NEGOTIATED BETWEEN AN EMPLOYER AND
AN EMPLOYEE ORGANIZATION, INCLUDING AGREEMENT  OR  INTEREST  ARBITRATION
AWARDS MADE PURSUANT TO ARTICLE FOURTEEN OF THE CIVIL SERVICE LAW.
  8.  NOTHING  IN THIS ARTICLE SHALL REQUIRE AN EMPLOYER TO USE THE SAME
CARRIER TO PROVIDE BENEFITS REQUIRED BY OR PERMISSIBLE UNDER THIS  ARTI-
CLE  FOR  DISABILITY RESULTING FROM INJURY, SICKNESS OR PREGNANCY OF THE
EMPLOYEE AS IT USES TO PROVIDE BENEFITS REQUIRED BY OR PERMISSIBLE UNDER
THIS ARTICLE FOR FAMILY CARE. AN EMPLOYER MAY  USE  A  DIFFERENT  MEANS,
AMONG  THOSE SET FORTH IN SUBDIVISIONS ONE THROUGH FIVE OF THIS SECTION,
TO PROVIDE BENEFITS REQUIRED BY THIS ARTICLE  FOR  DISABILITY  RESULTING
FROM  INJURY, SICKNESS OR PREGNANCY OF THE EMPLOYEE, FROM THE MEANS USED
TO PROVIDE BENEFITS REQUIRED BY THIS ARTICLE FOR FAMILY CARE.
  S 16. The workers' compensation law is amended by adding a new section
211-a to read as follows:
  S 211-A. PUBLIC EMPLOYEES; EMPLOYEE OPT IN. 1. FOR  PURPOSES  OF  THIS
SECTION,  "PUBLIC  EMPLOYEE"  MEANS ANY EMPLOYEE OF THE STATE, ANY POLI-
TICAL SUBDIVISION OF THE STATE, A PUBLIC AUTHORITY OR ANY OTHER  GOVERN-
MENTAL AGENCY OR INSTRUMENTALITY. "PUBLIC EMPLOYER" MEANS THE STATE, ANY
POLITICAL  SUBDIVISION  OF  THE  STATE,  A PUBLIC AUTHORITY OR ANY OTHER
GOVERNMENTAL AGENCY OR INSTRUMENTALITY THEREOF. "EMPLOYEE  ORGANIZATION"
SHALL HAVE THE MEANING SET FORTH IN SECTION TWO HUNDRED ONE OF THE CIVIL
SERVICE LAW.
  2.  PUBLIC  EMPLOYERS SHALL PROVIDE BENEFITS FOR FAMILY CARE TO PUBLIC
EMPLOYEES WHERE AN EMPLOYEE ORGANIZATION THAT REPRESENTS THOSE EMPLOYEES
OPTS IN TO FAMILY CARE IN ACCORDANCE WITH THE PROCEDURES AND  TERMS  SET
FORTH IN SUBDIVISION THREE OF THIS SECTION.
  3.  AN  EMPLOYEE ORGANIZATION MAY OPT IN TO THE FAMILY CARE BENEFIT ON
BEHALF OF THOSE EMPLOYEES IT REPRESENTS:
  A. UPON NOTICE GIVEN PRIOR TO APRIL  FIRST,  TWO  THOUSAND  SEVENTEEN,
WHICH  OPT  IN  SHALL  BECOME EFFECTIVE ONLY ON JULY FIRST, TWO THOUSAND
SEVENTEEN;
  B. AT ANY TIME UPON NINETY DAYS NOTICE FOR ANY  EMPLOYER  WHO  IS  NOT
PROVIDING  DISABILITY  BENEFITS  FOR INJURY, SICKNESS OR PREGNANCY OF AN
EMPLOYEE UNDER SECTION TWO HUNDRED TWELVE OF THIS  ARTICLE,  OR  WHO  IS
SELF-INSURED FOR SUCH BENEFITS;
  C.  FOR  ANY EMPLOYER WHO IS PROVIDING DISABILITY BENEFITS FOR INJURY,
SICKNESS OR PREGNANCY OF AN EMPLOYEE UNDER SECTION TWO HUNDRED TWELVE OF
THIS ARTICLE, UPON NOTICE AT LEAST NINETY DAYS PRIOR TO  THE  EXPIRATION
OF THE EMPLOYER'S INSURANCE POLICY FOR SUCH BENEFITS, WHICH OPT IN SHALL
BE  EFFECTIVE  ONLY FOR THE TIME PERIOD COVERED BY ANY SUBSEQUENT POLICY
OR RENEWAL; OR
  D. AT ANY TIME AS IS MUTUALLY AGREED UPON BETWEEN THE EMPLOYEE  ORGAN-
IZATION AND ANY PUBLIC EMPLOYER.
  AN  EMPLOYEE ORGANIZATION THAT HAS OPTED IN TO THE FAMILY CARE BENEFIT
MAY OPT OUT OF IT WITHIN THE TIME PERIODS, AND EFFECTIVE UPON  THE  SAME
DATES, SET FORTH IN THIS SUBDIVISION.
  4. IN THE ABSENCE OF ANY CONTRARY STATEMENT IN  A COLLECTIVELY NEGOTI-
ATED AGREEMENT UNDER ARTICLE FOURTEEN OF THE CIVIL SERVICE LAW, A PUBLIC
EMPLOYER  MAY  REQUIRE PUBLIC EMPLOYEES WHO OPT IN UNDER THIS SECTION TO
CONTRIBUTE UP TO THE FAMILY CARE COST, AS DEFINED IN  SUBDIVISION  TWEN-

A. 9005--B                         27

TY-FOUR  OF SECTION TWO HUNDRED ONE OF THIS ARTICLE, PER WEEK IN ACCORD-
ANCE WITH THE PROCEDURE SET FORTH IN SECTION TWO HUNDRED  NINE  OF  THIS
ARTICLE.
  5.  FOR PUBLIC EMPLOYEES WHO ARE NOT REPRESENTED BY AN EMPLOYEE ORGAN-
IZATION, THE PUBLIC EMPLOYER MAY OPT-IN TO PAID  FAMILY  LEAVE  BENEFITS
WITHIN  NINETY DAYS NOTICE TO SUCH PUBLIC EMPLOYEES. FOLLOWING OPT-IN BY
A PUBLIC EMPLOYER FOR PUBLIC EMPLOYEES NOT REPRESENTED  BY  AN  EMPLOYEE
ORGANIZATION, THE PUBLIC EMPLOYER MAY OPT-OUT OF PAID FAMILY LEAVE BENE-
FITS WITH TWELVE MONTHS NOTICE TO THOSE PUBLIC EMPLOYEES.
  6.  COVERAGE  FOR  FAMILY  LEAVE  BENEFITS  MAY BE SECURED BY A PUBLIC
EMPLOYER, AS THAT TERM IS DEFINED IN SUBDIVISION ONE OF THIS SECTION, AS
PERMITTED BY THIS ARTICLE, INCLUDING AS APPLICABLE SECTION  TWO  HUNDRED
ELEVEN,  SUBDIVISION FOUR OF SECTION FIFTY, OR SECTION EIGHTY-EIGHT-C OF
THIS ARTICLE.
  S 17. Subdivisions 1 and 2 of section 212 of the workers' compensation
law, subdivision 1 as amended by chapter 740 of the  laws  of  1960  and
subdivision 2 as amended by chapter 120 of the laws of 1969, are amended
to read as follows:
  1.  Any  employer  not  required  by  this  article to provide for the
payment of disability benefits to his employees,  or  to  any  class  or
classes  thereof,  may  become  a  covered  employer or bring within the
provisions of this article such employees or class or classes thereof by
voluntarily electing to provide for payment of [such] benefits FOR DISA-
BILITY RESULTING FROM INJURY, SICKNESS OR PREGNANCY OF  AN  EMPLOYEE  OR
FOR  FAMILY  CARE,  OR  BOTH,  in  one  or more of the ways set forth in
section two hundred eleven OF THIS ARTICLE; but such election  shall  be
subject  to  the  approval of the [chairman] CHAIR, and if the employees
are required to contribute to the cost of such benefits the assent with-
in thirty days before such approval is granted, of more than one-half of
such employees shall be evidenced to the satisfaction of the  [chairman]
CHAIR.   On approval by the [chairman] CHAIR of such election to provide
benefits, all the provisions of this article shall become  and  continue
applicable as if the employer were a covered employer as defined in this
article.  The  obligation to continue as a covered employer with respect
to employees for whom provision of benefits is not required  under  this
article,  may  be discontinued by such employer on ninety days notice to
the [chairman] CHAIR in writing and  to  his  employees,  after  he  has
provided  for  payment  of  benefits for not less than one year and with
such provision for payment of obligations incurred on and prior  to  the
termination date as the [chairman] CHAIR may approve.  ANY ELECTION BY A
PUBLIC  EMPLOYER  TO  PROVIDE  FAMILY  CARE  BENEFITS MADE PRIOR TO JULY
FIRST, TWO THOUSAND SEVENTEEN SHALL BE EFFECTIVE ON THAT DATE.
  2. Notwithstanding the definition of "employer"  and  "employment"  in
section  two hundred one of this article, THE STATE, a public authority,
a municipal corporation or a fire district or other  political  subdivi-
sion  may become a covered employer under this article by complying with
the provisions of subdivision one of this section  and  may  discontinue
such status only as provided in [that] SUCH subdivision.
  S  18.  Subdivisions  1,  2,  3  and  4 of section 217 of the workers'
compensation law, subdivision 1 as amended by chapter 167 of the laws of
1999, subdivisions 2 and 3 as amended by chapter 270 of the laws of 1990
and subdivision 4 as added by chapter 600  of  the  laws  of  1949,  are
amended to read as follows:
  1.  Written  notice  and proof of disability shall be furnished to the
employer by or on behalf of the employee claiming benefits  or,  in  the
case  of  a claimant under section two hundred seven of this article, to

A. 9005--B                         28

the chair, within thirty days after commencement of the period of  disa-
bility. Additional proof shall be furnished thereafter from time to time
as  the employer or carrier or chair may require but not more often than
once each week. Such proof shall include:
  (A) IN THE CASE OF DISABILITY RESULTING FROM INJURY, SICKNESS OR PREG-
NANCY  OF  THE  EMPLOYEE,  a  statement  of disability by the employee's
attending [physician or attending podiatrist or  attending  chiropractor
or  attending  dentist  or attending psychologist or attending certified
nurse midwife, or in the case of an employee who adheres to the faith or
teachings of any church or denomination, and who in accordance with  its
creed,  tenets  or  principles  depends  for healing upon prayer through
spiritual means alone in the practice  of  religion,  by  an  accredited
practitioner,  containing  facts  and  opinions as to such disability in
compliance with regulations of the chair.] HEALTH CARE PROVIDER;
  (B) IN THE CASE OF FAMILY CARE FOR BONDING WITH A NEW CHILD,  A  BIRTH
CERTIFICATE,  CERTIFICATE OF ADOPTION, OR OTHER COMPETENT EVIDENCE SHOW-
ING THAT THE EMPLOYEE IS THE PARENT OF A CHILD WITHIN TWELVE  MONTHS  OF
THAT  CHILD'S  BIRTH  OR  PLACEMENT FOR ADOPTION OR FOSTER CARE WITH THE
EMPLOYEE;
  (C) IN THE CASE OF BENEFITS FOR CARE OF A FAMILY MEMBER WITH A SERIOUS
HEALTH CONDITION:
  (I) A STATEMENT BY THE FAMILY MEMBER'S HEALTH CARE PROVIDER,  CONTAIN-
ING  FACTS  AND  OPINIONS AS TO SUCH HEALTH CONDITION IN COMPLIANCE WITH
REGULATIONS OF THE CHAIR; AND
  (II) A STATEMENT SUBSCRIBED BY THE EMPLOYEE AND AFFIRMED BY HIM OR HER
AS TRUE UNDER PENALTIES OF  PERJURY,  OR  OTHER  EQUIVALENT  DOCUMENTARY
PROOF,  THAT  THE EMPLOYEE IS A PRIMARY CARE GIVER FOR THE FAMILY MEMBER
DURING THE TIME OF DISABILITY;
  (D) IN THE CASE OF BENEFITS DUE TO A MILITARY EXIGENCY, PROOF OF  CALL
TO  ACTIVE  DUTY  AND  CERTIFICATION  THAT  THE  LEAVE IS FOR ONE OF THE
EXIGENCIES AUTHORIZED FOR LEAVE  UNDER  REGULATION  OF  THE  FAMILY  AND
MEDICAL LEAVE ACT, 29 CFR SEC. 825.309(6).
  Failure  to  furnish notice or proof within the time and in the manner
above provided shall not invalidate the claim but no benefits  shall  be
required to be paid for any period more than two weeks prior to the date
on which the required proof is furnished unless it shall be shown to the
satisfaction  of  the  chair  not  to  have  been reasonably possible to
furnish such notice or proof and that such notice or proof was furnished
as soon as possible; provided, however, that no benefits shall  be  paid
unless  the  required proof of disability is furnished within twenty-six
weeks after commencement of the period of disability.  No limitation  of
time  provided  in  this  section shall run as against any person who is
mentally incompetent, or physically incapable of providing  such  notice
as  a  result of a serious medical condition, or a minor so long as such
person has no guardian of the person and/or property.
  2. An employee claiming benefits FOR THE EMPLOYEE'S  INJURY,  SICKNESS
OR  PREGNANCY  shall,  as  requested  by the employer or carrier, submit
himself or herself at intervals, but not more  than  once  a  week,  for
examination  by a [physician or podiatrist or chiropractor or dentist or
psychologist or certified nurse midwife] RELEVANT HEALTH  CARE  PROVIDER
designated  by  the  employer or carrier. All such examinations shall be
without cost to the employee and shall be held at a reasonable time  and
place.
  3. The chair may direct the claimant WHO SEEKS DISABILITY BENEFITS FOR
HIS  OR  HER  INJURY,  SICKNESS  OR  PREGNANCY, OR THE CLAIMANT'S FAMILY
MEMBER WHERE THE CLAIMANT SEEKS DISABILITY BENEFITS FOR FAMILY LEAVE  TO

A. 9005--B                         29

PROVIDE CARE TO THAT FAMILY MEMBER to submit to examination by a [physi-
cian  or podiatrist or chiropractor or dentist or psychologist] RELEVANT
HEALTH CARE PROVIDER designated by him or her in any case in  which  the
claim  to  disability  benefits is contested and in claims arising under
section two hundred seven OF THIS ARTICLE, and in  other  cases  as  the
chair or board may require.
  4.  Refusal  of  the  claimant  OR FAMILY MEMBER without good cause to
submit to any such examination shall disqualify [him] THE CLAIMANT  from
all  benefits  hereunder  for  the  period of such refusal, except as to
benefits already paid.
  S 19.  Section 221 of the workers'  compensation  law,  as  separately
amended  by chapters 425 and 500 of the laws of 1985, is amended to read
as follows:
  S 221. Determination of  contested  claims  for  disability  benefits.
Within  twenty-six  weeks  of  written notice of rejection of claim, the
employee may file with the [chairman] CHAIR a notice  that  his  or  her
claim  for disability benefits has not been paid, and the employee shall
submit proof of disability and of his or her employment, wages and other
facts reasonably necessary for determination of the employee's right  to
such  benefits.    Failure to file such notice within the time provided,
may be excused by the [chairman] CHAIR if it can be shown to the  satis-
faction  of the [chairman] CHAIR not to have been reasonably possible to
furnish such notice and that such notice was furnished as soon as possi-
ble.  On demand of the [chairman] CHAIR the employer  or  carrier  shall
forthwith deliver to the [chairman] CHAIR PROOF OF DISABILITY, INCLUDING
IF RELEVANT the original or a true copy of the [attending physician's or
attending podiatrist's or accredited practitioner's] HEALTH CARE PROVID-
ER'S  statement,  wage  and  employment data and all other papers in the
possession of the employer or carrier with  respect  to  such  claim  OR
COMPLAINT.
  The  board shall have full power and authority to determine all issues
in relation to every such claim  for  disability  benefits  required  or
provided  under  this article, and shall file its decision in the office
of the [chairman] CHAIR.  Upon such filing, the [chairman]  CHAIR  shall
send  to  the  parties  a copy of the decision. Either party may present
evidence and be represented by counsel at any  hearing  on  such  claim.
The  decision  of  the  board shall be final as to all questions of fact
and, except as provided in section twenty-three of this chapter,  as  to
all questions of law. Every decision of the board shall be complied with
in  accordance  with its terms within ten days thereafter except in case
of appeal, and any payments due under such decision  shall  draw  simple
interest  from thirty days after the making thereof at the rate provided
in section five thousand four of the civil practice law and rules.
  S 19-a. Subdivisions 2 and 3 of section 226 of  the  workers'  compen-
sation  law, as added by chapter 600 of the laws of 1949, are amended to
read as follows:
  2. Every such policy shall contain a provision that,  as  between  the
employee  and  the  insurance carrier, the notice to or knowledge of the
occurrence of the [injury or sickness] DISABILITY on  the  part  of  the
employer  shall be deemed notice or knowledge as the case may be, on the
part of the insurance carrier; that jurisdiction of the employer  shall,
for the purpose of this chapter, be jurisdiction of the insurance carri-
er  and  that  the insurance carrier shall in all things be bound by and
subject to the orders, findings or decisions rendered in connection with
the payment of benefits under the provisions of this article.

A. 9005--B                         30

  3. Every such policy shall contain a provision to the effect that  the
insolvency or bankruptcy of the employer shall not relieve the insurance
carrier  from  the  payment  of  benefits for disability [suffered by an
employee] THAT OCCURS during the life of such policy.
  S 20. Subdivisions 1 and 2 of section 229 of the workers' compensation
law,  subdivision 1 as amended and subdivision 2 as added by chapter 271
of the laws of 1985, are amended to read as follows:
  1. Each covered employer shall post  and  maintain  in  a  conspicuous
place  or places in and about the employer's place or places of business
typewritten or printed notices in  form  prescribed  by  the  [chairman]
CHAIR,  stating  that the employer has provided for the payment of disa-
bility benefits as required by this article. The  [chairman]  CHAIR  may
require  any covered employer to furnish a written statement at any time
showing the carrier insuring the payment of benefits under this  article
or  the  manner  in  which  such  employer has complied with section two
hundred eleven or any other provision of this  article.  Failure  for  a
period  of  ten  days to furnish such written statement shall constitute
presumptive evidence that such  employer  has  neglected  or  failed  in
respect  of  any of the matters so required. EACH COVERED EMPLOYER SHALL
PROVIDE EACH EMPLOYEE WITH A TYPEWRITTEN, PRINTED OR  ELECTRONIC  NOTICE
IN  A  FORM  PRESCRIBED  BY  THE  CHAIR,  STATING  THAT THE EMPLOYER HAS
PROVIDED FOR THE PAYMENT OF DISABILITY  BENEFITS  AS  REQUIRED  BY  THIS
ARTICLE  WITHIN  THIRTY DAYS OF THE EFFECTIVE DATE OF THE CHAPTER OF THE
LAWS OF TWO  THOUSAND  SIXTEEN  WHICH  AMENDED  THIS  SUBDIVISION.  EACH
COVERED  EMPLOYER  SHALL PROVIDE SUCH NOTICE TO ALL NEW EMPLOYEES WITHIN
THIRTY DAYS OF THEIR FIRST DAY OF WORK.
  2. Whenever an employee of a covered  employer  who  is  eligible  for
benefits  under section two hundred four of this article shall be absent
from work due to a disability as defined in subdivision nine of  section
two  hundred  one  of this article for more than seven consecutive days,
the employer shall provide the employee with a written statement of  the
employee's rights under this article in a form prescribed by the [chair-
man]  CHAIR. The statement shall be provided to the employee within five
business days after the employee's seventh consecutive  day  of  absence
due  to disability or within five business days after the employer knows
or should know that the employee's absence is due to disability,  which-
ever is later.
  S  21.  Section  232  of  the workers' compensation law, as amended by
chapter 270 of the laws of 1990, is amended to read as follows:
  S 232. Fees FOR TESTIMONY of [physicians, podiatrists,  chiropractors,
dentists  and psychologists] HEALTH CARE PROVIDERS.  Whenever his or her
attendance at a hearing OR DEPOSITION before the board or  its  referees
is required, the attending physician or attending [podiatrist or attend-
ing  chiropractor  or  attending  dentist  or  attending psychologist or
attending certified nurse midwife of the disabled employee, except  such
physicians  as  are disqualified from testifying pursuant to subdivision
one of section thirteen-b, or section nineteen-a of  this  chapter,  and
except  such  podiatrists  as are disqualified from testifying under the
provisions of section thirteen-k, and except such chiropractors  as  are
disqualified from testifying under the provisions of section thirteen-l,
and  except such psychologists as are disqualified from testifying under
the provisions of section thirteen-m,] HEALTH  CARE  PROVIDER  shall  be
entitled to receive a fee from the carrier or the fund established under
section  two hundred fourteen, in an amount as directed and fixed by the
board, or its referees, and such fee shall be in addition to any witness
fee.

A. 9005--B                         31

  S 22. The workers' compensation law is amended by adding a new section
239-a to read as follows:
  S 239-A. FAMILY CARE OUTREACH STUDY AND MONITORING.  1. THE DEPARTMENT
SHALL  DEVELOP AND IMPLEMENT A PUBLIC EDUCATION CAMPAIGN TO INFORM WORK-
ERS AND EMPLOYERS REGARDING THE AVAILABILITY OF FAMILY CARE  UNDER  THIS
CHAPTER.  THE  DEPARTMENT'S PUBLIC OUTREACH CAMPAIGN MAY INCLUDE LOCALLY
TAILORED PUBLIC EDUCATION STRATEGIES TARGETED TO NEW PARENTS AND  FAMILY
CAREGIVERS  WHO  MAY  BE ELIGIBLE FOR FAMILY CARE UNDER THIS CHAPTER. AS
PART OF THE PUBLIC EDUCATION PROGRAM, PUBLIC OFFICIALS  MAY  MAINTAIN  A
SUPPLY  OF INFORMATIONAL LEAFLETS IN PUBLIC BUILDINGS, INCLUDING BUT NOT
LIMITED TO LOCAL EMPLOYMENT SERVICES OFFICES OF THE  DEPARTMENT,  INSTI-
TUTIONS  AND  FACILITIES UNDER THE SUPERVISION OR CONTROL OF THE DEPART-
MENT OF HEALTH, HOSPITALS, UNION HALLS, COMMUNITY CENTERS,  SCHOOLS  AND
LOCAL  AGENCIES  PROVIDING  SERVICES  TO EMPLOYERS AND EMPLOYEES TO HELP
ENSURE THAT SUCH PERSONS ARE INFORMED OF THE AVAILABILITY OF FAMILY CARE
UNDER THIS CHAPTER. THE DEPARTMENT SHALL MAKE PUBLIC EDUCATION  INFORMA-
TION  AVAILABLE  IN ENGLISH, SPANISH, CHINESE, RUSSIAN, ITALIAN, KOREAN,
HAITIAN CREOLE, AND  ANY  OTHER  LANGUAGES  DEEMED  APPROPRIATE  BY  THE
DEPARTMENT.
  2. THE DEPARTMENT OF FINANCIAL SERVICES SHALL STUDY, AND REPORT TO THE
GOVERNOR AND BOTH HOUSES OF THE LEGISLATURE BY APRIL FIRST, TWO THOUSAND
SEVENTEEN,  ON THE FEASIBILITY AND IMPACT OF COMMUNITY RATING DISABILITY
INSURANCE OR ANY ASPECT THEREOF.
  3. THERE SHALL BE CREATED THE  FAMILY  CARE  ADVISORY  COUNCIL,  WHICH
SHALL  CONSIST  OF  FIFTEEN  MEMBERS  TO BE APPOINTED BY THE GOVERNOR AS
FOLLOWS: TWO ON RECOMMENDATION BY THE NEW YORK STATE AMERICAN FEDERATION
OF LABOR-CONGRESS OF INDUSTRIAL ORGANIZATIONS,  ONE  OF  WHOM  SHALL  BE
REPRESENTATIVE  OF PUBLIC EMPLOYEE ORGANIZATIONS CERTIFIED UNDER ARTICLE
FOURTEEN OF THE CIVIL SERVICE LAW, PARTICIPATING IN THE PAID FAMILY CARE
PLAN, ONE OF WHOM  IS  REPRESENTATIVE  OF  UNIONS  REPRESENTING  WORKERS
EMPLOYED IN THE PRIVATE SECTOR; TWO WHO ARE REPRESENTATIVES OF ORGANIZA-
TIONS  THAT REPRESENT EITHER COVERED BUSINESS OR PUBLIC EMPLOYERS IN NEW
YORK STATE PARTICIPATING IN THE PAID FAMILY LEAVE  PLAN;  TWO  ON  NOMI-
NATION OF THE SPEAKER OF THE ASSEMBLY; ONE ON NOMINATION BY THE MINORITY
LEADER OF THE ASSEMBLY; TWO ON NOMINATION BY THE TEMPORARY  PRESIDENT OF
THE  SENATE; ONE ON NOMINATION BY THE MINORITY LEADER OF THE SENATE; AND
THE SUPERINTENDENT OF FINANCIAL SERVICES, COMMISSIONER  OF  LABOR    AND
CHAIR  OF THE WORKERS' COMPENSATION BOARD, WHO SHALL SERVE AS MEMBERS EX
OFFICIO. THE COMMISSIONER OF LABOR SHALL SERVE AS CHAIR OF THE  COUNCIL.
THE  SUPERINTENDENT  OF  FINANCIAL  SERVICES  AND  CHAIR OF THE WORKERS'
COMPENSATION BOARD   SHALL CONSULT REGULARLY WITH  THE  COUNCIL  ON  THE
IMPLEMENTATION  OF  THE FAMILY CARE BENEFIT. THE DEPARTMENT, THE DEPART-
MENT OF FINANCIAL SERVICES AND THE  WORKERS'  COMPENSATION  BOARD  SHALL
PROVIDE  ALL NECESSARY PERSONNEL AND LOGISTICAL SUPPORT AS MAY BE NECES-
SARY TO COMPLETE THE DUTIES OF THE ADVISORY COUNCIL. THE COUNCIL OR  ANY
OF  ITS  MEMBERS  MAY ISSUE SUCH RECOMMENDATIONS OR REPORTS AS THEY DEEM
WARRANTED ON THE FAMILY CARE BENEFIT, INCLUDING  ON  THE  SCOPE  OF  THE
BENEFIT,  PROBLEMS  WITH  THE BENEFIT; FUNDING OF THE BENEFIT  INCLUDING
PASS-THROUGH COSTS; POSSIBLE STATUTORY AMENDMENTS AND REGULATORY  CHANG-
ES;  USAGE  RATES;  OUTREACH; AND COMMUNITY RATING. ANY SUCH RECOMMENDA-
TIONS OR REPORTS SHALL BE PROVIDED TO THE  GOVERNOR,  SUPERINTENDENT  OF
FINANCIAL  SERVICES, SPEAKER OF THE ASSEMBLY, TEMPORARY PRESIDENT OF THE
SENATE AND MINORITY LEADERS OF THE SENATE AND ASSEMBLY.  EACH MEMBER  OF
THE COMMISSION SHALL SERVE A TERM OF THREE YEARS. AN APPOINTMENT TO FILL
A  VACANCY SHALL BE MADE FOR THE REMAINDER OF THE AFFECTED TERM. MEMBERS
SHALL RECEIVE NO COMPENSATION.

A. 9005--B                         32

  S 23. Section 242 of the workers' compensation law, as added by  chap-
ter 600 of the laws of 1949, is amended to read as follows:
  S  242. Separability of provisions. 1. If any provision of this act or
the application thereof to any person or circumstances is held  invalid,
the remainder of this act and the application of such provision to other
persons or circumstances shall not be affected thereby.
  2.  NOTHING  IN  THIS ARTICLE SHALL BE INTERPRETED OR APPLIED SO AS TO
CREATE A CONFLICT WITH FEDERAL LAW.
  3. THE CHAIR SHALL HAVE AUTHORITY TO ADOPT REGULATIONS  TO  EFFECTUATE
ANY OF THE PROVISIONS OF THIS ARTICLE.
  S  24.  Paragraph 3 of subsection (a) of section 1113 of the insurance
law is amended to read as follows:
  (3) "Accident and health insurance," means (i) insurance against death
or personal injury by accident or by any  specified  kind  or  kinds  of
accident  and  insurance  against  sickness,  ailment  or bodily injury,
including insurance providing disability benefits  pursuant  to  article
nine  of  the  workers'  compensation law, INCLUDING ANY INSURANCE UNDER
THAT ARTICLE FOR FAMILY CARE  BENEFITS,  DISABILITY  BENEFITS  RESULTING
FROM  INJURY,  SICKNESS  OR  PREGNANCY OF AN EMPLOYEE, OR ALL, except as
specified in item (ii) [hereof] OF THIS PARAGRAPH; and (ii) non-cancell-
able disability insurance, meaning insurance against disability  result-
ing  from  sickness,  ailment  or bodily injury (but excluding insurance
solely against accidental injury) under any contract which does not give
the insurer the option to cancel or otherwise terminate the contract  at
or after one year from its effective date or renewal date.
  S 25. This act shall take effect immediately; provided, however, that:
  (a)  Sections  three,  five,  six,  seven,  eight,  nine, ten, eleven,
twelve, thirteen, fourteen, fifteen, sixteen, seventeen, eighteen, nine-
teen, nineteen-a, twenty and twenty-four of this act shall  take  effect
January 1, 2017.
  (b) Paragraph a of subdivision 3 and subdivision 5 of section 211-a of
the  workers'  compensation law, as added by section sixteen of this act
allowing public employees to opt in to family  care  benefits  prior  to
July  1,  2017  and subdivision 1 of section 212 of the workers' compen-
sation law as amended by section seventeen of this act  allowing  public
employers to opt in to family care benefits prior to July 1, 2017, shall
take effect immediately.
  (c)  Effective  immediately,  the addition, amendment and/or repeal of
any rules or regulations necessary for the implementation of this act on
its effective date are authorized and directed to be made and  completed
on or before such effective date.

                                 PART I

                          Intentionally Omitted

                                 PART J

                          Intentionally Omitted

                                 PART K

                          Intentionally Omitted

                                 PART L

A. 9005--B                         33

  Section  1. Paragraph (d) of subdivision 4 of section 209 of the civil
service law, as amended by chapter 67 of the laws of 2013, is amended to
read as follows:
  (d) The provisions of this subdivision shall expire [thirty-nine years
from  July  first,  nineteen hundred seventy-seven, and hereafter may be
renewed every four years] JULY FIRST, TWO THOUSAND NINETEEN.
  S 2. Intentionally omitted.
  S 3. This act shall take effect immediately.

                                 PART M

  Section 1. The opening paragraph of subdivision 3 of section  93-b  of
the  state finance law, as added by section 1 of part H of chapter 60 of
the laws of 2015, is amended to read as follows:
  Notwithstanding any other provisions of law to the contrary,  for  the
state  fiscal  year commencing on April first, two thousand fifteen, AND
EACH STATE FISCAL YEAR THEREAFTER, the comptroller is hereby  authorized
to  transfer monies from the dedicated infrastructure investment fund to
the general fund, and from the general fund to the dedicated infrastruc-
ture investment fund, in an amount determined by  the  director  of  the
budget  to the extent moneys are available in the fund; provided, howev-
er, that the comptroller is only authorized to transfer monies from  the
dedicated  infrastructure  investment  fund  to  the general fund in the
event of an economic downturn as described  in  paragraph  (a)  of  this
subdivision;  and/or to fulfill disallowances and/or settlements related
to over-payments of federal medicare and medicaid revenues in excess  of
one  hundred  million  dollars from anticipated levels, as determined by
the director of the budget and described in paragraph (b) of this subdi-
vision.
  S 1-a. (a) None of the funds appropriated or otherwise made  available
by  section  93-b of the state finance law may be used for a project for
the construction, alteration, maintenance, or repair of a public  build-
ing or public work unless all of the iron, steel, and manufactured goods
that  are  permanently incorporated into the project are produced in the
United States.
  (b) Paragraph (a) shall not apply in any case or category of cases  in
which the department, agency or authority involved finds that:
  (1)  applying  paragraph  (a)  would  be  inconsistent with the public
interest;
  (2) iron, steel, and the relevant manufactured goods are not  produced
in  the  United States in sufficient and reasonably available quantities
and of a satisfactory quality; or
  (3) inclusion of iron, steel, and manufactured goods produced  in  the
United States will increase the cost of the overall project by more than
25 percent.
  (c)  If  the  department,  agency  or  authority determines that it is
necessary to waive the application of paragraph (a) based on  a  finding
under  paragraph (b) the department, agency, or authority shall document
in writing,  and  post  on  its  website,  if  one  exists,  a  detailed
description of all decisions made justifying the provisions of paragraph
(a) being waived.
  (d)  This  section shall be applied in a manner consistent with United
States obligations under  international  agreements  including  but  not
limited to those signed with the Government of Canada.
  (e) For purposes of this section "permanently incorporated" shall mean
an  iron,  steel  or  manufactured product that is required to remain in

A. 9005--B                         34

place at the end of the project contract, in a fixed  location,  affixed
to the public work or public building to which it was incorporated.
  Electronic  and  communications  devices  and  machinery  that are not
affixed to the public work or public building that are capable of  being
moved from one location to another are not permanently incorporated into
a public building or public work.
  S  2.  This  act  shall take effect immediately, provided that section
one-a of this act shall apply to all capital projects wholly or partial-
ly funded by monies allocated or appropriated to or transferred from the
dedicated infrastructure investment fund established pursuant to section
93-b of the state finance law in which contracts  for  the  project  are
entered  into,  modified,  amended,  altered, or renewed on or after the
effective date of this act.

                                 PART N

  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. Proprietary vocational school supervision account (20452).
  2. Local government records management account (20501).
  3. Child health plus program account (20810).
  4. EPIC premium account (20818).
  5. Education - New (20901).
  6. VLT - Sound basic education fund (20904).
  7.   Sewage  treatment  program  management  and  administration  fund
(21000).
  8. Hazardous bulk storage account (21061).
  9. Federal grants indirect cost recovery account (21065).
  10. Low level radioactive waste account (21066).
  11. Recreation account (21067).
  12. Public safety recovery account (21077).
  13. Environmental regulatory account (21081).
  14. Natural resource account (21082).
  15. Mined land reclamation program account (21084).
  16. Great lakes restoration initiative account (21087).
  17. Environmental protection and oil spill compensation fund (21200).
  18. Public transportation systems account (21401).
  19. Metropolitan mass transportation (21402).
  20. Operating permit program account (21451).
  21. Mobile source account (21452).
  22.  Statewide  planning  and  research  cooperative  system   account
(21902).
  23. Mental hygiene program fund account (21907).
  24. Mental hygiene patient income account (21909).
  25. Financial control board account (21911).
  26. Regulation of racing account (21912).
  27. New York Metropolitan Transportation Council account (21913).
  28. State university dormitory income reimbursable account (21937).
  29. Criminal justice improvement account (21945).
  30. Environmental laboratory reference fee account (21959).
  31. Clinical laboratory reference system assessment account (21962).
  32. Indirect cost recovery account (21978).
  33. High school equivalency program account (21979).
  34. Multi-agency training account (21989).

A. 9005--B                         35

  35.  Interstate  reciprocity  for  post-secondary  distance  education
account.
  36. Bell jar collection account (22003).
  37. Industry and utility service account (22004).
  38. Real property disposition account (22006).
  39. Parking account (22007).
  40. Asbestos safety training program account (22009).
  41. Batavia school for the blind account (22032).
  42. Investment services account (22034).
  43. Surplus property account (22036).
  44. Financial oversight account (22039).
  45. Regulation of Indian gaming account (22046).
  46. Rome school for the deaf account (22053).
  47. Seized assets account (22054).
  48. Administrative adjudication account (22055).
  49. Federal salary sharing account (22056).
  50. New York City assessment account (22062).
  51. Cultural education account (22063).
  52. Local services account (22078).
  53. DHCR mortgage servicing account (22085).
  54. Department of motor vehicles compulsory insurance account (22087).
  55. Housing indirect cost recovery account (22090).
  56. DHCR-HCA application fee account (22100).
  57. Low income housing monitoring account (22130).
  58. Corporation administration account (22135).
  59. Montrose veteran's home account (22144).
  60. Deferred compensation administration account (22151).
  61. Rent revenue other New York City account (22156).
  62. Rent revenue account (22158).
  63. Tax revenue arrearage account (22168).
  64. Highway use tax administration account.
  65. State university general income offset account (22654).
  66. Lake George park trust fund account (22751).
  67. State police motor vehicle law enforcement account (22802).
  68. Highway safety program account (23001).
  69. EFC drinking water program account (23101).
  70. DOH drinking water program account (23102).
  71. NYCCC operating offset account (23151).
  72. Commercial gaming revenue account (23701).
  73. Commercial gaming regulation account (23702).
  74. Highway and bridge capital account (30051).
  75. State university residence hall rehabilitation fund (30100).
  76. State parks infrastructure account (30351).
  77. Clean water/clean air implementation fund (30500).
  78. Hazardous waste remedial cleanup account (31506).
  79. Youth facilities improvement account (31701).
  80. Housing assistance fund (31800).
  81. Housing program fund (31850).
  82. Highway facility purpose account (31951).
  83. Information technology capital financing account (32215).
  84. New York racing account (32213).
  85. Mental hygiene facilities capital improvement fund (32300).
  86. Correctional facilities capital improvement fund (32350).
  87. New York State Storm Recovery Capital Fund (33000).
  88. OGS convention center account (50318).
  89. Empire Plaza Gift Shop (50327)

A. 9005--B                         36

  90. Centralized services fund (55000).
  91. Archives records management account (55052).
  92. Federal single audit account (55053).
  93. Civil service EHS occupational health program account (55056).
  94. Banking services account (55057).
  95. Cultural resources survey account (55058).
  96. Automation & printing chargeback account (55060).
  97. OFT NYT account (55061).
  98. Data center account (55062).
  99. Intrusion detection account (55066).
  100. Domestic violence grant account (55067).
  101. Centralized technology services account (55069).
  102. Labor contact center account (55071).
  103. Human services contact center account (55072).
  104. Tax contact center account (55073).
  105. Policing the NYS thruway account.
  106. Executive direction internal audit account (55251).
  107. CIO Information technology centralized services account (55252).
  108. Health insurance internal service account (55300).
  109.  Civil  service employee benefits division administrative account
(55301).
  110. Correctional industries revolving fund (55350).
  111. Employees health insurance account (60201).
  112. Medicaid management information system escrow fund (60900).
  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 and nutrition services fund (25000).
  2. Federal health and human services fund (25100).
  3. Federal education fund (25200).
  4. Federal block grant fund (25250).
  5. Federal miscellaneous operating grants fund (25300).
  6. Federal unemployment insurance administration fund (25900).
  7. Federal unemployment insurance occupational training fund (25950).
  8. Federal emergency employment act fund (26000).
  9. Federal capital projects fund (31350).
  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, 2017, and with respect to item 5 under the miscella-
neous  category  set  forth  in  this section, up to and after March 31,
2017, up to the unencumbered balance or the following 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. $3,000,000 from the  general  fund  to  the  miscellaneous  special
revenue fund, tax revenue arrearage account (22168).
  Education:

A. 9005--B                         37

  1.  $2,260,000,000  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.  $986,000,000  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.  Up  to $137,700,000 from the moneys deposited in commercial gaming
revenue account  (23701)  to  the  general  fund  as  reimbursement  for
disbursements  made from the general fund for supplemental aid to educa-
tion during the prior fiscal year due to the unencumbered balance of the
commercial gaming revenue account during the  prior  fiscal  year  being
less  than required to fully fund payments of general support for public
schools, pursuant to Chapter 61 of the laws of 2015.
  5. $300,000 from the local government records  management  improvement
fund (20500) to the archives partnership trust fund (20350).
  6. $900,000 from the general fund to the miscellaneous special revenue
fund, Batavia school for the blind account (22032).
  7. $900,000 from the general fund to the miscellaneous special revenue
fund, Rome school for the deaf account (22053).
  8.  $343,400,000  from  the  state  university  dormitory  income fund
(40350) 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. $40,000,000 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, 2015 through March 31,
2016.
  12. An amount up to $14,251,000 from the general  fund  to  the  state
university   income  fund,  state  university  general  revenue  account
(22653).
  Environmental Affairs:
  1. $16,000,000 from any of the department of  environmental  conserva-
tion's  special  revenue federal funds to the environmental conservation
special revenue fund, federal indirect recovery account (21065).
  2. $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.
  3. $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 miscellaneous special revenue fund, federal grant indirect
cost recovery account (22188).

A. 9005--B                         38

  4. $1,000,000 from any of the office of parks, recreation and historic
preservation special revenue federal funds to the miscellaneous  special
revenue fund, I love NY water account (21930).
  5.  $146,000,000 from the general fund to the environmental protection
fund, environmental protection fund transfer account (30451).
  6. $9,700,000 from the general fund to the  hazardous  waste  remedial
fund, hazardous waste oversight and assistance account (31505).
  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.  $4,000,000  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. $18,670,000 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.
  4.  $140,000,000  from  any  of the office of temporary and disability
assistance or department of health special revenue funds to the  general
fund.
  5.  $2,500,000  from  any  of  the  office of temporary and disability
assistance special revenue federal funds to  the  miscellaneous  special
revenue  fund,  office  of  temporary  and disability assistance program
account (21980).
  6. $21,000,000 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
children and family services miscellaneous special revenue fund,  multi-
agency training contract account (21989).
  7.  $65,000,000  from  the  miscellaneous  special revenue fund, youth
facility per diem account (22186), to the general fund.
  8. $621,850 from the general fund to the combined gifts,  grants,  and
bequests fund, WB Hoyt Memorial account (20128).
  9.  $3,100,000  from  the  miscellaneous  special  revenue fund, state
central registry (22028), to the general fund.
  10. $1,000,000 from the general  fund  to  the  housing  program  fund
(31850).
  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 (55300).
  3.  $192,400,000  from  the  health  insurance  reserve  receipts fund
(60550) to the general fund.
  4. $150,000 from the general fund to the not-for-profit revolving loan
fund (20650).
  5. $150,000 from the not-for-profit revolving loan fund (20650) to the
general fund.
  6. $3,000,000 from the miscellaneous  special  revenue  fund,  surplus
property account (22036), to the general fund.

A. 9005--B                         39

  7.  $19,000,000  from  the miscellaneous special revenue fund, revenue
arrearage account (22024), to the general fund.
  8.  $1,826,000  from  the  miscellaneous special revenue fund, revenue
arrearage account (22024), to the miscellaneous  special  revenue  fund,
authority budget office account (22138).
  9.  $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.
  10.  $21,789,000  from  the  general  fund to the centralized services
fund, COPS account (55013).
  11. $2,360,000 from the general fund to the agencies internal  service
fund,  central  technology  services account (55069), for the purpose of
enterprise technology projects.
  12. $15,000,000 from the miscellaneous special revenue fund,  workers'
compensation  account  (21995),  to  the  miscellaneous capital projects
fund, workers' compensation board IT business process design fund.
  Health:
  1. $33,710,000 from the miscellaneous special revenue fund, quality of
care account (21915), to the general fund.
  2. A transfer from the general fund to the combined gifts, grants  and
bequests  fund, breast cancer research and education account (20155), up
to an amount equal to the  monies  collected  and  deposited  into  that
account in the previous fiscal year.
  3.  A transfer from the general fund to the combined gifts, grants and
bequests  fund,  prostate  cancer  research,  detection,  and  education
account  (20183),  up  to  an  amount  equal to the moneys collected and
deposited into that account in the previous fiscal year.
  4. A transfer from the general fund to the combined gifts, grants  and
bequests  fund,  Alzheimer's  disease  research  and  assistance account
(20143), up to an amount equal to the  moneys  collected  and  deposited
into that account in the previous fiscal year.
  5.  $30,295,000  from the HCRA resources fund (20800) to the miscella-
neous special revenue fund, empire state stem cell  trust  fund  account
(22161).
  6. $7,000,000 from the miscellaneous special revenue fund, certificate
of  need  account  (21920),  to the miscellaneous capital projects fund,
healthcare IT capital subfund (32216).
  7. $1,000,000 from the miscellaneous special  revenue  fund,  adminis-
tration  program  account (21982), to the miscellaneous capital projects
fund, healthcare IT capital account (32216).
  8. $1,000,000 from  the  miscellaneous  special  revenue  fund,  vital
records  account  (22103),  to  the miscellaneous capital projects fund,
healthcare IT capital account (32216).
  9. $25,500,000 from the HCRA resources fund  (20800)  to  the  capital
projects fund (30000).
  10.  $3,700,000  from  the  miscellaneous  New York state agency fund,
medical assistance account to the general fund.
  11. $4,886,000 from the general fund to the  medical  marihuana  trust
fund, health operation and oversight account (23755).
  12.  $1,086,000  from  the miscellaneous special revenue fund, certif-
icate of need account (21920), to the general fund.
  13. $1,000,000 from the miscellaneous special  revenue  fund,  profes-
sional  medical  conduct  account  (22088), to the miscellaneous capital
projects fund, healthcare IT capital account (32216).
  Labor:

A. 9005--B                         40

  1. $400,000 from the miscellaneous special revenue fund, DOL  fee  and
penalty account (21923), to the child performer's protection fund, child
performer protection account (20401).
  2. $8,400,000 from the miscellaneous special revenue fund, DOL fee and
penalty account (21923), to the general fund.
  3.  $3,300,000  from  the  unemployment insurance interest and penalty
fund,  unemployment  insurance  special  interest  and  penalty  account
(23601), 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.  $1,950,000,000  from the general fund to the miscellaneous special
revenue fund, mental hygiene patient income account (21909).
  3. $1,550,000,000 from the general fund to the  miscellaneous  special
revenue fund, mental hygiene program fund account (21907).
  4.  $100,000,000  from  the miscellaneous special revenue fund, mental
hygiene program fund account (21907), to the general fund.
  5. $100,000,000 from the miscellaneous special  revenue  fund,  mental
hygiene patient income account (21909), to the general fund.
  6.  $3,800,000  from  the  miscellaneous  special revenue fund, mental
hygiene patient income account (21909), to the agencies internal service
fund, civil service EHS occupational health program account (55056).
  7. $5,000,000 from the chemical  dependence  service  fund,  substance
abuse  services  fund  account  (22700),  to  the  miscellaneous capital
projects fund, chemical dependence service capital account.
  Public Protection:
  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. $10,500,000 from the general fund to  the  correctional  industries
revolving   fund,   correctional  industries  internal  service  account
(55350).
  4. $3,000,000 from the federal miscellaneous  operating  grants  fund,
DMNA damage account (25324), to the general fund.
  5.  $6,300,000  from  the  general  fund  to the miscellaneous special
revenue fund, crimes against revenue program account (22015).
  6. $10,683,000 from the miscellaneous special revenue  fund,  criminal
justice improvement account (21945), to the general fund.
  7.  $106,000,000  from  the state police motor vehicle law enforcement
and motor vehicle theft  and  insurance  fraud  prevention  fund,  state
police  motor  vehicle  enforcement account (22802), to the general fund
for state operation expenses of the division of state police.
  8. $53,500,000 from the general fund to  the  correctional  facilities
capital improvement fund (32350).
  9.  $5,000,000  from  the  general  fund  to the dedicated highway and
bridge trust fund (30050) for the purpose of work zone safety activities
provided by the division of state police for the department of transpor-
tation.
  10. $10,000,000 from the miscellaneous special revenue fund, statewide
public safety communications account (22123), to  the  capital  projects
fund (30000).
  11. Intentionally omitted.

A. 9005--B                         41

  12.  $300,000  from the state police motor vehicle law enforcement and
motor vehicle theft and insurance fraud prevention fund,  motor  vehicle
theft and insurance fraud account (22801), to the general fund.
  13.  $1,000,000 from the general fund to the agencies internal service
fund, center for employment opportunities NWP account.
  14. $30,000,000 from the miscellaneous special revenue fund, statewide
public safety communications account (22123) to the general fund.
  Transportation:
  1. $17,672,000 from the federal miscellaneous operating grants fund to
the miscellaneous special revenue fund, New York Metropolitan  Transpor-
tation Council account (21913).
  2. $20,147,000 from the federal capital projects fund to the miscella-
neous special revenue fund, New York Metropolitan Transportation Council
account (21913).
  3.  $1,240,000 from the miscellaneous special revenue fund, compulsory
insurance account (22087), to the dedicated  highway  and  bridge  trust
fund (30050).
  4.  $15,046,384 from the general fund to the mass transportation oper-
ating assistance fund, public transportation systems  operating  assist-
ance account (21401), of which $12,000,000 constitutes the base need for
operations.
  5.  $810,000,000  from  the  general fund to the dedicated highway and
bridge trust fund (30050).
  6. $936,000 from the  miscellaneous  special  revenue  fund,  accident
prevention  course program account (22094), to the dedicated highway and
bridge trust fund (30050).
  7. $1,234,000 from the miscellaneous special revenue fund,  motorcycle
safety  account  (21976), to the dedicated highway and bridge trust fund
(30050).
  8. $309,250,000 from the general fund to the MTA financial  assistance
fund, mobility tax trust account (23651).
  9. $5,000,000 from the miscellaneous special revenue fund, transporta-
tion  regulation  account  (22067)  to  the dedicated highway and bridge
trust fund (30050), for disbursements made  from  such  fund  for  motor
carrier  safety that are in excess of the amounts deposited in the dedi-
cated highway and bridge trust fund (30050) for such purpose pursuant to
section 94 of the transportation law.
  10. $34,000 from the miscellaneous special revenue fund, seized assets
account (21906), to the dedicated highway and bridge trust fund (30050).
  Miscellaneous:
  1. $250,000,000 from the general fund to any funds or accounts for the
purpose of reimbursing certain outstanding accounts receivable balances.
  2. $500,000,000 from the general fund to the  debt  reduction  reserve
fund (40000).
  3.  $450,000,000  from  the New York state storm recovery capital fund
(33000) to the revenue bond tax fund (40152).
  4. $15,500,000 from the general fund, community  projects  account  GG
(10256), to the general fund, state purposes account (10050).
  5. Up to $1,840,000,000 from the general fund to the dedicated infras-
tructure investment fund.
  S  2-a.  Subdivision 6 of section 151 of the workers' compensation law
is amended by adding a new paragraph (c) to read as follows:
  (C) EFFECTIVE IMMEDIATELY, NOTWITHSTANDING ANY LAW  TO  THE  CONTRARY,
PURSUANT  TO  THE  PROVISIONS  OF  THIS CHAPTER, THE ASSESSMENT RESERVES
REMITTED TO THE CHAIR PURSUANT TO THIS PARAGRAPH SHALL, AT  THE  REQUEST
OF THE DIRECTOR OF THE BUDGET, BE DISTRIBUTED AS FOLLOWS:

A. 9005--B                         42

  (I)  EFFECTIVE IMMEDIATELY, THE CHAIR OF THE BOARD SHALL AUTHORIZE THE
BOARD TO EXPEND UP TO SIXTY MILLION DOLLARS TO IMPLEMENT  INFRASTRUCTURE
AND SYSTEM UPGRADES CONSISTENT WITH RECOMMENDATIONS OF THE BOARD'S REDE-
SIGN AND REENGINEERING PROJECT.
  (II) EFFECTIVE IMMEDIATELY, THE CHAIR OF THE BOARD SHALL AUTHORIZE THE
BOARD  TO  EXPEND UP TO FIFTY MILLION DOLLARS FOR: (A) TRANSFER INTO THE
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; (B) THE DEPARTMENT OF LABOR OCCUPATIONAL SAFETY AND HEALTH
PROGRAM; (C) TRANSFER INTO THE UNINSURED EMPLOYERS' FUND    PURSUANT  TO
SUBDIVISION  TWO  OF  SECTION TWENTY-SIX-A OF THIS CHAPTER IN CONNECTION
WITH PAYMENT OF CLAIMS MADE PURSUANT TO ARTICLE EIGHT-A OF THIS CHAPTER;
(D) A REDUCTION IN LIABILITIES OF THE SPECIAL DISABILITY  FUND  PURSUANT
TO SUBDIVISION EIGHT OF SECTION FIFTEEN OF THIS  CHAPTER AND/OR THE FUND
FOR  REOPENED  CASES  PURSUANT TO SECTION TWENTY-FIVE-A OF THIS CHAPTER;
AND/OR (E) TRANSFER TO OR PAYMENT ON BEHALF   OF THE  SUPERINTENDENT  OF
FINANCIAL  SERVICES  FOR COSTS ASSOCIATED WITH THE IMPLEMENTATION OF THE
PAID FAMILY LEAVE ACT OF ARTICLE NINE  OF THIS CHAPTER.
  (III)  AS SOON AS  PRACTICABLE ON OR AFTER APRIL FIRST,  TWO  THOUSAND
SIXTEEN, THE CHAIR OF THE BOARD SHALL TRANSFER ONE HUNDRED FORTY MILLION
DOLLARS  TO  THE  STATE  INSURANCE FUND, FOR PARTIAL PAYMENT AND PARTIAL
SATISFACTION OF THE STATE'S OBLIGATIONS  TO  THE  STATE  INSURANCE  FUND
UNDER  SECTION  EIGHTY-EIGHT-C OF THIS CHAPTER FOR THE YEAR TWO THOUSAND
SIXTEEN.
  (IV) AS SOON AS PRACTICABLE ON OR  AFTER  APRIL  FIRST,  TWO  THOUSAND
SEVENTEEN,  THE    CHAIR OF THE BOARD SHALL TRANSFER ONE HUNDRED MILLION
DOLLARS TO THE STATE INSURANCE FUND, FOR  PARTIAL  PAYMENT  AND  PARTIAL
SATISFACTION  OF  THE  STATE'S  OBLIGATIONS  TO THE STATE INSURANCE FUND
UNDER SECTION EIGHTY-EIGHT-C OF THIS CHAPTER FOR THE YEAR  TWO  THOUSAND
SEVENTEEN.
  (V) AS SOON AS PRACTICABLE ON OR AFTER APRIL FIRST, TWO THOUSAND EIGH-
TEEN, THE CHAIR OF THE BOARD  SHALL TRANSFER ONE HUNDRED MILLION DOLLARS
TO  THE STATE INSURANCE FUND, FOR PARTIAL PAYMENT AND  PARTIAL SATISFAC-
TION OF THE STATE'S  OBLIGATIONS  TO  THE  STATE  INSURANCE  FUND  UNDER
SECTION  EIGHTY-EIGHT-C  OF THIS CHAPTER FOR THE YEAR TWO THOUSAND EIGH-
TEEN.
  (VI) AS SOON AS PRACTICABLE ON OR AFTER APRIL  FIRST,  TWO    THOUSAND
NINETEEN,  THE  CHAIR  OF  THE  BOARD SHALL TRANSFER THIRTY-FIVE MILLION
DOLLARS TO THE STATE INSURANCE FUND, FOR  PARTIAL  PAYMENT  AND  PARTIAL
SATISFACTION  OF  THE  STATE'S  OBLIGATIONS  TO THE STATE INSURANCE FUND
UNDER SECTION EIGHTY-EIGHT-C OF THIS CHAPTER FOR THE YEAR  TWO  THOUSAND
NINETEEN.
  ANY  AND  ALL  FUNDS  REMAINING AFTER ACCOUNTING FOR THE TRANSFERS AND
EXPENDITURES SET FORTH ABOVE MAY, AT THE DISCRETION OF THE  DIRECTOR  OF
THE BUDGET, EITHER REMAIN WITH THE BOARD OR BE TRANSFERRED TO THE GENER-
AL FUND FOR THE PURPOSE OF REDUCING BUDGET GAPS.
  ANNUALLY,  THE  BOARD WILL PROVIDE TO THE DIRECTOR OF  THE BUDGET, THE
CHAIR OF THE SENATE FINANCE COMMITTEE, AND THE  CHAIR  OF  THE  ASSEMBLY
WAYS  AND MEANS COMMITTEE, AN ACCOUNTING  OF  SUCH  FUNDS AND  ALL ASSO-
CIATED INCOME RECEIVED. SUCH ACCOUNTING WILL CONTINUE UNTIL MARCH  THIR-
TY-FIRST, TWO THOUSAND TWENTY.
  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, 2017:

A. 9005--B                         43

  1. Upon request of the commissioner of environmental conservation,  up
to  $11,410,000 from revenues credited to any of the department of envi-
ronmental conservation special revenue funds, including $3,293,400  from
the  environmental  protection  and oil spill compensation fund (21200),
and  $1,783,600 from the conservation fund (21150), 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 miscellaneous special revenue fund, housing indirect
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 $5,000,000 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. On or before March 31, 2017, 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  5.  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
reimbursement of bondable equipment for further transfer to the  state's
general fund.
  S  6.  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, 2017, 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  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, 2017, 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

A. 9005--B                         44

project costs for the  NY-SUNY  2020  challenge  grant  program  at  the
University at Albany.
  S  8.  Notwithstanding  any  law to the contrary, the state university
chancellor or his or her designee is authorized and directed to transfer
estimated tuition revenue balances from the state university  collection
fund  (61000)  to  the  state  university  income fund, state university
general revenue offset account (22655) on or before March 31, 2017.
  S 9. 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  $87,864,000  from  the  general  fund to the state university income
fund, state university hospitals  income  reimbursable  account  (22656)
during  the period July 1, 2016 through June 30, 2017 to reflect ongoing
state subsidy of SUNY hospitals and to pay  costs  attributable  to  the
SUNY hospitals' state agency status.
  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 $1,188,590,300 from the general fund to the state  university  income
fund, state university general revenue offset account (22655) during the
period  of  July  1, 2016 through June 30, 2017 to support operations at
the state university.
  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 state university chancel-
lor or his or her designee, up to $55,000,000 from the state  university
income  fund,  state  university  hospitals  income reimbursable account
(22656), 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 (32400) on or before June 30, 2017.
  S 12. 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-
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  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 hospitals income reimbursable account (22656) to
pay hospital operating costs or 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, 2017.
  S  13.  Notwithstanding any law to the contrary, upon the direction of
the director of the budget and the chancellor of the state university of
New York or his or her designee, and in accordance with section 4 of the

A. 9005--B                         45

state finance law, the comptroller is hereby authorized and directed  to
transfer  monies from the state university dormitory income fund (40350)
to the state university residence hall rehabilitation fund (30100),  and
from  the state university residence hall rehabilitation fund (30100) to
the state university dormitory income fund (40350), in a net amount  not
to exceed $80 million.
  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, 2017, 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 $250 million from the unencumbered balance of any special revenue
fund or account, agency  fund  or  account,  internal  service  fund  or
account,  enterprise  fund  or account, or any combination of such 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  2016-17  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 pursuant to federal law, rule, or regulation as assent-
ed to in chapter 683 of the laws of 1938 and chapter 700 of the laws  of
1951 are not permitted 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 miscellaneous special revenue fund,  tech-
nology  financing  account (22207) or the miscellaneous capital projects
fund, information technology capital financing account (32215), for  the
purpose  of  consolidating  technology  procurement  and  services.  The
amounts transferred to the miscellaneous special revenue fund, technolo-
gy financing account (22207) 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 funds that would result  in
the  loss  of eligibility for federal benefits or federal funds pursuant
to federal law, rule, or regulation as assented to in chapter 683 of the
laws of 1938 and chapter 700 of the  laws  of  1951  are  not  permitted
pursuant to this authorization.
  S  17. 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 $300 million from any non-general fund or account, or combination
of funds and accounts, to the general fund for the  purpose  of  consol-

A. 9005--B                         46

idating  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 general fund shall be
completed from amounts collected by non-general funds or accounts pursu-
ant to a fund deposit schedule.  Transfers from funds that would  result
in  the loss of eligibility for federal benefits or federal funds pursu-
ant to federal law, rule, or regulation as assented to in chapter 683 of
the laws of 1938 and chapter 700 of the laws of 1951 are  not  permitted
pursuant to this authorization.
  S  18. 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 transfer to the state treasury
to the credit of the general fund $20,000,000 for the state fiscal  year
commencing  April  1,  2016,  the  proceeds of which will be utilized to
support energy-related state activities.
  S 18-a. 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 transfer to the  New
York  state  thruway authority to the credit of the New York state canal
corporation $70,000,000 for the state fiscal year  commencing  April  1,
2016.
  S  19. 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 make a contribution to the state treasury
to the credit of the general fund in  the  amount  of  $23,000,000  from
proceeds  collected  by the authority from the auction or sale of carbon
dioxide emission allowances allocated by the department of environmental
conservation on or before March 31, 2017.
  S 20. 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 transfer to the  state  university  income
fund  general  revenue  account  (22653),  in  an  amount  not to exceed
$15,000,000 for the state fiscal year commencing April 1, 2016 from  the
proceeds  collected  by the authority from the auction or sale of carbon
dioxide emission allowances allocated by the department of environmental
conservation, which amount shall be utilized to support the Clean Energy
Workforce Opportunity Program  to  offer  additional  courses,  to  hire
faculty,  to  purchase or upgrade necessary machinery and lab equipment,
and to integrate workforce training in order to implement  easily-repli-
cated  renewable energy projects, including solar arrays, heat pumps and
wind turbines across the state in public low-income housing in suburban,
urban and rural areas; provided that up  to  two  and  one-half  million
dollars  of this amount shall be used for training programs for individ-
uals who have been discharged  from  state  correctional  facilities  or
local  jails;  provided  further,  that  up to $5,000,000 of such amount
shall be available to support Clean Energy Workforce Opportunity Program
initiatives at state university of New York community colleges.
  S 21. Subdivision 5 of section 97-rrr of the  state  finance  law,  as
amended  by  section  21 of part I of chapter 60 of the laws of 2015, 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

A. 9005--B                         47

laws  of  two  thousand  eleven,  or  any other provisions of law to the
contrary, during the fiscal year beginning  April  first,  two  thousand
[fifteen]  SIXTEEN,  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
[$3,382,279,000] $3,381,844,000, 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 [fifteen] SIXTEEN.
  S  22.  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 2016. 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 2016 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  23.  The opening paragraph of section 2 and section 47 of part I of
chapter 60 of the laws of 2015,  providing  for  the  administration  of
certain funds and accounts related to the 2015-16 budget, are amended to
read as follows:
  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, 2016, AND WITH RESPECT TO ITEM 5 UNDER THE MISCELLA-
NEOUS CATEGORY SET FORTH IN THIS SECTION, UP  TO  AND  AFTER  MARCH  31,
2016, up to the unencumbered balance or the following amounts:
  S  47.  This  act shall take effect immediately and shall be deemed to
have been in full force and effect on and after April 1, 2015; provided,
however, [that] WITH THE EXCEPTION OF ITEM 5 OF THE MISCELLANEOUS  CATE-
GORY  SET  FORTH  WITHIN  SECTION  TWO  OF  THIS  ACT, the provisions of
sections one through eight and sections thirteen through twenty of  this
act  shall  expire March 31, 2016, when upon such date the provisions of
such sections shall be deemed repealed.
  S 24. Subdivision 6 of section 4 of the state finance law, as  amended
by section 22 of part I of chapter 55 of the laws of 2014, is amended to
read as follows:
  6.  Notwithstanding  any  law to the contrary, at the beginning of the
state fiscal year,  the  state  comptroller  is  hereby  authorized  and
directed  to  receive  for  deposit  to  the  credit of a fund and/or an
account such monies as are identified by the director of the  budget  as
having been intended for such deposit to support disbursements from such
fund  and/or  account  made  in pursuance of an appropriation by law. As
soon as practicable upon enactment of the budget, the  director  of  the
budget  shall,  but  not  less  than  three  days  following preliminary
submission to the chairs of the senate finance committee and the  assem-
bly  ways  and means committee, file with the state comptroller an iden-
tification of specific monies to be so deposited. Any subsequent  change
regarding  the  monies to be so deposited shall be filed by the director
of the budget, as soon as practicable, but  not  less  than  three  days
following  preliminary  submission  to  the chairs of the senate finance
committee and the assembly ways and means committee.
  All monies identified by the director of the budget to be deposited to
the credit of a fund and/or account shall be consistent with the  intent

A. 9005--B                         48

of  the  budget for the then current state fiscal year as enacted by the
legislature.
  The provisions of this subdivision shall expire on March thirty-first,
two thousand [sixteen] EIGHTEEN.
  S 25. Subdivision 4 of section 40 of the state finance law, as amended
by section 23 of part I of chapter 55 of the laws of 2014, is amended to
read as follows:
  4.  Every appropriation made from a fund or account to a department or
agency shall be available for the payment of prior years' liabilities in
such fund or account for fringe benefits, indirect costs, and telecommu-
nications expenses and expenses  for  other  centralized  services  fund
programs  without limit. Every appropriation shall also be available for
the payment of prior  years'  liabilities  other  than  those  indicated
above,  but  only  to the extent of one-half of one percent of the total
amount appropriated to a department or agency in such fund or account.
  The provisions of this subdivision shall  expire  March  thirty-first,
two thousand [sixteen] EIGHTEEN.
  S  26.  Subparagraph  (i) of paragraph (a) of subdivision 3 of section
92-cc of the state finance law, as added by chapter 1  of  the  laws  of
2007, is amended to read as follows:
  (i)  Economic  downturn. The commissioner of labor shall calculate and
publish, on or before the fifteenth day of each month, a composite index
of business cycle indicators.  Such  index  shall  be  calculated  using
monthly  data on New York state PRIVATE SECTOR employment, [total] AVER-
AGE WEEKLY HOURS OF manufacturing [hours worked] WORKERS, and THE  unem-
ployment RATE prepared by the department of labor or its successor agen-
cy,  and  total  sales  tax  [collected  net of law changes] COLLECTIONS
ADJUSTED FOR INFLATION, prepared  by  the  department  of  taxation  and
finance  or  its  successor  agency. Such index shall be [constructed in
accordance with the procedures for calculating composite indexes  issued
by the conference board or its successor organization, and] adjusted for
seasonal  variations  in  accordance  with  the procedures issued by the
[census bureau of the] United States  [department  of  commerce]  CENSUS
BUREAU or its successor agency. If the composite index declines for five
consecutive months, the commissioner of labor shall notify the governor,
the  speaker of the assembly, the temporary president of the senate, and
the minority leaders of the assembly and the senate. Upon such notifica-
tion, the director of the budget may  authorize  and  direct  the  comp-
troller  to transfer from the rainy day reserve fund to the general fund
such amounts as the director of the budget deems necessary to  meet  the
requirements  of  the  state  financial  plan. The authority to transfer
funds under the provisions of this  subdivision  shall  lapse  when  the
composite  index  shall  have  increased  for five consecutive months or
twelve months from the original  notification  of  the  commissioner  of
labor, whichever occurs earlier. Provided, however, that for every addi-
tional and consecutive monthly decline succeeding the five month decline
so noted by the commissioner of labor, the twelve month lapse date shall
be extended by one additional month; or
  S  27.  Paragraph  (a)  of  subdivision 3 of section 93-b of the state
finance law, as added by section 1 of part H of chapter 60 of  the  laws
of 2015, is amended to read as follows:
  (a)  Economic  downturn.  Notwithstanding any law to the contrary, for
the purpose of this section, the commissioner of labor  shall  calculate
and  publish,  on or before the fifteenth day of each month, a composite
index of business cycle indicators. Such index shall be calculated using
monthly data on New York state PRIVATE SECTOR employment, [total]  AVER-

A. 9005--B                         49

AGE  WEEKLY HOURS OF manufacturing [hours worked] WORKERS, and THE unem-
ployment RATE prepared by the department of labor or its successor agen-
cy, and total sales tax  [collected  net  of  law  changes]  COLLECTIONS
ADJUSTED  FOR  INFLATION,  prepared  by  the  department of taxation and
finance or its successor agency. Such index  shall  be  [constructed  in
accordance  with the procedures for calculating composite indexes issued
by the conference board or its successor organization, and] adjusted for
seasonal variations in accordance with  the  procedures  issued  by  the
[census  bureau  of  the]  United States [department of commerce] CENSUS
BUREAU or its successor agency. If the composite index declines for five
consecutive months, the commissioner of labor shall notify the governor,
the speaker of the assembly, the temporary president of the senate,  and
the minority leaders of the assembly and the senate. Upon such notifica-
tion,  the  director  of  the  budget may authorize and direct the comp-
troller to transfer from the dedicated infrastructure investment fund to
the general fund such amounts as the director of the budget deems neces-
sary to meet the requirements of the state financial plan. The authority
to transfer funds under the provisions of  this  paragraph  shall  lapse
when  the  composite  index  shall  have  increased for five consecutive
months or twelve months from the original notification  of  the  commis-
sioner  of  labor, whichever occurs earlier. Provided, however, that for
every additional and consecutive monthly  decline  succeeding  the  five
month  decline  so  noted by the commissioner of labor, the twelve month
lapse date shall be extended by one additional month.
  S 28. 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.  Annually on or before each June 30th, 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
investment of monies deposited therein that  will  or  may  have  to  be
rebated  to  the  federal  government  pursuant to the provisions of the
internal revenue code of 1986, as amended.
  S 29. Subdivision 1 of section 47 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 25 of part I of chapter 60 of the laws
of 2015, is amended to read as follows:
  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 office of information technology services, depart-
ment  of  law,  and  other  state  costs  associated  with  such capital
projects. The aggregate principal  amount  of  bonds  authorized  to  be

A. 9005--B                         50

issued  pursuant  to  this  section shall not exceed [two] THREE hundred
[sixty-nine] SIXTY-FOUR  million  [one]  EIGHT  hundred  forty  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.
  S 30. 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  27  of  part I of chapter 60 of the laws of 2015, 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
hereby  authorized  to  issue  bonds,  notes and other obligations in an
aggregate principal amount  not  to  exceed  seven  billion  [one]  FOUR
hundred  [sixty-three]  TWENTY-FOUR million [three] NINE hundred [sixty-
nine] NINETY-NINE thousand dollars [$7,163,369,000] $7,424,999,000,  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  appropriations  or  reappropriations  made  to  the  department of
corrections and community supervision from the  correctional  facilities
capital  improvement  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  repay-
ment the total aggregate principal amount of outstanding bonds, notes or
other  obligations  may be greater than seven billion [one] FOUR hundred
[sixty-three] TWENTY-FOUR  million  [three]  NINE  hundred  [sixty-nine]
NINETY-NINE  thousand  dollars  [$7,163,369,000] $7,424,999,000, only if
the present value of the aggregate 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

A. 9005--B                         51

payments on the refunding or repayment bonds, notes or other obligations
from  the payment dates thereof to the date of issue of the refunding or
repayment bonds, notes or other obligations and to the price bid includ-
ing  estimated  accrued interest or proceeds received by the corporation
including estimated accrued interest from the sale thereof.
  S 31. Paragraph (a) of subdivision 2 of section 47-e  of  the  private
housing finance law, as amended by section 28 of part I of chapter 60 of
the laws of 2015, 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 [three] FOUR billion [one]  SIX
hundred  [fifty-three]  NINETY-SEVEN million [seven] FOUR hundred [nine-
ty-nine] SEVENTY-FOUR thousand dollars, plus a principal amount of bonds
issued to fund the debt service reserve fund in accordance with the debt
service reserve fund requirement established by the agency and  to  fund
any  other  reserves  that the agency reasonably deems necessary for the
security or marketability 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 partic-
ular 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 32. 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 29 of part I of chapter 60 of the laws of 2015, 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 or to reimburse the
state for  funding  such  projects  having  a  cost  not  in  excess  of
[$8,658,881,000]  $9,347,234,000  cumulatively by the end of fiscal year
[2015-16] 2016-17.
  S 33. Subdivision 1 of section 1689-i of the public  authorities  law,
as amended by section 30 of part I of chapter 60 of the laws of 2015, 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

A. 9005--B                         52

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  one  hundred  [forty]  SIXTY-FOUR
million dollars.
  S  34.  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 31 of
part I of chapter 60 of the laws of 2015, 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
[$155,600,000] $167,600,000, 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
including  IT initiatives for the division of state police, 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 subdivi-
sion (b) of this section and such bonds and notes shall contain  on  the
face  thereof a statement to such effect. Except for purposes of comply-
ing with the internal revenue code, any interest income earned  on  bond
proceeds shall only be used to pay debt service on such bonds.
  S  35.  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  32 of part I of chapter 60 of the laws of 2015, 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, the New York works economic development  fund,  projects  for  the
retention of professional football in western New York, the empire state
economic  development  fund,  the  clarkson-trudeau partnership, the New
York genome center, the cornell university college of  veterinary  medi-
cine,  the  olympic  regional  development  authority, a project at nano
Utica, onondaga county revitalization  projects,  Binghamton  university
school of pharmacy, New York power electronics manufacturing consortium,
regional  infrastructure projects, 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 [two] THREE billion
[eight] SIX  hundred  [eighty-eight]  FIFTY-THREE  million  two  hundred
fifty-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

A. 9005--B                         53

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,  the  New
York  works  economic  development  fund,  projects for the retention of
professional football in western New York,  the  empire  state  economic
development  fund, the clarkson-trudeau partnership, the New York genome
center, the cornell university college of veterinary medicine, the olym-
pic regional development authority, a project at  nano  Utica,  onondaga
county  revitalization projects, Binghamton university school of pharma-
cy,  New  York  power  electronics  manufacturing  consortium,  regional
infrastructure  projects  and  other  state  costs  associated 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  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.
  S 36. Subdivision 3 of section 1285-p of the public  authorities  law,
as amended by section 33 of part I of chapter 60 of the laws of 2015, is
amended to read as follows:
  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]  TWO  billion  [seven  hundred  seventy-five]
FIFTY-EIGHT million [seven] TWO hundred sixty thousand  dollars,  exclu-
sive  of  bonds issued to fund any debt service reserve funds, pay costs
of issuance of such bonds, and bonds or notes issued to refund or other-
wise 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
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 37. 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 34 of part I of chapter 60 of the laws
of 2015, is amended to read as follows:

A. 9005--B                         54

  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
[$440,000,000]  $550,000,000, 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
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  38.  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 35 of
part I of chapter 60 of the laws of 2015, 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 $197,000,000 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 [$469,800,000] $509,600,000, 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 39. Subdivision 1 of section 386-b of the public authorities law, as
amended  by  section  36 of part I of chapter 60 of the laws of 2015, is
amended to read as follows:
  1. Notwithstanding any other provision of law  to  the  contrary,  the
authority, the dormitory authority and the urban development corporation

A. 9005--B                         55

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,
Indian reservation roads, and facilities, and transportation infrastruc-
ture   projects   including  aviation  projects,  non-MTA  mass  transit
projects, and rail service preservation projects, including work  appur-
tenant  and  ancillary  thereto. The aggregate principal amount of bonds
authorized to be issued pursuant to this section shall not exceed  [one]
TWO  billion  [six  hundred  ninety]  SEVEN  HUNDRED TWENTY-FIVE million
dollars [$1,690,000,000] $2,725,000,000, 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  authori-
ty,  the  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  40.  Paragraph  (c) of subdivision 19 of section 1680 of the public
authorities law, as amended by section 37 of part I of chapter 60 of the
laws of 2015, 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 [eleven] TWELVE billion [two hundred  twenty-eight]  TWENTY-THREE
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

A. 9005--B                         56

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 41. Paragraph (c) of subdivision 14 of section 1680  of  the  public
authorities law, as amended by section 38 of part I of chapter 60 of the
laws of 2015, 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 seven billion [three]  EIGHT  hundred
[ninety-two]  NINETY-FOUR  million  [seven]  THREE hundred [fifty-three]
NINETY-ONE thousand dollars. The legislature reserves the right to amend
or repeal such limit, and the state of New York, the dormitory  authori-
ty, 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  42. Subdivision 10-a of section 1680 of the public authorities law,
as amended by section 39 of part I of chapter 60 of the laws of 2015, 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 eight hundred [thir-
ty-eight] SIXTY-FOUR million four hundred [fifty-eight] FIFTY-FOUR thou-
sand dollars. Such amount shall be exclusive of bonds and  notes  issued
to  fund  any reserve fund or funds, costs of issuance and to refund any

A. 9005--B                         57

outstanding bonds and notes, issued on behalf of the state, relating  to
a locally sponsored community college.
  S 43. Subdivision 1 of section 17 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  41  of  part I of chapter 60 of the laws of 2015, 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
hereby  authorized  to  issue  bonds,  notes and other obligations in an
aggregate principal amount not to exceed six hundred [eleven] FORTY-SEV-
EN  million  [two   hundred   fifteen]   SIXTY-FIVE   thousand   dollars
[($611,215,000)]   ($647,065,000),  which  authorization  increases  the
aggregate principal amount of bonds, notes and other obligations author-
ized by section 40 of chapter 309 of the laws of 1996, and shall include
all bonds, notes and other obligations issued pursuant to chapter 211 of
the laws of 1990, as amended  or  supplemented.  The  proceeds  of  such
bonds, notes or other obligations shall be paid to the state, for depos-
it  in  the  youth  facilities  improvement  fund, to pay for all or any
portion of the amount or amounts paid by the state  from  appropriations
or  reappropriations  made to the office of children and family services
from the youth facilities improvement fund  for  capital  projects.  The
aggregate  amount of bonds, notes and 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 office  of  children  and
family  services;  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 hundred [eleven]
FORTY-SEVEN million [two hundred fifteen]  SIXTY-FIVE  thousand  dollars
[($611,215,000)] ($647,065,000), 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 44. Paragraph b of subdivision 2 of section  9-a  of  section  1  of
chapter 392 of the laws of 1973, constituting the New York state medical
care  facilities  finance agency act, as amended by section 42 of part I
of chapter 60 of the laws of 2015, is amended to read as follows:
  b. The agency shall have power and is hereby authorized from  time  to
time  to  issue negotiable bonds and notes in conformity with applicable

A. 9005--B                         58

provisions of the uniform commercial code in such principal  amount  as,
in  the  opinion  of  the  agency, shall be necessary, after taking into
account other moneys which may be available for the purpose, to  provide
sufficient  funds  to  the  facilities  development  corporation, or any
successor agency, for the financing or refinancing of or for the design,
construction, acquisition, reconstruction, rehabilitation or improvement
of mental health services facilities pursuant to  paragraph  a  of  this
subdivision,  the payment of interest on mental health services improve-
ment bonds and mental health services improvement notes issued for  such
purposes,  the establishment of reserves to secure such bonds and notes,
the cost or premium of bond insurance or  the  costs  of  any  financial
mechanisms  which  may  be used to reduce the debt service that would be
payable by the agency on its mental health services facilities  improve-
ment  bonds  and notes and all other expenditures of the agency incident
to and necessary or convenient to providing the  facilities  development
corporation,  or  any  successor agency, with funds for the financing or
refinancing of or for any such design, construction, acquisition, recon-
struction, rehabilitation or improvement and for the refunding of mental
hygiene improvement bonds issued pursuant to section 47-b of the private
housing finance law; provided, however, that the agency shall not  issue
mental  health  services  facilities improvement bonds and mental health
services facilities improvement notes in an aggregate  principal  amount
exceeding  [seven]  EIGHT  billion [seven hundred twenty-two] TWENTY-ONE
million eight hundred fifteen thousand dollars, excluding mental  health
services facilities improvement bonds and mental health services facili-
ties  improvement  notes  issued  to  refund  outstanding  mental health
services facilities improvement bonds and mental health services facili-
ties improvement notes; provided, however, that upon any such  refunding
or  repayment  of  mental  health  services facilities improvement bonds
and/or mental health services facilities  improvement  notes  the  total
aggregate principal amount of outstanding mental health services facili-
ties  improvement  bonds  and mental health facilities improvement notes
may be greater than [seven] EIGHT  billion  [seven  hundred  twenty-two]
TWENTY-ONE  million  eight  hundred  fifteen  thousand  dollars only if,
except as hereinafter provided with respect to  mental  health  services
facilities  bonds  and mental health services facilities notes issued to
refund mental hygiene improvement bonds authorized to be issued pursuant
to the provisions of section 47-b of the private  housing  finance  law,
the  present  value  of  the  aggregate debt service of the refunding or
repayment bonds to be issued shall not exceed the present value  of  the
aggregate  debt  service  of  the  bonds  to  be refunded or repaid. For
purposes hereof, the present values 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 obli-
gations, 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 thereof 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  authority including estimated accrued interest from the sale there-
of. Such bonds, other than bonds issued  to  refund  outstanding  bonds,
shall  be  scheduled  to  mature  over  a term not to exceed the average
useful life, as certified by the facilities development corporation,  of

A. 9005--B                         59

the  projects  for which the bonds are issued, and in any case shall not
exceed thirty years and the maximum maturity of notes  or  any  renewals
thereof  shall not exceed five years from the date of the original issue
of such notes. Notwithstanding the provisions of this section, the agen-
cy  shall have the power and is hereby authorized to issue mental health
services facilities improvement  bonds  and/or  mental  health  services
facilities  improvement  notes  to  refund  outstanding  mental  hygiene
improvement bonds authorized to be issued pursuant to the provisions  of
section  47-b of the private housing finance law and the amount of bonds
issued or outstanding for  such  purposes  shall  not  be  included  for
purposes  of  determining  the  amount  of bonds issued pursuant to this
section. The director of the budget shall allocate the aggregate princi-
pal authorized to be issued by the agency among  the  office  of  mental
health,  office  for  people  with  developmental  disabilities, and the
office of alcoholism and substance abuse services, in consultation  with
their respective commissioners to finance bondable appropriations previ-
ously approved by the legislature.
  S  45.  Paragraph  (b) of subdivision 3 of section 1 and clause (B) of
subparagraph (iii) of paragraph (j) of subdivision 4  of  section  1  of
part D of chapter 63 of the laws of 2005 relating to the composition and
responsibilities of the New York state higher education capital matching
grant  board,  as  amended  by section 43 of part I of chapter 60 of the
laws of 2015, is amended to read as follows:
  (b) Within amounts appropriated therefor, the board is hereby  author-
ized  and  directed  to award matching capital grants totaling [210] 240
million dollars. Each college shall be eligible for a grant award amount
as determined by the calculations pursuant to subdivision five  of  this
section.  In  addition,  such  colleges shall be eligible to compete for
additional funds pursuant to paragraph (h) of subdivision four  of  this
section.
  (B)  The  dormitory authority shall not issue any bonds or notes in an
amount in excess of [210] 240 million dollars for the purposes  of  this
section;  excluding  bonds  or  notes  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. Except for purposes of complying with the internal revenue
code,  any  interest  on  bond  proceeds  shall only be used to pay debt
service on such bonds.
  S 46. Intentionally omitted.
  S 46-a. Subdivision 1 of section 51 of section 1 of chapter 174 of the
laws of 1968, constituting the New York state urban  development  corpo-
ration  act,  as added by section 26 of part I of chapter 60 of the laws
of 2015, is amended to read as follows:
  1. Notwithstanding the provisions of any other law  to  the  contrary,
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  funding  project  costs  for  the  nonprofit  infrastructure capital
investment program and other state costs associated  with  such  capital
projects.  The  aggregate  principal  amount  of  bonds authorized to be
issued pursuant to this section shall not  exceed  [fifty]  ONE  HUNDRED
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  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

A. 9005--B                         60

other  than  those  appropriated by the state to the 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 46-b. Subdivision 1 of section 1680-r of the public authorities law,
as amended by section 40 of part I of chapter 60 of the laws of 2015, is
amended to read as follows:
  1. Notwithstanding the provisions of any other law  to  the  contrary,
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 funding project costs for the capital restructuring financing program
for  health  care and related facilities licensed pursuant to the public
health law or the mental hygiene law and other  state  costs  associated
with  such  capital projects and the health care facility transformation
program. The aggregate principal amount of bonds authorized to be issued
pursuant to this section shall not exceed two billion [two] FOUR hundred
FIFTY-FIVE 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 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  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  47.  This  act shall take effect immediately and shall be deemed to
have been in full force and effect on and after April 1, 2016; provided,
however, with the exception of item 5 of the miscellaneous category  set
forth  within  section  two  of this act, the provisions of sections one
through eight, and sections twelve through  twenty  of  this  act  shall
expire  March  31,  2017,  when  upon  such  date the provisions of such
sections shall be deemed repealed.

                                 PART O

  Section 1. Paragraph 1 of subdivision  2-a  of  section  19-a  of  the
public lands law, as amended by section 1 of part T of chapter 55 of the
laws of 2013, is amended to read as follows:
  (1)  Notwithstanding any provision of this section to the contrary, in
addition to state aid otherwise payable pursuant to this section,  there
shall be payable to any city located in a county in which there has been
constructed  a  state  office  building  project  in accordance with the
provisions of chapter one hundred fifty-two  of  the  laws  of  nineteen
hundred  sixty-four,  as  amended, and pursuant to an agreement entitled
the "South Mall contract" dated May eleventh,  nineteen  hundred  sixty-
five, state aid in accordance with the following schedule:
               State Fiscal Year
                                   Amount

A. 9005--B                         61

               2000-2001           $4,500,000
               2001-2002           $4,500,000
               2002-2003           $4,500,000
               2003-2004           $9,850,000
               2004-2005           $16,850,000
               2005-2006           $22,850,000
               2006-2007           $22,850,000
               2007-2008           $22,850,000
               2008-2009           $22,850,000
               2009-2010           $22,850,000
               2010-2011           $22,850,000
               2011-2012           $15,000,000
               2012-2013           $22,850,000
               2013-2014           $22,850,000
               2014-2015           $15,000,000
               2015-2016           $15,000,000
               2016-2017           [$15,000,000] $27,500,000
               2017-2018           $15,000,000
               2018-2019           $15,000,000
               2019-2020           $15,000,000
               2020-2021           $15,000,000
               2021-2022           $15,000,000
               2022-2023           $15,000,000
               2023-2024           $15,000,000
               2024-2025           $15,000,000
               2025-2026           $15,000,000
               2026-2027           $15,000,000
               2027-2028           $15,000,000
               2028-2029           $15,000,000
               2029-2030           $15,000,000
               2030-2031           $15,000,000
               2031-2032           [$7,150,000] $1,800,000
               [2032-2033          $7,150,000]
  S  2.  This  act  shall take effect immediately and shall be deemed to
have been in full force and effect on and after April 1, 2016.

                                 PART P

                          Intentionally Omitted

                                 PART Q

  Section 1.  The public service law is amended by adding a new  article
1-A to read as follows:
                               ARTICLE 1-A
            THE STATE OFFICE OF THE UTILITY CONSUMER ADVOCATE
SECTION 28-A. DEFINITIONS.
        28-B. ESTABLISHMENT  OF THE STATE OFFICE OF THE UTILITY CONSUMER
                ADVOCATE.
        28-C. POWERS OF THE STATE OFFICE OF THE UTILITY  CONSUMER  ADVO-
                CATE.
        28-D. REPORTS.
  S  28-A.  DEFINITIONS.  WHEN  USED IN THIS ARTICLE:   (A) "DEPARTMENT"
MEANS THE DEPARTMENT OF PUBLIC SERVICE.
  (B) "COMMISSION" MEANS THE PUBLIC SERVICE COMMISSION.

A. 9005--B                         62

  (C) "RESIDENTIAL UTILITY CUSTOMER" MEANS ANY PERSON  WHO  IS  SOLD  OR
OFFERED FOR SALE RESIDENTIAL UTILITY SERVICE BY A UTILITY COMPANY.
  (D)  "UTILITY  COMPANY" MEANS ANY PERSON OR ENTITY OPERATING AN AGENCY
FOR PUBLIC SERVICE, INCLUDING, BUT NOT  LIMITED  TO,  THOSE  PERSONS  OR
ENTITIES  SUBJECT  TO  THE  JURISDICTION,  SUPERVISION  AND  REGULATIONS
PRESCRIBED BY OR PURSUANT TO THE PROVISIONS OF THIS CHAPTER.
  S 28-B. ESTABLISHMENT OF THE STATE  OFFICE  OF  THE  UTILITY  CONSUMER
ADVOCATE.  THERE IS ESTABLISHED THE STATE OFFICE OF THE UTILITY CONSUMER
ADVOCATE TO REPRESENT THE INTERESTS OF  RESIDENTIAL  UTILITY  CUSTOMERS.
THE  UTILITY  CONSUMER  ADVOCATE SHALL BE APPOINTED BY THE GOVERNOR TO A
TERM OF SIX YEARS, UPON THE ADVICE AND CONSENT OF THE SENATE. THE UTILI-
TY CONSUMER ADVOCATE SHALL POSSESS KNOWLEDGE AND EXPERIENCE  IN  MATTERS
AFFECTING RESIDENTIAL UTILITY CUSTOMERS AND SHALL BE RESPONSIBLE FOR THE
DIRECTION,  CONTROL,  AND  OPERATION  OF THE STATE OFFICE OF THE UTILITY
CONSUMER ADVOCATE, INCLUDING  ITS  HIRING  OF  STAFF  AND  RETENTION  OF
EXPERTS  FOR ANALYSIS AND TESTIMONY IN PROCEEDINGS. THE UTILITY CONSUMER
ADVOCATE SHALL NOT BE REMOVED FOR CAUSE, BUT MAY BE REMOVED  ONLY  AFTER
NOTICE  AND  OPPORTUNITY TO BE HEARD, AND ONLY FOR PERMANENT DISABILITY,
MALFEASANCE, A FELONY, OR CONDUCT INVOLVING MORAL TURPITUDE. EXERCISE OF
INDEPENDENT JUDGMENT IN ADVOCATING POSITIONS ON  BEHALF  OF  RESIDENTIAL
UTILITY  CUSTOMERS SHALL NOT CONSTITUTE CAUSE FOR REMOVAL OF THE UTILITY
CONSUMER ADVOCATE.
  S 28-C.  POWERS OF THE STATE OFFICE OF THE UTILITY CONSUMER  ADVOCATE.
THE  STATE  OFFICE OF THE UTILITY CONSUMER ADVOCATE SHALL HAVE THE POWER
AND DUTY TO: (A) INITIATE, INTERVENE IN, OR  PARTICIPATE  ON  BEHALF  OF
RESIDENTIAL  UTILITY CUSTOMERS IN ANY PROCEEDINGS BEFORE THE COMMISSION,
THE FEDERAL ENERGY REGULATORY  COMMISSION,  THE  FEDERAL  COMMUNICATIONS
COMMISSION, FEDERAL, STATE AND LOCAL ADMINISTRATIVE AND REGULATORY AGEN-
CIES,  AND STATE AND FEDERAL COURTS IN ANY MATTER OR PROCEEDING THAT MAY
SUBSTANTIALLY AFFECT THE INTERESTS  OF  RESIDENTIAL  UTILITY  CUSTOMERS,
INCLUDING,  BUT  NOT  LIMITED  TO,  A PROPOSED CHANGE OF RATES, CHARGES,
TERMS AND CONDITIONS OF SERVICE, THE  ADOPTION  OF  RULES,  REGULATIONS,
GUIDELINES, ORDERS, STANDARDS OR FINAL POLICY DECISIONS WHERE THE UTILI-
TY  CONSUMER  ADVOCATE  DEEMS  SUCH  INITIATION, INTERVENTION OR PARTIC-
IPATION TO BE NECESSARY OR APPROPRIATE;
  (B) REPRESENT THE INTERESTS OF RESIDENTIAL UTILITY  CUSTOMERS  OF  THE
STATE  BEFORE  FEDERAL,  STATE  AND  LOCAL ADMINISTRATIVE AND REGULATORY
AGENCIES ENGAGED IN THE REGULATION OF ENERGY, TELECOMMUNICATIONS, WATER,
AND OTHER UTILITY SERVICES, AND  BEFORE  STATE  AND  FEDERAL  COURTS  IN
ACTIONS  AND PROCEEDINGS TO REVIEW THE ACTIONS OF UTILITIES OR ORDERS OF
UTILITY REGULATORY AGENCIES. ANY ACTION OR  PROCEEDING  BROUGHT  BY  THE
UTILITY  CONSUMER  ADVOCATE BEFORE A COURT OR AN AGENCY SHALL BE BROUGHT
IN THE NAME OF THE STATE OFFICE OF THE UTILITY  CONSUMER  ADVOCATE.  THE
UTILITY  CONSUMER  ADVOCATE MAY JOIN WITH A RESIDENTIAL UTILITY CUSTOMER
OR GROUP OF RESIDENTIAL UTILITY CUSTOMERS IN BRINGING AN ACTION;
  (C) (I) IN ADDITION TO ANY OTHER AUTHORITY CONFERRED UPON THE  UTILITY
CONSUMER  ADVOCATE,  HE OR SHE IS AUTHORIZED, AND IT SHALL BE HIS OR HER
DUTY TO REPRESENT THE INTERESTS OF RESIDENTIAL UTILITY  CUSTOMERS  AS  A
PARTY,  OR  OTHERWISE  PARTICIPATE  FOR  THE PURPOSE OF REPRESENTING THE
INTERESTS OF SUCH CUSTOMERS BEFORE ANY AGENCIES OR COURTS. HE OR SHE MAY
INITIATE PROCEEDINGS IF IN HIS OR HER JUDGMENT DOING SO MAY BE NECESSARY
IN CONNECTION WITH ANY MATTER INVOLVING THE  ACTIONS  OR  REGULATION  OF
PUBLIC  UTILITY  COMPANIES WHETHER ON APPEAL OR OTHERWISE INITIATED. THE
UTILITY CONSUMER ADVOCATE MAY MONITOR ALL CASES BEFORE REGULATORY  AGEN-
CIES  IN THE UNITED STATES, INCLUDING THE FEDERAL COMMUNICATIONS COMMIS-
SION AND THE FEDERAL ENERGY REGULATORY COMMISSION THAT AFFECT THE INTER-

A. 9005--B                         63

ESTS OF RESIDENTIAL UTILITY CUSTOMERS OF  THE  STATE  AND  MAY  FORMALLY
PARTICIPATE  IN  THOSE PROCEEDINGS WHICH IN HIS OR HER JUDGMENT WARRANTS
SUCH PARTICIPATION.
  (II) THE UTILITY CONSUMER ADVOCATE SHALL EXERCISE HIS OR HER INDEPEND-
ENT  DISCRETION  IN  DETERMINING  THE  INTERESTS  OF RESIDENTIAL UTILITY
CUSTOMERS THAT WILL BE ADVOCATED  IN  ANY  PROCEEDING,  AND  DETERMINING
WHETHER  TO  PARTICIPATE IN OR INITIATE ANY PROCEEDING AND, IN SO DETER-
MINING, SHALL CONSIDER THE PUBLIC INTEREST, THE RESOURCES AVAILABLE, AND
THE SUBSTANTIALITY OF THE EFFECT OF THE PROCEEDING ON  THE  INTEREST  OF
RESIDENTIAL UTILITY CUSTOMERS;
  (D)  REQUEST  AND  RECEIVE  FROM ANY STATE OR LOCAL AUTHORITY, AGENCY,
DEPARTMENT OR DIVISION  OF  THE  STATE  OR  POLITICAL  SUBDIVISION  SUCH
ASSISTANCE,  PERSONNEL, INFORMATION, BOOKS, RECORDS, OTHER DOCUMENTATION
AND COOPERATION NECESSARY TO PERFORM ITS DUTIES; AND
  (E) ENTER INTO COOPERATIVE AGREEMENTS WITH OTHER GOVERNMENT OFFICES TO
EFFICIENTLY CARRY OUT ITS WORK.
  S 28-D. REPORTS. ON JULY FIRST, TWO THOUSAND  SEVENTEEN  AND  ANNUALLY
THEREAFTER,  THE  STATE  OFFICE  OF  THE UTILITY CONSUMER ADVOCATE SHALL
ISSUE A REPORT TO THE GOVERNOR AND THE LEGISLATURE, AND MAKE SUCH REPORT
AVAILABLE TO THE PUBLIC FREE OF CHARGE ON A PUBLICLY AVAILABLE  WEBSITE,
CONTAINING, BUT NOT LIMITED TO, THE FOLLOWING INFORMATION:
  (A)  ALL  PROCEEDINGS  THAT  THE  STATE OFFICE OF THE UTILITY CONSUMER
ADVOCATE PARTICIPATED IN AND THE OUTCOME OF  SUCH  PROCEEDINGS,  TO  THE
EXTENT OF SUCH OUTCOME AND IF NOT CONFIDENTIAL;
  (B)  ESTIMATED  SAVINGS TO RESIDENTIAL UTILITY CONSUMERS THAT RESULTED
FROM INTERVENTION BY THE STATE OFFICE OF THE UTILITY CONSUMER  ADVOCATE;
AND
  (C) POLICY RECOMMENDATIONS AND SUGGESTED STATUTORY AMENDMENTS THAT THE
STATE OFFICE OF THE UTILITY CONSUMER ADVOCATE DEEMS NECESSARY.
  S  2. This act shall take effect on the first of April next succeeding
the date on which it shall have become a law.

                                 PART R

  Section 1.  The public service law is amended by adding a new  section
24-c to read as follows:
  S  24-C.    UTILITY  INTERVENOR  REIMBURSEMENT.  1.    AS USED IN THIS
SECTION, THE FOLLOWING TERMS SHALL HAVE THE FOLLOWING MEANINGS:
  (A) "COMPENSATION" MEANS PAYMENT FROM THE UTILITY  INTERVENOR  ACCOUNT
FUND  ESTABLISHED BY SECTION NINETY-SEVEN-PPPP OF THE STATE FINANCE LAW,
FOR ALL OR PART, AS DETERMINED BY THE DEPARTMENT,  OF  REASONABLE  ADVO-
CATE'S  FEES, REASONABLE EXPERT WITNESS FEES, AND OTHER REASONABLE COSTS
FOR PREPARATION AND PARTICIPATION IN A PROCEEDING.
  (B) "PARTICIPANT" MEANS A GROUP OF PERSONS THAT APPLY JOINTLY  FOR  AN
AWARD OF COMPENSATION UNDER THIS SECTION AND WHO REPRESENT THE INTERESTS
OF A SIGNIFICANT NUMBER OF RESIDENTIAL OR SMALL BUSINESS CUSTOMERS, OR A
NOT-FOR-PROFIT  ORGANIZATION  IN  THIS  STATE AUTHORIZED PURSUANT TO ITS
ARTICLES OF INCORPORATION OR BYLAWS TO REPRESENT THE INTERESTS OF  RESI-
DENTIAL  OR  SMALL  BUSINESS  UTILITY  CUSTOMERS.  FOR  PURPOSES OF THIS
SECTION, A PARTICIPANT DOES NOT INCLUDE  A  NON-PROFIT  ORGANIZATION  OR
OTHER ORGANIZATION WHOSE PRINCIPAL INTERESTS ARE THE WELFARE OF A PUBLIC
UTILITY  OR  ITS  INVESTORS  OR EMPLOYEES, OR THE WELFARE OF ONE OR MORE
BUSINESSES OR INDUSTRIES WHICH RECEIVE UTILITY  SERVICE  ORDINARILY  AND
PRIMARILY  FOR  USE  IN  CONNECTION WITH THE PROFIT-SEEKING MANUFACTURE,
SALE, OR DISTRIBUTION OF GOODS OR SERVICES.

A. 9005--B                         64

  (C) "OTHER REASONABLE COSTS" MEANS REASONABLE  OUT-OF-POCKET  EXPENSES
DIRECTLY  INCURRED  BY  A  PARTICIPANT  THAT ARE DIRECTLY RELATED TO THE
CONTENTIONS OR RECOMMENDATIONS MADE BY THE PARTICIPANT THAT RESULTED  IN
A SUBSTANTIAL CONTRIBUTION.
  (D)  "PARTY" MEANS ANY INTERESTED PARTY, RESPONDENT PUBLIC UTILITY, OR
COMMISSION STAFF IN A HEARING OR PROCEEDING.
  (E) "PROCEEDING" MEANS A COMPLAINT, OR INVESTIGATION,  RULEMAKING,  OR
OTHER  FORMAL  PROCEEDING  BEFORE THE COMMISSION, OR ALTERNATIVE DISPUTE
RESOLUTION PROCEDURES IN LIEU OF FORMAL PROCEEDINGS AS MAY BE  SPONSORED
OR  ENDORSED  BY THE COMMISSION, PROVIDED HOWEVER SUCH PROCEEDINGS SHALL
BE LIMITED TO THOSE RELATING TO PUBLIC  UTILITIES  THAT  DISTRIBUTE  AND
DELIVER  GAS,  ELECTRICITY, OR STEAM WITHIN THIS STATE AND HAVING ANNUAL
REVENUES IN EXCESS OF TWO HUNDRED  MILLION  DOLLARS  ARISING  UNDER  AND
PROCEEDING  PURSUANT  TO THE FOLLOWING ARTICLES OF THIS CHAPTER: (1) THE
REGULATION OF THE PRICE OF GAS AND ELECTRICITY, PURSUANT TO ARTICLE FOUR
OF THIS CHAPTER; (2) THE REGULATION OF THE PRICE OF STEAM,  PURSUANT  TO
ARTICLE  FOUR-A  OF  THIS  CHAPTER;  (3)  THE SUBMETERING, REMETERING OR
RESALE OF ELECTRICITY  TO  RESIDENTIAL  PREMISES,  PURSUANT  TO  SECTION
SIXTY-FIVE  AND  SIXTY-SIX  OF THIS CHAPTER, AND PURSUANT TO REGULATIONS
REGARDING THE SUBMETERING, REMETERING, OR RESALE OF ELECTRICITY  ADOPTED
BY THE COMMISSION; AND (4) SUCH SECTIONS OF THIS CHAPTER AS ARE APPLICA-
BLE  TO  A  PROCEEDING  IN  WHICH  THE COMMISSION MAKES A FINDING ON THE
RECORD THAT THE PUBLIC INTEREST REQUIRES THE  REIMBURSEMENT  OF  UTILITY
INTERVENOR FEES PURSUANT TO THIS SECTION.
  (F)  "SIGNIFICANT  FINANCIAL HARDSHIP" MEANS THAT THE PARTICIPANT WILL
BE UNABLE TO AFFORD, WITHOUT UNDUE HARDSHIP, TO PAY THE COSTS OF  EFFEC-
TIVE  PARTICIPATION, INCLUDING ADVOCATE'S FEES, EXPERT WITNESS FEES, AND
OTHER REASONABLE COSTS OF PARTICIPATION.
  (G) "SMALL BUSINESS" MEANS A BUSINESS WITH A GROSS ANNUAL  REVENUE  OF
TWO HUNDRED FIFTY THOUSAND DOLLARS OR LESS.
  (H)  "SUBSTANTIAL  CONTRIBUTION"  MEANS  THAT,  IN THE JUDGMENT OF THE
DEPARTMENT, THE PARTICIPANT'S APPLICATION MAY SUBSTANTIALLY  ASSIST  THE
COMMISSION  IN  MAKING  ITS  DECISION  BECAUSE THE DECISION MAY ADOPT IN
WHOLE OR IN PART ONE OR MORE FACTUAL CONTENTIONS, LEGAL CONTENTIONS,  OR
SPECIFIC  POLICY OR PROCEDURAL RECOMMENDATIONS THAT WILL BE PRESENTED BY
THE PARTICIPANT.
  2. A PARTICIPANT MAY APPLY FOR AN AWARD  OF  COMPENSATION  UNDER  THIS
SECTION  IN  A  PROCEEDING  IN  WHICH SUCH PARTICIPANT HAS SOUGHT ACTIVE
PARTY STATUS AS DEFINED BY THE DEPARTMENT. THE DEPARTMENT  SHALL  DETER-
MINE  APPROPRIATE PROCEDURES FOR ACCEPTING AND RESPONDING TO SUCH APPLI-
CATIONS.  AT THE TIME OF APPLICATION, SUCH PARTICIPANT  SHALL  SERVE  ON
EVERY  PARTY TO THE PROCEEDING NOTICE OF INTENT TO APPLY FOR AN AWARD OF
COMPENSATION.
  AN APPLICATION SHALL INCLUDE:
  (A) A STATEMENT OF THE NATURE AND EXTENT AND  THE  FACTUAL  AND  LEGAL
BASIS  OF  THE  PARTICIPANT'S PLANNED PARTICIPATION IN THE PROCEEDING AS
FAR AS IT IS POSSIBLE TO DESCRIBE  SUCH  PARTICIPATION  WITH  REASONABLE
SPECIFICITY AT THE TIME THE APPLICATION IS FILED.
  (B) AT MINIMUM, A REASONABLY DETAILED DESCRIPTION OF ANTICIPATED ADVO-
CATES AND EXPERT WITNESS FEES AND OTHER COSTS OF PREPARATION AND PARTIC-
IPATION THAT THE PARTICIPANT EXPECTS TO REQUEST AS COMPENSATION.
  (C)  IF PARTICIPATION OR INTERVENTION WILL IMPOSE A SIGNIFICANT FINAN-
CIAL HARDSHIP AND THE PARTICIPANT SEEKS PAYMENT IN ADVANCE TO  AN  AWARD
OF COMPENSATION IN ORDER TO INITIATE, CONTINUE OR COMPLETE PARTICIPATION
IN  THE HEARING OR PROCEEDING, SUCH PARTICIPANT MUST INCLUDE EVIDENCE OF
SUCH SIGNIFICANT FINANCIAL HARDSHIP IN ITS APPLICATION.

A. 9005--B                         65

  (D) ANY OTHER REQUIREMENTS AS REQUIRED BY THE DEPARTMENT.
  3.  (A)  WITHIN  THIRTY  DAYS  AFTER  THE FILING OF AN APPLICATION THE
DEPARTMENT SHALL ISSUE A DECISION THAT DETERMINES  WHETHER  OR  NOT  THE
PARTICIPANT MAY MAKE A SUBSTANTIAL CONTRIBUTION TO THE FINAL DECISION IN
THE  HEARING OR PROCEEDING. IF THE DEPARTMENT FINDS THAT THE PARTICIPANT
REQUESTING COMPENSATION MAY MAKE A SUBSTANTIAL CONTRIBUTION, THE DEPART-
MENT SHALL DESCRIBE THIS  SUBSTANTIAL  CONTRIBUTION  AND  DETERMINE  THE
AMOUNT  OF  COMPENSATION TO BE PAID PURSUANT TO SUBDIVISION FOUR OF THIS
SECTION.
  (B) NOTWITHSTANDING SUBDIVISION FOUR OF THIS SECTION, IF  THE  DEPART-
MENT  FINDS  THAT  THE PARTICIPANT HAS A SIGNIFICANT FINANCIAL HARDSHIP,
THE DEPARTMENT MAY DIRECT THE PUBLIC UTILITY OR UTILITIES SUBJECT TO THE
PROCEEDING TO PAY ALL OR PART OF THE COMPENSATION TO THE  DEPARTMENT  TO
BE  PROVIDED  TO  THE PARTICIPANT PRIOR TO THE END OF THE PROCEEDING. IN
THE EVENT THAT THE PARTICIPANT DISCONTINUES  ITS  PARTICIPATION  IN  THE
PROCEEDING  WITHOUT  THE CONSENT OF THE DEPARTMENT, THE DEPARTMENT SHALL
BE ENTITLED TO, IN WHOLE OR IN PART, RECOVER ANY PAYMENTS MADE  TO  SUCH
PARTICIPANT  TO  BE  REFUNDED  TO  THE  PUBLIC UTILITY OR UTILITIES THAT
PROVIDED SUCH PAYMENT.
  (C) THE COMPUTATION OF COMPENSATION PURSUANT TO PARAGRAPH (A) OF  THIS
SUBDIVISION  SHALL  TAKE  INTO  CONSIDERATION  THE  MARKET RATES PAID TO
PERSONS  OF  COMPARABLE  TRAINING  AND  EXPERIENCE  WHO  OFFER   SIMILAR
SERVICES.  THE  COMPENSATION  AWARDED  MAY  NOT, IN ANY CASE, EXCEED THE
COMPARABLE MARKET RATE FOR SERVICES PAID BY THE DEPARTMENT OR THE PUBLIC
UTILITY, WHICHEVER IS GREATER, TO PERSONS  OF  COMPARABLE  TRAINING  AND
EXPERIENCE WHO ARE OFFERING SIMILAR SERVICES.
  (D)  ANY  COMPENSATION  AWARDED  TO A PARTICIPANT AND NOT USED BY SUCH
PARTICIPANT SHALL BE RETURNED TO THE DEPARTMENT FOR REFUND TO THE PUBLIC
UTILITY OR UTILITIES THAT PROVIDED SUCH PAYMENT.
  (E) THE DEPARTMENT SHALL REQUIRE  THAT  PARTICIPANTS  SEEKING  PAYMENT
MAINTAIN  AN ITEMIZED RECORD OF ALL EXPENDITURES INCURRED AS A RESULT OF
SUCH PROCEEDING.
  (I) THE DEPARTMENT MAY USE THE ITEMIZED RECORD OF EXPENSES  TO  VERIFY
THE  CLAIM OF FINANCIAL HARDSHIP BY A PARTICIPANT SEEKING PAYMENT PURSU-
ANT TO PARAGRAPH (C) OF SUBDIVISION TWO OF THIS SECTION.
  (II) THE DEPARTMENT MAY USE THE RECORD OF EXPENDITURES IN DETERMINING,
AFTER THE COMPLETION OF A PROCEEDING, IF ANY UNUSED FUNDS REMAIN.
  (III) THE DEPARTMENT SHALL PRESERVE THE CONFIDENTIALITY OF THE PARTIC-
IPANT'S RECORDS IN MAKING ANY AUDIT OR DETERMINING THE  AVAILABILITY  OF
FUNDS AFTER THE COMPLETION OF A PROCEEDING.
  (F)  IN  THE  EVENT THAT THE DEPARTMENT FINDS THAT TWO OR MORE PARTIC-
IPANTS' APPLICATIONS HAVE SUBSTANTIALLY SIMILAR INTERESTS,  THE  DEPART-
MENT  MAY REQUIRE SUCH PARTICIPANTS TO APPLY JOINTLY IN ORDER TO RECEIVE
COMPENSATION.
  4. ANY COMPENSATION PURSUANT TO THIS SECTION  SHALL  BE  PAID  AT  THE
CONCLUSION  OF THE PROCEEDING BY THE PUBLIC UTILITY OR UTILITIES SUBJECT
TO THE PROCEEDING WITHIN THIRTY DAYS. SUCH COMPENSATION SHALL BE  REMIT-
TED  TO  THE  DEPARTMENT WHICH SHALL THEN REMIT SUCH COMPENSATION TO THE
PARTICIPANT.
  5. THE DEPARTMENT SHALL DENY ANY AWARD TO ANY PARTICIPANT WHO ATTEMPTS
TO DELAY OR OBSTRUCT THE ORDERLY AND TIMELY FULFILLMENT OF  THE  DEPART-
MENT'S RESPONSIBILITIES.
  S  2. The state finance law is amended by adding a new section 97-pppp
to read as follows:
  S 97-PPPP. UTILITY INTERVENOR ACCOUNT. 1. THERE IS HEREBY  ESTABLISHED
IN  THE  JOINT  CUSTODY OF THE STATE COMPTROLLER AND THE COMMISSIONER OF

A. 9005--B                         66

TAXATION AND FINANCE A FUND  TO  BE  KNOWN  AS  THE  UTILITY  INTERVENOR
ACCOUNT.
  2.  SUCH ACCOUNT SHALL CONSIST OF ALL UTILITY INTERVENOR REIMBURSEMENT
MONIES RECEIVED FROM UTILITIES PURSUANT TO SECTION TWENTY-FOUR-C OF  THE
PUBLIC SERVICE LAW.
  S  3.  This  act shall take effect on the thirtieth day after it shall
have become a law.

                                 PART S

  Section 1. The opening paragraph of subdivision 3 of  section  5-a  of
the  legislative law, as amended by section 1 of part K of chapter 55 of
the laws of 2014, is amended to read as follows:
  Any member of the assembly serving in a special capacity in a position
set forth in the following schedule shall  be  paid  the  allowance  set
forth  in such schedule only for the legislative term commencing January
first, two thousand [fifteen] SEVENTEEN and terminating  December  thir-
ty-first, two thousand [sixteen] EIGHTEEN:
  S  2.  Section  13  of  chapter  141 of the laws of 1994, amending the
legislative law and the state finance law relating to the operation  and
administration  of the legislature, as amended by section 1 of part T of
chapter 56 of the laws of 2015, is amended to read as follows:
  S 13. This act shall take effect immediately and shall  be  deemed  to
have  been  in full force and effect as of April 1, 1994, provided that,
the provisions of section 5-a of  the  legislative  law  as  amended  by
sections two and two-a of this act shall take effect on January 1, 1995,
and provided further that, the provisions of article 5-A of the legisla-
tive  law  as  added  by section eight of this act shall expire June 30,
[2016] 2017 when upon such date the provisions of such article shall  be
deemed  repealed;  and  provided further that section twelve of this act
shall be deemed to have been in full force and effect on and after April
10, 1994.
  S 3.  This act shall take effect immediately,  provided,  however,  if
section  two  of  this  act  shall take effect on or after June 30, 2016
section two of this act shall be deemed to have been in full  force  and
effect on and after June 30, 2016.

                                 PART T

  Section  1.  Legislative  intent.  The  legislature  hereby  finds and
declares that it is in the public  interest  to  enact  a  cost  benefit
review  process  when  a state agency enters into contracts for personal
services. New York State spends over $3.5 billion annually  on  personal
service  contracts, over $840 million more than the State spent on these
contracts in SFY 2003-04, a 32% increase.  Despite  an  Executive  Order
that  has  implemented  a post contract review process for some personal
service contracts the cost of  those  contracts  continues  to  escalate
every  year well above the inflation rate. In addition the State Finance
Law does not require state agencies to compare the cost  or  quality  of
personal services to be provided by consultants with the cost or quality
of  providing  the same services by the state employees. Numerous audits
by the Office of State Comptroller as well as a KPMG study  commissioned
by  the  department  of transportation have found that consultants hired
under personal service contracts can  cost  between  fifty  percent  and
seventy-five  percent  more  than state employees that do the exact same
work including the cost of state employee benefits. The Contract Disclo-

A. 9005--B                         67

sure Law (Chapter 10 of the  laws  of  2006)  required  consultants  who
provide  personal  services to file forms for each contract that outline
how many consultants they hired, what titles they employed them  in  and
how  much they paid them. A review of these forms shows that the average
consultant makes about fifty percent more  than  state  employees  doing
comparable  work.  It  is  in  the public interest for state agencies to
compare the cost of doing work by consultants with the cost of doing the
same work with state employees as well as document whether or  not  such
work can be done by state employees.  If state government is to be smar-
ter,  more efficient, and transparent then a cost benefit analysis proc-
ess that makes its findings public should be required by law.
  S 2. Section 163 of the state finance law is amended by adding  a  new
subdivision 16 to read as follows:
  16.  CONSULTANT  SERVICES.  A.  BEFORE  A  STATE  AGENCY ENTERS INTO A
CONTRACT FOR CONSULTANT SERVICES WHICH IS ANTICIPATED TO COST MORE  THAN
TWO  HUNDRED  FIFTY  THOUSAND DOLLARS IN A TWELVE MONTH PERIOD THE STATE
AGENCY SHALL CONDUCT A COST COMPARISON REVIEW TO DETERMINE  WHETHER  THE
SERVICES  TO  BE PROVIDED BY THE CONSULTANT CAN BE PERFORMED AT EQUAL OR
LOWER COST BY UTILIZING STATE EMPLOYEES, UNLESS THE CONTRACT  MEETS  ONE
OF  THE EXCEPTIONS SET FORTH IN PARAGRAPH B OF THIS SUBDIVISION. AS USED
IN THIS SECTION, THE TERM "CONSULTANT SERVICES" SHALL MEAN ANY  CONTRACT
ENTERED  INTO  BY  A  STATE  AGENCY  FOR ANALYSIS, EVALUATION, RESEARCH,
TRAINING, DATA PROCESSING, COMPUTER PROGRAMMING,  ENGINEERING  INCLUDING
PROFESSIONAL  DESIGN  SERVICES, HEALTH SERVICES, MENTAL HEALTH SERVICES,
ACCOUNTING, AUDITING, OR SIMILAR SERVICES, BUT SHALL NOT  INCLUDE  LEGAL
SERVICES  OR  SERVICES  IN  CONNECTION  WITH LITIGATION INCLUDING EXPERT
WITNESSES AND SHALL NOT INCLUDE CONTRACTS  FOR  CONSTRUCTION  OF  PUBLIC
WORKS.  FOR  PURPOSES  OF  THIS SUBDIVISION, THE COSTS OF PERFORMING THE
SERVICES BY STATE EMPLOYEES SHALL INCLUDE ANY SALARY, PENSION COSTS, ALL
OTHER BENEFIT COSTS, COSTS THAT ARE REQUIRED FOR  EQUIPMENT,  FACILITIES
AND  ALL  OTHER OVERHEAD. THE COSTS OF CONSULTANT SERVICES SHALL INCLUDE
THE TOTAL COST OF THE CONTRACT INCLUDING COSTS  THAT  ARE  REQUIRED  FOR
EQUIPMENT,  FACILITIES  AND  ALL OTHER OVERHEAD AND ANY CONTINUING STATE
COSTS DIRECTLY ASSOCIATED WITH A CONTRACTOR PROVIDING A CONTRACTED FUNC-
TION INCLUDING, BUT NOT LIMITED TO, THOSE COSTS FOR  INSPECTION,  SUPER-
VISION,  MONITORING  OF  THE CONTRACTOR'S WORK AND ANY PRO RATA SHARE OF
EXISTING COSTS OR EXPENSES, INCLUDING ADMINISTRATIVE SALARIES AND  BENE-
FITS,  RENT,  EQUIPMENT COSTS, UTILITIES AND MATERIALS. THE COST COMPAR-
ISON SHALL BE EXPRESSED WHERE FEASIBLE AS AN HOURLY RATE, OR WHERE  SUCH
A  CALCULATION IS NOT FEASIBLE, AS A TOTAL ESTIMATED COST FOR THE ANTIC-
IPATED TERM OF THE CONTRACT.
  B. A COST COMPARISON SHALL NOT BE REQUIRED IF THE  CONTRACTING  AGENCY
DEMONSTRATES:
  (I)  THE  SERVICES  ARE INCIDENTAL TO THE PURCHASE OF REAL OR PERSONAL
PROPERTY; OR
  (II) THE CONTRACT IS NECESSARY IN ORDER TO AVOID A CONFLICT OF  INTER-
EST ON THE PART OF THE AGENCY OR ITS EMPLOYEES; OR
  (III)  THE SERVICES ARE OF SUCH A HIGHLY SPECIALIZED NATURE THAT IT IS
NOT FEASIBLE TO UTILIZE STATE  EMPLOYEES  TO  PERFORM  THEM  OR  REQUIRE
SPECIAL  EQUIPMENT  THAT  IS  NOT  FEASIBLE FOR THE STATE TO PURCHASE OR
LEASE; OR
  (IV) THE SERVICES ARE OF SUCH AN URGENT NATURE THAT IT IS NOT FEASIBLE
TO UTILIZE STATE EMPLOYEES; OR
  (V) THE SERVICES ARE ANTICIPATED TO BE SHORT TERM AND ARE  NOT  LIKELY
TO BE EXTENDED OR REPEATED AFTER THE CONTRACT IS COMPLETED; OR

A. 9005--B                         68

  (VI)  A QUANTIFIABLE IMPROVEMENT IN SERVICES THAT CANNOT BE REASONABLY
DUPLICATED.
  C. NOTHING IN THIS SECTION SHALL BE DEEMED TO AUTHORIZE A STATE AGENCY
TO ENTER INTO A CONTRACT WHICH IS OTHERWISE PROHIBITED BY LAW.
  D.  ALL  DOCUMENTS  RELATED  TO  THE  COST COMPARISON REQUIRED BY THIS
SUBDIVISION AND THE DETERMINATIONS MADE PURSUANT TO PARAGRAPH B OF  THIS
SUBDIVISION  SHALL  BE  PUBLIC RECORDS SUBJECT TO DISCLOSURE PURSUANT TO
ARTICLE SIX OF THE PUBLIC OFFICERS LAW.
  E. THIS ANALYSIS SHALL BE COMPLETED NO MORE THAN THIRTY DAYS AFTER  IT
COMMENCES  AND MUST BE INITIATED WITHIN THREE DAYS OF THE CONTRACT BEING
IDENTIFIED.
  S 3. On or before December 31, 2017 the  office  of  general  services
shall  prepare  a report, to be delivered to the governor, the temporary
president of the senate and the speaker of  the  assembly.  Such  report
shall include, but need not be limited to, an analysis of the effective-
ness  of  the  cost comparison study and an analysis of the cost savings
associated with performing such cost comparison.
  S 4. This act shall take effect on the ninetieth day  after  it  shall
have  become  a law and shall expire and be deemed repealed December 31,
2018; provided, however, that the amendments to section 163 of the state
finance law made by section two of this act shall not affect the  repeal
of such section and shall be deemed repealed therewith.

                                 PART U

  Section  1.  Paragraphs (b) and (c) of subdivision 3 of section 722 of
the county law, as amended by section 3 of part E of chapter 56  of  the
laws of 2010, are amended to read as follows:
  (b)  Any  plan  of  a bar association must receive the approval of the
[state administrator] OFFICE OF INDIGENT LEGAL SERVICES before the  plan
is placed in operation. In the county of Hamilton, representation pursu-
ant  to  a plan of a bar association in accordance with subparagraph (i)
of paragraph (a) of this subdivision may be by counsel furnished by  the
Fulton  county  bar  association pursuant to a plan of the Fulton county
bar association, following approval of the [state administrator]  OFFICE
OF  INDIGENT  LEGAL  SERVICES. When considering approval of an office of
conflict defender pursuant to this section,  the  [state  administrator]
OFFICE  OF  INDIGENT  LEGAL  SERVICES shall employ the guidelines IT HAS
HERETOFORE established [by the office of indigent legal services] pursu-
ant to paragraph (d) of subdivision three of section eight hundred thir-
ty-two of the executive law.
  (c) Any county operating an office of conflict defender, as  described
in  subparagraph  (ii) of paragraph (a) of this subdivision, as of March
thirty-first, two thousand ten may  continue  to  utilize  the  services
provided  by  such office provided that the county submits a plan to the
state administrator within one hundred eighty days after  the  promulga-
tion  of criteria for the provision of conflict defender services by the
office of indigent legal services. The  authority  to  operate  such  an
office  pursuant  to this paragraph shall expire when the state adminis-
trator (OR, ON OR AFTER APRIL FIRST, TWO THOUSAND SEVENTEEN, THE  OFFICE
OF  INDIGENT  LEGAL  SERVICES)  approves  or disapproves such plan. Upon
approval, the county is authorized to operate such office in  accordance
with paragraphs (a) and (b) of this subdivision.
  S  2.  Subdivision  3  of  section 722 of the county law is amended by
adding a new paragraph (d) to read as follows:

A. 9005--B                         69

  (D) FOR PURPOSES OF THIS SUBDIVISION, ANY PLAN OF  A  BAR  ASSOCIATION
APPROVED  HEREUNDER  PURSUANT  TO THIS SUBDIVISION, AS PROVIDED PRIOR TO
APRIL FIRST, TWO THOUSAND SEVENTEEN, SHALL REMAIN IN EFFECT UNTIL IT  IS
SUPERSEDED  BY  A PLAN APPROVED BY THE OFFICE OF INDIGENT LEGAL SERVICES
OR DISAPPROVED BY SUCH OFFICE.
  S 3. Subdivision 1 and paragraph (a) of subdivision 2 of section 722-f
of  the county law, subdivision 1 as added by chapter 761 of the laws of
1966 and as designated and paragraph (a) of subdivision 2  as  added  by
section  4  of  part J of chapter 62 of the laws of 2003, are amended to
read as follows:
  1. A public defender appointed pursuant to article eighteen-A of  this
chapter, a private legal aid bureau or society designated by a county or
city  pursuant to subdivision two of section seven hundred twenty-two of
this [chapter] ARTICLE, [and] an administrator of a plan of a bar  asso-
ciation appointed pursuant to subdivision three of section seven hundred
twenty-two  of this [chapter] ARTICLE AND AN OFFICE OF CONFLICT DEFENDER
ESTABLISHED PURSUANT TO SUCH SUBDIVISION shall  file  an  annual  report
with the [judicial conference] CHIEF ADMINISTRATOR OF THE COURTS AND THE
OFFICE  OF  INDIGENT  LEGAL SERVICES. SUCH REPORT SHALL BE FILED at such
times and in such detail and form as the [judicial conference] OFFICE OF
INDIGENT LEGAL SERVICES may direct.
  (a) The county executive or chief executive officer of each county or,
in the case of a county wholly contained within a city, such city  shall
file  an  annual  report  which specifies in detail and certifies to the
state comptroller the total expenditures of such county or city, identi-
fying "local funds", as defined in subdivision  [four]  TWO  of  section
ninety-eight-b  of the state finance law, state funds, federal funds and
funds received from a  "private  source"  as  described  in  subdivision
[four]  TWO  of  section  ninety-eight-b  of  the state finance law, for
providing legal representation to persons who were financially unable to
afford counsel, pursuant to this article. Such annual report, A COPY  OF
WHICH  ALSO  SHALL  BE FILED WITH THE OFFICE OF INDIGENT LEGAL SERVICES,
shall be made on a form developed for such purpose by  the  state  comp-
troller.
  S 4. This act shall take effect April 1, 2017.

                                 PART V

  Section  1.  The correction law is amended by adding a new section 135
to read as follows:
  S 135. BODY CAMERAS  FOR  CORRECTION  OFFICERS.  1.  THE  COMMISSIONER
SHALL,  AFTER  CONSULTATION WITH THE CHAIRMAN OF THE STATE COMMISSION OF
CORRECTIONS, ESTABLISH A PILOT PROGRAM PROVIDING FOR THE USE OF A  BODY-
WORN  PERSONAL  VIDEO  RECORDING  DEVICE  ON CERTAIN CORRECTION OFFICERS
ASSIGNED TO THE SUPERVISION OF GENERAL POPULATION INMATES AT  A  MAXIMUM
SECURITY  FACILITY.  NO FEWER THAN FIFTY CORRECTION OFFICERS IN A SINGLE
SHIFT SHALL BE SELECTED TO PARTICIPATE IN THIS PILOT PROGRAM. EACH OFFI-
CER CHOSEN SHALL WEAR A PERSONAL VIDEO RECORDING DEVICE AFFIXED  TO  HIS
OR  HER  UNIFORM  WHILE  ON  DUTY  IN THE FACILITY CHOSEN FOR SUCH PILOT
PROGRAM. THE PERSONAL VIDEO RECORDING DEVICE SHALL RECORD ALL THE INTER-
ACTIONS OF A CORRECTION OFFICER AND  INMATES  UNDER  HIS  OR  HER  CARE,
CUSTODY AND CONTROL.
  2.  THE  COMMISSIONER SHALL PROMULGATE RULES AND REGULATIONS NECESSARY
FOR THE USE OF PERSONAL VIDEO RECORDING DEVICES IN CORRECTIONAL SETTINGS
INCLUDING, BUT NOT LIMITED TO, A REQUIREMENT THAT ALL  VIDEO  RECORDINGS
BE  CATALOGUED AND MAINTAINED AS A RECORD BY THE DEPARTMENT FOR NOT LESS

A. 9005--B                         70

THAN SIX MONTHS. SUCH  RULES  AND  REGULATIONS  SHALL  PROVIDE  FOR  THE
PROTECTION  OF  PERSONAL  PRIVACY FOR THOSE PERSONS WHOSE ACTIONS MAY BE
RECORDED. NO PERSONAL VIDEO RECORDING DEVICES MAY BE USED AS A MEANS  TO
CONDUCT SURVEILLANCE UPON ANY INMATE, OFFICER OR EMPLOYEE OF THE DEPART-
MENT.  ALL RECORDINGS SHALL INCLUDE BOTH AUDIO AND VIDEO.  THE RULES AND
REGULATIONS PROMULGATED BY THE COMMISSIONER  PURSUANT  TO  THIS  SECTION
SHALL  APPLY TO THE PILOT PROGRAM ESTABLISHED BY SUBDIVISION ONE OF THIS
SECTION AND TO ANY OTHER USE OF  PERSONAL  VIDEO  RECORDING  DEVICES  IN
CORRECTIONAL FACILITIES.
  3.  ALL EQUIPMENT FOR THE PILOT PROGRAM ESTABLISHED IN SUBDIVISION ONE
OF THIS SECTION SHALL BE INSTALLED ON OR BEFORE  SIX  MONTHS  AFTER  THE
EFFECTIVE  DATE  OF  THIS SECTION. THE COMMISSIONER SHALL ISSUE A REPORT
WITHIN SIX MONTHS OF THE COMPLETION OF THE PILOT PROGRAM  DETAILING  THE
USE  OF  AND  EVALUATING  THE  EFFECTIVENESS OF PERSONAL VIDEO RECORDING
DEVICES INCLUDING WHAT IMPACT, IF ANY, THE  USE  OF  BODY-WORN  PERSONAL
CAMERAS  HAS  ON  ASSAULTIVE BEHAVIORS, SERIOUS INJURY, DEATH, AND OTHER
INDICATORS OF INCREASED PHYSICAL SAFETY OF INMATES, OFFICERS AND PERSON-
NEL, AND SHALL ALSO PROVIDE RELEVANT RECOMMENDATIONS.
  S 2. This act shall take effect on the one hundred eightieth day after
it shall have become a law.

                                 PART W

  Section 1. Section 2 of chapter 363 of the laws of 2010, amending  the
judiciary law relating to granting the chief administrator of the courts
the  authority to allow referees to determine applications for orders of
protection during the hours family court is in session,  as  amended  by
chapter 29 of the laws of 2014, is amended to read as follows:
  S  2.  This act shall take effect immediately; provided that paragraph
(n) of subdivision 2 of section 212 of the judiciary law,  as  added  by
section  one  of this act, shall expire and be deemed repealed September
1, [2016] 2018.
  S 2. Section 2 of chapter 219 of the laws of 2002, amending the  judi-
ciary law relating to the judicial hearing officer pilot program and the
powers  of  the chief administrator of the courts, as amended by chapter
29 of the laws of 2014, is amended to read as follows:
  S 2. This act shall take effect immediately and shall expire  [14]  16
years  after its effective date, when, upon such date, the provisions of
this act shall be deemed repealed.
  S 3. This act shall take effect immediately.

                                 PART X

  Section 1. Section 1000 of the retirement and social security law,  as
added  by  chapter  548  of  the laws of 2000, subdivision 9 as added by
chapter 547 of the laws of 2002 and subdivision 10 as added  by  chapter
18 of the laws of 2012, is amended to read as follows:
  S  1000.  Military  service  credit.  Notwithstanding  any  law to the
contrary, a member of a  public  retirement  system  of  the  state,  as
defined  in subdivision twenty-three of section five hundred one of this
chapter, shall be eligible for credit for military service as hereinaft-
er provided:
  1. A member, upon application to such retirement system, may obtain  a
total  not to exceed three years of service credit for up to three years
of military duty, as defined in section two hundred forty-three  of  the
military  law,  if the member was honorably discharged from the military

A. 9005--B                         71

[and all or part of  such  military  service  was  rendered  during  the
following  periods:  (a)  commencing  December seventh, nineteen hundred
forty-one  and  terminating  December  thirty-first,  nineteen   hundred
forty-six;  (b)  commencing  June twenty-seventh, nineteen hundred fifty
and terminating January thirty-first, nineteen  hundred  fifty-five;  or
(c)  commencing  February  twenty-eighth, nineteen hundred sixty-one and
terminating May seventh, nineteen hundred seventy-five;
  2. A member, upon application to such retirement system, may obtain  a
total  not to exceed three years of service credit for up to three years
of military duty, as defined in section two hundred forty-three  of  the
military  law, if honorably discharged therefrom, if all or part of such
services was rendered in the military  conflicts  referenced  below,  as
follows:
  (a)  hostilities  participated in by the military forces of the United
States in Lebanon, from the first day of June, nineteen hundred  eighty-
three  to  the  first day of December, nineteen hundred eighty-seven, as
established by receipt of the armed forces expeditionary medal, the navy
expeditionary medal, or the marine corps expeditionary medal;
  (b) hostilities participated in by the military forces of  the  United
States  in  Grenada,  from  the  twenty-third  day  of October, nineteen
hundred eighty-three to  the  twenty-first  day  of  November,  nineteen
hundred  eighty-three,  as  established  by  receipt of the armed forces
expeditionary medal, the navy expeditionary medal, or the  marine  corps
expeditionary medal;
  (c)  hostilities  participated in by the military forces of the United
States in Panama, from the twentieth day of December,  nineteen  hundred
eighty-nine to the thirty-first day of January, nineteen hundred ninety,
as  established  by receipt of the armed forces expeditionary medal, the
navy expeditionary medal, or the marine corps expeditionary medal; or
  (d) hostilities participated in by the military forces of  the  United
States,  from  the second day of August, nineteen hundred ninety, to the
end of such hostilities in case of a veteran who served in  the  theater
of  operations including Iraq, Kuwait, Saudi Arabia, Bahrain, Qatar, the
United Arab Emirates, Oman, the Gulf of Aden,  the  Gulf  of  Oman,  the
Persian Gulf, the Red Sea, and the airspace above these locations].
  [3] 2. A member must have at least five years of credited service (not
including  service  granted  hereunder) to be eligible to receive credit
under this section.
  [4] 3. To obtain such credit,  a  member  shall  pay  such  retirement
system,  for  deposit  in  the fund used to accumulate employer contrib-
utions, a sum equal to the product of the number of  years  of  military
service  being  claimed  and three percent of such member's compensation
earned during the twelve months of credited service immediately  preced-
ing  the  date  that  the member made application for credit pursuant to
this section. If permitted by  rule  or  regulation  of  the  applicable
retirement  system,  the  member  may  pay  such member costs by payroll
deduction for a period which shall not exceed the time period  of  mili-
tary  service  to be credited pursuant to this section. In the event the
member leaves the employer payroll prior to completion of payment, he or
she shall forward all remaining required  payments  to  the  appropriate
retirement system prior to the effective date of retirement. If the full
amount  of  such  member costs is not paid to the appropriate retirement
system prior to the member's retirement, the amount of service  credited
shall  be proportional to the total amount of the payments made prior to
retirement.

A. 9005--B                         72

  [5] 4. In no event shall the credit granted pursuant to this  section,
when  added  to  credit granted for military service with any retirement
system of this state pursuant to this or any  other  provision  of  law,
exceed a total of three years.
  [6]  5.  To  be  eligible to receive credit for military service under
this section, a member must make application for such credit before  the
effective  date of retirement. [Notwithstanding the foregoing provisions
of this subdivision, an individual who  retired  on  or  after  December
twenty-first,  nineteen  hundred  ninety-eight  and before the effective
date of this section may make application for credit  pursuant  to  this
section within one year following the effective date of this section, in
which  event, the cost to the retiree would be based on the twelve month
period immediately preceding retirement.]
  [7] 6. All costs for service credited to a  member  pursuant  to  this
section,  other  than the member costs set forth in subdivision three of
this section, shall be paid by the state and all employers which partic-
ipate in the retirement system in which such member is granted credit.
  [8] 7. A member who has purchased military service credit pursuant  to
section  two  hundred forty-four-a of the military law shall be entitled
to a refund of the difference between the amount paid by the member  for
such  purchase  and the amount that would be payable if service had been
purchased pursuant to this section.
  [9] 8. Notwithstanding any other provision of law,  in  the  event  of
death  prior  to retirement, amounts paid by the member for the purchase
of military service credit pursuant to this section shall  be  refunded,
with  interest,  to  the extent the military service purchased with such
amounts does not produce a greater death benefit than  would  have  been
payable had the member not purchased such credit.
  Notwithstanding  any  other  provision of law, in the event of retire-
ment, amounts paid by the member for the purchase  of  military  service
credit pursuant to this section shall be refunded, with interest, to the
extent the military service purchased with such amounts does not produce
a  greater  retirement  allowance  than  would have been payable had the
member not purchased such credit.
  [10.] 9. Anything to the contrary in subdivision [four] THREE of  this
section notwithstanding, to obtain such credit, a member who first joins
a  public  retirement  system  of the state on or after April first, two
thousand twelve shall pay such retirement system,  for  deposit  in  the
fund used to accumulate employer contributions, a sum equal to the prod-
uct  of  the  number  of years of military service being claimed and six
percent of such member's compensation earned during the twelve months of
credited service immediately preceding the date  that  the  member  made
application for credit pursuant to this section.
  S  2.    The sum of twenty-four million eight hundred thousand dollars
($24,800,000), or so much thereof as may be necessary, is hereby  appro-
priated  to the department of audit and control out of any moneys in the
state treasury in the general fund to the credit of the  state  purposes
account, not otherwise appropriated, and made immediately available, for
the  purpose  of  carrying  out the provisions of this act.  Such moneys
shall be payable on the audit and warrant of the comptroller on vouchers
certified or approved by the head of the appropriate  public  retirement
system in the manner prescribed by law.
  S 3. This act shall take effect immediately.
  FISCAL NOTE.-- Pursuant to Legislative Law, Section 50:
  This  bill  would  allow  up  to three (3) years of service credit for
military duty by removing all existing requirements that  such  military

A. 9005--B                         73

service  be performed during certain war periods, during certain hostil-
ities while in the theater of operations or upon receipt of  an  expedi-
tionary  medal. However, the total service credit granted for active and
peacetime  military  service  shall  not exceed three (3) years. Members
must have at least five years of credited service (not  including  mili-
tary  service).  Tier 1-5 members would be required to make a payment of
three percent of their most recent compensation per year  of  additional
service credit granted by this bill. Tier 6 members would be required to
make a payment of six percent of their most recent compensation per year
of additional service credit.
  If this bill is enacted, insofar as this proposal affects the New York
State and Local Employees' Retirement System (ERS), it is estimated that
the past service cost will average approximately 15% (12% for Tier 6) of
an  affected  members'  compensation for each year of additional service
credit that is purchased.
  Insofar as this proposal affects the New York State and  Local  Police
and Fire Retirement System (PFRS), it is estimated that the past service
cost  will  average  approximately  19%  (16% for Tier 6) of an affected
members' compensation for  each  year  of  additional  service  that  is
purchased.
  The  exact  number  of  current  members as well as future members who
could be affected by this legislation cannot be readily determined.
  ERS costs would be borne entirely by the State of New  York.  Since  a
member  can  apply  for this service credit at any time prior to retire-
ment, a precise cost can't be determined until each member, as  well  as
future  members,  applies for the service credit. Every year a cost will
be determined (and billed to the state) based on those  benefiting  from
this provision.
  PFRS  costs  would  be shared by the State of New York and the partic-
ipating employers in the PFRS.
  Summary of relevant resources:
  The membership data used in  measuring  the  impact  of  the  proposed
change  was  the same as that used in the March 31, 2015 actuarial valu-
ation.  Distributions and other statistics can  be  found  in  the  2015
Report  of  the  Actuary  and  the  2015  Comprehensive Annual Financial
Report.
  The actuarial assumptions and methods used are described in  the  2015
Annual Report to the Comptroller on Actuarial Assumptions, and the Codes
Rules and Regulations of the State of New York: Audit and Control.
  The Market Assets and GASB Disclosures are found in the March 31, 2015
New  York  State  and  Local  Retirement System Financial Statements and
Supplementary Information.
  I am a member of the American Academy of Actuaries and meet the Quali-
fication Standards to render the actuarial opinion contained herein.
  This estimate, dated January 14, 2016 and intended for use only during
the 2016 Legislative Session, is Fiscal Note No.  2016-25,  prepared  by
the Actuary for the New York State and Local Retirement System.
  FISCAL NOTE.-- Pursuant to Legislative Law, Section 50:
  With respect to certain New York City Retirement Systems (NYCRS), this
proposed  legislation  would  amend New York State Retirement and Social
Security Law (RSSL) Section 1000 to provide certain members of  the  New
York  City  Employees'  Retirement  System  (NYCERS),  the New York City
Teachers' Retirement System (NYCTRS), the New York City Board of  Educa-
tion  Retirement  System  (BERS),  the New York City Police Pension Fund
(POLICE) and the New York Fire Department Pension Fund  (FIRE),  collec-
tively, the New York City Retirement Systems (NYCRS), the opportunity to

A. 9005--B                         74

obtain  additional  retirement  service  credits  for  certain  Military
Service.
  This  proposed legislation would permit any NYCRS member, prior to the
effective date of retirement, to make application for  these  additional
service credits.
  To  obtain such Military Service credits, members would be required to
pay to  the  appropriate  NYCRS,  for  each  year  of  Military  Service
purchased,  a  sum equal to 3.0% (6.0% for members who first join on and
after April 1, 2012) of such member's  compensation  earned  during  the
twelve  months  of  credited service immediately preceding the date that
the member makes application for credit.
  MEMBERS IMPACTED: Insofar as this proposed legislation relates to  the
NYCRS,  the  number  of  members who could potentially benefit from this
proposed legislation cannot be readily determined.
  IMPACT ON BENEFITS: With respect to the NYCRS, a member who served  in
the  U.S.  military and received an honorable discharge would be permit-
ted, after completing five years of credited service (exclusive  of  the
service credit that could be purchased under this proposed legislation),
to  purchase  a maximum of three years of Military Service (inclusive of
any prior purchases of Military Service credit).
  In order to purchase the Military Service  credits  provided  in  this
proposed  legislation,  a  member  must  have  been honorably discharged
following a period of "military duty" as defined in New York State Mili-
tary Law Section 243.
  If a member's Military  Service  meets  these  conditions,  then  that
member  would be permitted to purchase a maximum of three years of Mili-
tary Service (inclusive  of  any  previously-received  Military  Service
credit) attributable to any period of the member's military career.
  For  purposes  of  the respective NYCRS, each year of Military Service
credit purchased would apply toward providing the member with a year  of
benefit  accrual  under  the  particular  benefit  formula  covering the
member.
  In certain circumstances, the member also may be entitled  to  utilize
such  Military  Service  as  qualifying  service for benefit eligibility
purposes.
  For purposes of this Fiscal Note, it has been assumed that members who
purchase Military Service in accordance with this  proposed  legislation
would  generally  be  entitled to count such service for benefit accrual
purposes and for the purpose of qualifying for benefits.
  FINANCIAL IMPACT - OVERVIEW: With respect to an individual member, the
additional cost of this proposed legislation would depend on the  length
of  all New York City service, age, salary history and Plan in which the
member participates, as well as the number of years  of  service  credit
purchased.
  With  respect  to  employers  participating in the NYCRS, the ultimate
employer cost of this proposed legislation would be  determined  by  the
increase in benefits to be paid, the impact of certain benefits commenc-
ing earlier and the reduction in certain future member contributions.
  FINANCIAL  IMPACT - ACTUARIAL PRESENT VALUES: The additional Actuarial
Present Value (APV) of benefits would depend on  the  number,  salaries,
ages  and  lengths of Military Service purchased by members who would be
affected by this proposed legislation.
  With respect to the NYCRS and based on the census data and assumptions
herein, the enactment of this proposed legislation  would  increase  the
Actuarial Present Value (APV) of benefits (APVB) by approximately $147.1
million of June 30, 2016.

A. 9005--B                         75

  In  addition,  with  respect  to  the  NYCRS, the APV of future member
contributions (primarily attributable to the payments by members of 3.0%
(6.0% for members who first join on and after April 1, 2012)  of  salary
per  year of Military Service purchased) would increase by approximately
$22.2 million when measured as of June 30, 2016.
  Consequently, with respect to the NYCRS, the APV of net future employ-
er  contributions  would  increase by approximately $124.9 million as of
June 30, 2016.
  FINANCIAL IMPACT - ANNUAL EMPLOYER  COSTS:  The  ultimate  cost  of  a
pension  plan  is  the  benefits it pays. With respect to the NYCRS, the
financing of that ultimate cost depends upon the census  data  used  and
the actuarial assumptions and methods employed. Assuming that all eligi-
ble members were to purchase the eligible Military Service during Fiscal
Year  2016  and based on the Actuary's actuarial assumptions and methods
in effect as of June 30, 2015, the enactment  of  this  proposed  legis-
lation  would  increase  annual  employer  costs  by approximately $14.8
million per year.
  FINANCIAL IMPACT - EMPLOYER CONTRIBUTIONS: The impact of the  proposed
legislation  on employer contributions would be a function of the census
data (i.e., age/service/salary,  etc.) reported to the  Actuary  and  of
the timing of the members electing to buy back their Military Service.
  With  respect  to  the NYCRS, based on the Actuary's actuarial assump-
tions and methods in effect as of June 30, 2015, the enactment  of  this
proposed legislation would ultimately increase employer contributions by
approximately the estimated additional annual employer costs.
  If applications for buying back Military Service were completed during
Fiscal  Year 2016 and the NYCRS census data were updated to reflect this
information by June 30, 2016, then employer contributions would first be
impacted for Fiscal Year 2018.
  If the Military Service buybacks  were  completed  after  Fiscal  Year
2016,  then  the  increase  in  employer contributions would first occur
after Fiscal Year 2018.
  FINANCIAL IMPACT - SUMMARY: The following table summarizes  the  esti-
mated financial impact of this proposed legislation on the NYCRS.
        Estimated Financial Impact to Allow Members of the NYCRS
        To Purchase up to Three Years of Military Service Credit
                              ($ Millions)
Retirement     Additional           Additional               Estimated
  System        APV of             APV of Future             First Year
               Benefits              Employer                Additional
                                   Contributions{1}         Employer Costs{2}
NYCERS          $51.0              $42.9                     $5.1
NYCTRS           15.6               12.8                      1.5
BERS              2.2                1.9                      0.2
POLICE           61.8               53.0                      6.3
FIRE             16.5               14.3                      1.7
  TOTAL        $147.1              124.9                    $14.8
  {1}  Equals  increase  in  APVB minus increase in APV of future member
contributions.
  {2} Estimated Additional Employer Costs are determined without  regard
to  the  funded  status of the Retirement Systems and represent the best
estimates of the ultimate annual financial burden of the proposed legis-
lation. Estimated Additional  Employer  Contributions  would  ultimately
approximate Estimated Additional Employer Costs.

A. 9005--B                         76

  ADDITIONAL  EMPLOYER COSTS - GENERAL: In general, the real cost of the
enactment of this proposed legislation would be the additional  benefits
paid.
  This  Fiscal  Note  does  not  include  analyses of the impact of this
proposed legislation on the expected increases in  administrative  costs
or costs for Other Post-Employment Benefits (OPEB).
  CENSUS DATA: The census data used for estimates of APV of benefits and
employer  contributions presented herein are the active members included
in the June 30, 2015 (Lag) actuarial valuations of NYCERS, NYCTRS, BERS,
POLICE and FIRE used to  determine  the  Preliminary  Fiscal  Year  2017
employer contributions.
  ACTUARIAL  ASSUMPTIONS  AND  METHODS:  Additional  APV of benefits, of
member contributions and of employer contributions have  been  estimated
as  of  June 30, 2017 using various approximating techniques and assump-
tions by the Actuary, including, but not limited to:
  * A certain percentage of Veterans being honorably discharged.
  * A certain percentage of honorably discharged  Veterans  being  disa-
bled.
  *  Different  percentages  of  members by NYCERS having prior Military
Service.
  * Each eligible member purchasing an average of 2.5 years of the Mili-
tary Service.
  Changes in employer contributions have  been  estimated  assuming  the
increase  in  the APV of Future Employer Contributions would be financed
over a time period comparable to that used for  actuarial  losses  under
the Entry Age Actuarial Cost Method. Using this approach, the Additional
APV  of  Future  Employer Contributions would be amortized over a closed
15-year period (14 payments under One-Year Lag Methodology) using  level
dollar payments.
  STATEMENT  OF ACTUARIAL OPINION: I, Sherry S. Chan, am the Chief Actu-
ary for the New York City Retirement Systems. I am an Associate  of  the
Society  of  Actuaries, a Fellow of the Conference of Consulting Actuar-
ies, and a Member of the American Academy of Actuaries. I meet the Qual-
ification Standards of the American Academy of Actuaries to  render  the
actuarial opinion contained herein.
  FISCAL  NOTE  IDENTIFICATION:  This  estimate is intended for use only
during the 2016 Legislative Session. It is Fiscal  Note  2016-04,  dated
March  1,  2016,  prepared  by  the  Chief Actuary for the New York City
Employees' Retirement System, the New  York  City  Teachers'  Retirement
System,  the New York City Board of Education Retirement System, the New
York City Police Pension Fund and the New York Fire  Department  Pension
Fund.
  FISCAL NOTE. -- Pursuant to Legislative Law, Section 50:
  This  bill would amend Section 1000 of the Retirement and Social Secu-
rity Law to allow active members of public  retirement  systems  of  New
York  State  to  claim  service credit for up to three years of military
service, regardless of when or where it was performed. Currently, active
members can receive service credit for military service  performed,  but
only  during  specified periods of war. A member must have at least five
years of credited service to be eligible and make application  for  such
credit before the effective date of retirement. To obtain such credit, a
member  must make payments as required in Section 1000 of the Retirement
and Social Security Law. Tier 1, 2, 3, 4 and 5 members are  required  to
pay  three percent of salary earned during the twelve months of credited
service immediately preceding the year in which a claim is made for each
year of military service. Tier 6 members are required to pay six percent

A. 9005--B                         77

of salary earned during the twelve months of credited service immediate-
ly preceding the year in which a claim is made for each year of military
service.
  It  is  not  possible  to determine the total annual cost of this bill
since the total amount of service credit which would  be  claimed  under
this  bill cannot be estimated. Pursuant to Section 25 of the Retirement
and Social Security Law, the  cost  to  the  New  York  State  Teachers'
Retirement  System  (NYSTRS) would be borne by the State of New York and
would require an itemized appropriation adequate to pay the cost of this
bill.  The cost to the State of New York is estimated to be $19,700  per
year  of  service credited for Tier 1, 2, 3, 4 and 5 members and $15,200
per year of service credited for Tier 6 members if this bill is enacted.
Each year a cost will be computed and billed to the State  of  New  York
for those members of NYSTRS receiving a benefit under this bill.
  Employee  data  is  from  the System's most recent actuarial valuation
files, consisting of data provided by the employers  to  the  Retirement
System.  Data  distributions and statistics can be found in the System's
Comprehensive Annual Financial  Report  (CAFR).  System  assets  are  as
reported  in the System's financial statements, and can also be found in
the CAFR. Actuarial assumptions and methods are provided in the System's
Actuarial Valuation Report.
  The source of this estimate is Fiscal Note 2016-8  dated  February  3,
2016  prepared by the Actuary of the New York State Teachers' Retirement
System and is intended for use only during the 2016 Legislative Session.
I, Richard A. Young, am the Actuary for the  New  York  State  Teachers'
Retirement  System.  I  am a member of the American Academy of Actuaries
and I meet the Qualification Standards of the American Academy of  Actu-
aries to render the actuarial opinion contained herein.

                                 PART Y

  Section  1. Paragraph (f) of subdivision 6 of section 209 of the civil
service law, as added by chapter 67 of the laws of 2013, is  amended  to
read as follows:
  (f) The provisions of this subdivision shall expire [three years from]
July first, two thousand [thirteen] NINETEEN.
  S 2. This act shall take effect immediately.

                                 PART Z

  Section  1. Section 2 of chapter 747 of the laws of 2006, amending the
state finance law relating to the tribal-state compact revenue  account,
is amended to read as follows:
  S  2.  This act shall take effect immediately, and shall expire and be
deemed repealed December 31, [2016] 2023.
  S 2. 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, as amended by section
22 of part HH of chapter 57 of the laws of 2013, 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 December 31, 2016; and
  (b)  the  amendments to] AND paragraph (a) of subdivision 4 of section
99-h of the state finance law made by [section] SECTIONS ONE AND two  of

A. 9005--B                         78

this  act  shall  not affect the expiration of such section and shall be
deemed to expire therewith.
  S  3.  Paragraph  (a)  of  subdivision  4 of section 99-h of the state
finance law, as amended by section 2 of part W of chapter 60 of the laws
of 2011, is amended to read as follows:
  (a) Monies which are appropriated and received each year by the  state
as a portion of the negotiated percentage of the net drop from electron-
ic  gaming  devices the state receives in relation to the operation of a
gaming facility in the city of Niagara Falls, county  of  Niagara  which
subdivision  three  of  this section requires to be a minimum of twenty-
five percent, shall be budgeted and disbursed by  the  city  of  Niagara
Falls in the following manner:
  (i)  seventy-three  and  one-half  percent  of the total annual amount
received shall be available for expenditure by the city of Niagara Falls
for such public purposes as are determined, by the city, to be necessary
and desirable to accommodate and enhance economic development, neighbor-
hood  revitalization,  public  health  and  safety,  and  infrastructure
improvement  in  the  city,  shall  be deposited into the tribal revenue
account of the city and any and all interest and income derived from the
deposit and investment of such monies shall be deposited into the gener-
al operating fund of the city; provided however, that any  amount  allo-
cated  to  the  NOT-FOR-PROFIT  ORGANIZATION  KNOWN AS THE NIAGARA FALLS
UNDERGROUND RAILROAD INTERPRETIVE CENTER CREATED TO CONTINUE THE Niagara
Falls Underground Railroad Heritage [Commission] COMMISSION'S MISSION TO
OPERATE AN UNDERGROUND RAILROAD MUSEUM, to the  extent  that  its  share
pursuant  to the formula established in clause five of subparagraph (ii)
of this paragraph exceeds one percent, such amounts shall be distributed
from the funds available to the city for its public purposes pursuant to
this paragraph; and
  (ii) the remaining twenty-six and one-half percent of the total annual
amount received shall be allocated for the city of Niagara Falls  to  be
available for expenditure in the following manner:
  (1)  within  thirty-five days upon receipt of such funds by such city,
five and one-half percent of the total annual amount  received  in  each
year, not to exceed seven hundred fifty thousand dollars annually, shall
be  transferred  to Niagara Falls memorial medical center to be used for
capital construction projects; and
  (2) within thirty-five days upon receipt of such funds by  such  city,
five  and  one-half  percent of the total annual amount received in each
year, not to exceed seven hundred fifty thousand dollars annually, shall
be transferred to the Niagara Falls city  school  district  for  capital
construction projects; and
  (3)  within  thirty-five days upon receipt of such funds by such city,
seven percent in each year shall be transferred to the  Niagara  tourism
and convention center corporation for marketing and tourism promotion in
the county of Niagara including the city of Niagara Falls; and
  (4)  an  amount  equal  to  the lesser of one million dollars or seven
percent of the total amount in each year shall  be  transferred  to  the
city  of  Niagara  Falls and held in an escrow account maintained by the
city of Niagara Falls and, if additional funding has been secured by the
Niagara frontier transportation authority to finance construction  of  a
new  terminal  at  Niagara  Falls,  such  amount held in escrow shall be
transferred to the Niagara frontier transportation  authority  for  such
purpose  provided  however  that if such additional funding has not been
secured or construction of a new terminal has not commenced  within  two
years of the date which such monies were received by the city of Niagara

A. 9005--B                         79

Falls  such amounts held in escrow by the city of Niagara Falls shall be
distributed pursuant to subparagraph (iii) of this paragraph; and
  (5)  within  thirty-five days upon receipt of such funds by such city,
one percent or [three  hundred  fifty]  TWO  HUNDRED  thousand  dollars,
whichever  is  greater, of the total annual amount received in each year
shall be transferred to the NOT-FOR-PROFIT  ORGANIZATION  KNOWN  AS  THE
NIAGARA  FALLS  UNDERGROUND  RAILROAD  INTERPRETIVE  CENTER  CREATED  TO
CONTINUE THE Niagara Falls Underground  Railroad  Heritage  [Commission,
established pursuant to article forty-three of the parks, recreation and
historic  preservation  law]  COMMISSION'S  MISSION TO OPERATE AN UNDER-
GROUND RAILROAD MUSEUM, to be used for, but not limited to, development,
capital improvements, acquisition of real property, and  acquisition  of
personal  property within the heritage area in the city of Niagara Falls
as established pursuant to the commission; provided  in  the  event  the
distribution  available  pursuant to this clause exceeds one percent, it
shall be distributed from the moneys available pursuant to  subparagraph
(i) of this paragraph; and
  (6)  WITHIN  THIRTY-FIVE DAYS UPON RECEIPT OF SUCH FUNDS BY SUCH CITY,
ONE HUNDRED FIFTY THOUSAND DOLLARS OF THE TOTAL ANNUAL  AMOUNT  RECEIVED
IN EACH YEAR SHALL BE TRANSFERRED TO THE NIAGARA FALLS HOUSING AUTHORITY
ESTABLISHED  PURSUANT  TO TITLE TWELVE OF ARTICLE THIRTEEN OF THE PUBLIC
HOUSING LAW FOR UPGRADES TO THEIR FACILITIES; AND
  (iii) all other  monies  appropriated  or  received  for  distribution
pursuant  to  this  subdivision  after the transfer of money pursuant to
this subparagraph and subparagraphs (i) and (ii) of  this  paragraph  in
each  year  shall  be allocated to the city of Niagara Falls for infras-
tructure and road improvement projects.
  S 4. This act shall take effect immediately; provided,  however,  that
the  amendments to paragraph (a) of subdivision 4 of section 99-h of the
state finance law made by section three of this act shall not affect the
expiration of such section and shall be deemed to expire therewith.

                                 PART AA

  Section 1. Notwithstanding any other provision of law to the contrary,
for the fiscal year commencing April 1, 2016, a $100,000,000 increase in
aid and incentives for municipalities' base level grants in the  general
fund  aid  to localities fund for each municipality shall be apportioned
in an amount equal to the percentage of the  total  2016-17  base  level
grant  each municipality shall receive; provided, however, that no muni-
cipality shall receive an increase of more than $10,000,000.
  1. The total amount of grants provided in addition to the total  2016-
17 base level grant shall be $100,000,000.
  2.  "Total  2016-17 base level grant" shall mean the sum of the amount
of grants each municipality shall  receive  in  the  state  fiscal  year
commencing  April  1,  2016,  and  the amount of miscellaneous financial
assistance from the local assistance account received by  a  village  in
fiscal  year beginning April 1, 2015; provided, however, that the amount
of miscellaneous financial assistance from the local assistance  account
received  by  a village in fiscal year beginning April 1, 2015 shall not
include any financial assistance paid  to  the  village  of  Amityville,
county of Suffolk, for a flood mitigation project.
  S  2.  Subparagraph (viii) of paragraph a of subdivision 10 of section
54 of the state finance law is amended by adding a new clause 3 to  read
as follows:

A. 9005--B                         80

  (3)  FOR  THE  STATE  FISCAL YEAR COMMENCING APRIL FIRST, TWO THOUSAND
SIXTEEN, AND IN EACH STATE FISCAL YEAR THEREAFTER, THE AMOUNT OF MISCEL-
LANEOUS FINANCIAL ASSISTANCE FROM THE LOCAL ASSISTANCE ACCOUNT  RECEIVED
BY  A  VILLAGE  IN  THE  FISCAL YEAR BEGINNING APRIL FIRST, TWO THOUSAND
FIFTEEN;  PROVIDED,  HOWEVER,  THAT PRIOR YEAR AID SHALL NOT INCLUDE ANY
FINANCIAL ASSISTANCE PAID TO THE VILLAGE OF AMITYVILLE, IN THE COUNTY OF
SUFFOLK, FOR A FLOOD MITIGATION PROJECT.
  S 3. This act shall take effect immediately.

                                 PART BB

  Section 1. Subdivisions 2 and 6 of section 179-f of the state  finance
law,  subdivision 2 as amended and subdivision 6 as added by chapter 568
of the laws of 2015 and subdivision 2 as separately amended  by  chapter
548 of the laws of 2015, are amended to read as follows:
  2.  The required payment date shall be thirty calendar days, excluding
legal holidays,  provided,  however,  that  for  a  small  business  the
required  payment  date  shall be fifteen calendar days, excluding legal
holidays, ABSENT A SHOWING BY THE CONTRACTING  AGENCY  OF  CIRCUMSTANCES
BEYOND ITS CONTROL, PROVIDED THAT THE SMALL BUSINESS SUBMITS ITS INVOICE
ELECTRONICALLY,  IN  CONFORMANCE WITH THE POLICIES AND PROCEDURES OF THE
ACCOUNTING AND FINANCIAL MANAGEMENT SYSTEM OF STATE GOVERNMENT AND IDEN-
TIFIES THAT IT IS SEEKING EXPEDITED PAYMENT AS A SMALL BUSINESS,  or  in
the  case  of  final payments on highway construction contracts seventy-
five calendar days,  excluding  legal  holidays,  after  receipt  of  an
invoice for the amount of the contract payment due; except when:
  (a) the state comptroller in the course of his or her audit determines
that  there is reasonable cause to believe that payment may not properly
be due, in whole or in part;
  (b) in accordance with specific statutory or  contractual  provisions,
payment  must  be  preceded  by  an  inspection period or by an audit to
determine the resources applied or used by a  contractor  in  fulfilling
the terms of the contract;
  (c) the necessary state government appropriation required to authorize
payment has yet to be enacted;
  (d)  a proper invoice must be examined by the federal government prior
to payment;
  (e) the goods or property have not been delivered or the services have
not been rendered by the contractor in  compliance  with  the  terms  or
conditions of the contract;
  (f)  the required payment date is modified in accordance with subdivi-
sion three of this section; or
  (g) in the case of final payments on  highway  construction  contracts
the  commissioner  of  transportation determines that the contractor has
failed to properly submit the necessary documents and other  submissions
prescribed  by  the  contract  specifications  and  requirements, by the
provisions of subdivision eight of section thirty-eight of  the  highway
law,  and  by  all  other  applicable state and federal laws in order to
enable the department of transportation to  process  the  final  payment
properly and expeditiously.
  Any  time  taken  to satisfy or rectify any of the types of conditions
described in paragraphs (a) through (e) or (g) of this subdivision shall
extend the required payment date by an equal period of  time,  provided,
however,  that  for small businesses, the required payment date shall be
fifteen calendar days, excluding legal holidays, after  such  conditions
have  been satisfied or rectified, and provided further that all reason-

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able and practicable efforts shall be taken to satisfy or  rectify  such
conditions as soon as possible.
  6.  As  used  in  this section, "small business" shall mean a business
whose primary place of business is in New York state, has a  significant
business presence in the state, is independently owned and operated, not
dominant  in  its  field,  and  employs no more than [three] TWO hundred
employees AT THE  TIME  OF  PAYMENT.  THE  SMALL  BUSINESS  SHALL,  UPON
REQUEST, PROVIDE THE CONTRACTING ENTITY WITH SUFFICIENT DOCUMENTATION TO
REFLECT AND CONFIRM ITS STATUS AS A SMALL BUSINESS.
  S  2.  Section 2 of chapter 568 of the laws of 2015 amending the state
finance law relating to requiring state agencies to pay small businesses
within fifteen days of receipt of an invoice,  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] JUNE 1, 2017 and shall apply  only  to
invoices received after such date.
  S  3.  This  act  shall  take  effect on the same date and in the same
manner as chapter 568 of the laws of 2015 amending the state finance law
relating to requiring state agencies  to  pay  small  businesses  within
fifteen days of receipt of an invoice, takes effect.

                                 PART CC

  Section  1.  Legislative findings and declaration. It is a fundamental
right of all persons in the United States to be represented  by  counsel
in  all criminal prosecutions. In the case of GIDEON V.  WAINWRIGHT, 372
U.S. 335, the United States Supreme Court ruled  that  indigent  persons
accused  in  state  felony cases who were unable to afford counsel had a
constitutional right to be defended by an appointed attorney paid by the
state. Subsequently, the Supreme Court determined that indigent  persons
accused of any criminal charge that could result in imprisonment, wheth-
er  a  felony  or misdemeanor, are entitled to counsel at the expense of
the state.
  New York state has chosen to fulfill its obligation to provide  repre-
sentation to indigent persons accused of a crime by requiring each coun-
ty  outside New York city and New York city to implement and fund a plan
to provide such representation. In 2006 the Commission on the Future  of
Indigent  Legal  Services concluded that a system of county operated and
funded indigent defense services failed to  satisfy  the  constitutional
obligation to protect the rights of indigent persons accused of a crime.
Such  Commission  recommended  that  funding for indigent legal services
come from the State's general fund rather than from the counties.
  New York state has entered into an agreement to settle a class  action
lawsuit  that  alleged deprivation of the right to counsel in five coun-
ties. The agreement acknowledges  that  the  Office  of  Indigent  Legal
Services  and the Indigent Legal Services Board are authorized "to moni-
tor and study indigent legal services in the state, to  recommend  meas-
ures  to  improve  those  services, to award grant monies to counties to
support their  indigent  representation  capability,  and  to  establish
criteria  for  the  distribution  of  such  funds." While the settlement
agreement pertains to only five counties, its criteria establish a stan-
dard for providing indigent legal services that should apply statewide.
  The legislature finds and declares that in  all  criminal  proceedings
against  people  unable  to  afford counsel, New York state is constitu-
tionally required to provide public defense  services.  The  legislature
further  finds  that  the state is obligated to undertake initiatives to

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improve the  quality  of  indigent  defense,  ensure  representation  at
arraignment,  implement  caseload  standards  for  providers of indigent
legal services, and implement statewide standards for determining eligi-
bility  for  mandated  representation. Mandating counties to finance the
state's obligation to provide indigent legal services imposes a  signif-
icant  uncontrollable  financial  burden  on  counties dependent on real
property taxes to fund needed services, and subject to a  state  imposed
tax cap.
  The  legislature  finds  and  declares  that  in  order to fulfill its
constitutional obligation to provide indigent legal services, the  state
shall  pay  counties the full amount necessary to ensure the delivery of
quality legal services for indigent criminal defendants in a  consistent
manner throughout the State.
  S  2.  Section 722-e of the county law, as added by chapter 878 of the
laws of 1965, is amended to read as follows:
  S 722-e. Expenses. All expenses for  providing  counsel  and  services
other  than counsel hereunder shall be a county charge or in the case of
a county wholly located within a city a city charge to be paid out of an
appropriation for such purposes AND SHALL BE REIMBURSED BY THE STATE  TO
THE  COUNTY  OR CITY PROVIDING SUCH SERVICES, PROVIDED, HOWEVER, THAT IN
THE STATE FISCAL YEAR BEGINNING:
  (A) APRIL FIRST, TWO  THOUSAND  SEVENTEEN,  THE  STATE  SHALL  PROVIDE
REIMBURSEMENT  FOR  NOT  LESS THAN TWENTY-FIVE PERCENT OF SUCH EXPENSES;
AND
  (B) APRIL FIRST,  TWO  THOUSAND  EIGHTEEN,  THE  STATE  SHALL  PROVIDE
REIMBURSEMENT  FOR  NOT  LESS THAN THIRTY-FIVE PERCENT OF SUCH EXPENSES;
AND
  (C) APRIL FIRST,  TWO  THOUSAND  NINETEEN,  THE  STATE  SHALL  PROVIDE
REIMBURSEMENT FOR NOT LESS THAN FORTY-FIVE PERCENT OF SUCH EXPENSES; AND
  (D)  APRIL  FIRST,  TWO  THOUSAND  TWENTY,  THE  STATE  SHALL  PROVIDE
REIMBURSEMENT FOR NOT LESS THAN FIFTY-FIVE PERCENT OF SUCH EXPENSES; AND
  (E) APRIL FIRST, TWO THOUSAND  TWENTY-ONE,  THE  STATE  SHALL  PROVIDE
REIMBURSEMENT FOR NOT LESS THAN SIXTY-FIVE PERCENT OF SUCH EXPENSES; AND
  (F)  APRIL  FIRST,  TWO  THOUSAND  TWENTY-TWO, THE STATE SHALL PROVIDE
REIMBURSEMENT FOR NOT LESS THAN SEVENTY-FIVE PERCENT OF  SUCH  EXPENSES;
AND
  (G)  EVERY  YEAR THEREAFTER, THE STATE SHALL PROVIDE REIMBURSEMENT FOR
THE FULL AMOUNT OF SUCH EXPENSES.
  S 3. Subdivision 3 of section 832 of the executive law is  amended  by
adding a new paragraph (o) to read as follows:
  (O)  TO  ADOPT,  PROMULGATE, AMEND OR RESCIND RULES AND REGULATIONS TO
CARRY OUT THE PROVISIONS OF THIS SECTION, INCLUDING TO  (I)  ENSURE  THE
PRESENCE  OF  COUNSEL  AT THE FIRST APPEARANCE OF ANY ELIGIBLE DEFENDANT
CHARGED WITH A CRIME, (II) ESTABLISH CASELOAD/WORKLOAD  REGULATIONS  FOR
ATTORNEYS  PROVIDING  MANDATED  REPRESENTATION THAT ALLOW FOR MEANINGFUL
AND EFFECTIVE ASSISTANCE OF COUNSEL, AND (III) IMPROVE  THE  QUALITY  OF
MANDATED REPRESENTATION.
  S  4.  Paragraphs  (l)  and (m) of subdivision 3 of section 832 of the
executive law, as added by section 1 of part E of chapter 56 of the laws
of 2010, are amended and a  new  paragraph  (n)  is  added  to  read  as
follows:
  (l)  to present findings and make recommendations for consideration by
the indigent legal services board established pursuant to section  eight
hundred thirty-three of this article; [and]

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  (m)  to  execute decisions of the indigent legal services board estab-
lished pursuant to section eight hundred thirty-three of  this  article,
including the distribution of funds[.];
  (N)  TO REVIEW THE PUBLIC DEFENSE OPERATIONS OF ANY COUNTY FOR COMPLI-
ANCE WITH APPLICABLE PROFESSIONAL STANDARDS PROMULGATED  BY  THE  OFFICE
AND  TO  ENSURE THAT RECIPIENTS OF SERVICES PROVIDED PURSUANT TO ARTICLE
EIGHTEEN-B OF THE COUNTY LAW ARE PROVIDED WITH MEANINGFUL AND  EFFECTIVE
REPRESENTATION  BEFORE  MAKING  REIMBURSEMENT  PURSUANT TO SECTION SEVEN
HUNDRED TWENTY-TWO-E OF THE COUNTY LAW; AND
  S 5. This act shall take effect April 1, 2017. Effective  immediately,
the  addition,  amendment and/or repeal of any rule or regulation neces-
sary for the implementation of  this  act  on  its  effective  date  are
authorized to be made and completed on or before such effective date.
  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 CC of this act shall be
as specifically set forth in the last section of such Parts.