S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   6533
 
                        2017-2018 Regular Sessions
 
                             I N  S E N A T E
 
                               June 1, 2017
                                ___________
 
 Introduced  by  Sen. HELMING -- read twice and ordered printed, and when
   printed to be committed to the Committee on Finance
 
 AN ACT to amend subpart H of part C of chapter 20 of the laws  of  2015,
   appropriating  money  for  certain  municipal  corporations and school
   districts, in relation to funding to local  government  entities  from
   the urban development corporation
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Section 1 of subpart H of part C of chapter 20 of the  laws
 of  2015,  appropriating  money  for  certain municipal corporations and
 school districts, as amended by section 1 of part QQ of  chapter  58  of
 the laws of 2017, is amended to read as follows:
   Section  1.  Contingent  upon  available  funding,  and  not to exceed
 $45,000,000 moneys from  the  urban  development  corporation  shall  be
 available  for a local government entity, which for the purposes of this
 section shall mean a county, city, town,  village,  school  district  or
 special  district, where: (A) (i) on or after June 25, 2015, an electric
 generating facility located within  such  local  government  entity  has
 ceased  operations,  [and]  OR  (ii) THAT AN OPERATIONAL FACILITY DEMON-
 STRATES THAT ITS ACTUAL ELECTRICITY PRODUCTION IN  THE  PRIOR  YEAR  WAS
 LESS  THAN  15% OF ITS TOTAL GENERATING CAPACITY; AND (B) the closing OR
 DIMINISHED ELECTRICITY PRODUCTION of such facility PURSUANT TO  SUBDIVI-
 SION (A) OF THIS SECTION has caused a reduction in the real property tax
 collections or payments in lieu of taxes of at least twenty percent owed
 by  such  electric generating facility.  Such moneys attributable to the
 cessation of operations OR DIMINISHED ELECTRICITY PRODUCTION,  shall  be
 paid  annually on a first come, first served basis by the urban develop-
 ment corporation to such local government  entity  within  a  reasonable
 time  upon  confirmation  from  the  state  office  of real property tax
 services or  the  local  industrial  development  authority  established
 pursuant  to  titles  eleven  and fifteen of article eight of the public
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD11877-03-7

 S. 6533                             2
 
 authorities law, or the local industrial development agency  established
 pursuant  to  article  eighteen-A of the general municipal law that such
 cessation  OR  DIMINISHED  ELECTRICITY  PRODUCTION  has  resulted  in  a
 reduction  in  the  real property tax collections or payments in lieu of
 taxes, provided, however, that the urban development  corporation  shall
 not  provide  assistance  to  such local government entity for more than
 seven years, and shall award payments reflecting the  loss  of  revenues
 due  to the cessation of operations OR DIMINISHED ELECTRICITY PRODUCTION
 as follows:
 
         Award Year                Maximum Potential Award
             1           no more than eighty percent of loss of revenues
             2           no more than seventy percent of loss of revenues
             3           no more than sixty percent of loss of revenues
             4           no more than fifty percent of loss of revenues
             5           no more than forty percent of loss of revenues
             6           no more than thirty percent of loss of revenues
             7           no more than twenty percent of loss of revenues
 
   A local government entity shall be eligible for only  one  payment  of
 funds hereunder per year.  A local government entity may seek assistance
 under the electric generation facility cessation OR DIMINISHED ELECTRIC-
 ITY PRODUCTION mitigation fund once a generator has submitted its notice
 to  the federally designated electric bulk system operator (BSO) serving
 the state of New York of its intent to retire the  facility  or  of  its
 intent  to  voluntarily  remove the facility from service subject to any
 return-to-service provisions of any tariff, and that the  facility  also
 is  ineligible to participate in the markets operated by the BSO OR THAT
 AN  OPERATIONAL  FACILITY  DEMONSTRATES  THAT  ITS  ACTUAL   ELECTRICITY
 PRODUCTION  IN  THE PRIOR YEAR WAS LESS THAN 15% OF ITS TOTAL GENERATING
 CAPACITY. The date of submission of a local government entity's applica-
 tion for assistance shall establish the order  in  which  assistance  is
 paid  to program applicants, except that in no event shall assistance be
 paid to a local government entity  until  such  time  that  an  electric
 generating  facility  has retired or become ineligible to participate in
 the markets operated by the BSO. For purposes of this section, any local
 government entity  seeking  assistance  under  the  electric  generation
 facility  cessation OR DIMINISHED ELECTRICITY PRODUCTION mitigation fund
 must submit an attestation to the department of public  service  that  a
 facility is no longer producing electricity and is no longer participat-
 ing  in  markets  operated  by  the  BSO OR THAT AN OPERATIONAL FACILITY
 DEMONSTRATES THAT ITS ACTUAL ELECTRICITY PRODUCTION IN  THE  PRIOR  YEAR
 WAS  LESS  THAN  15%  OF ITS TOTAL GENERATING CAPACITY. After receipt of
 such attestation, the department of public service  shall  confirm  such
 information  with  the  BSO.  In  the  case that the BSO confirms to the
 department of public service that the facility is  no  longer  producing
 electricity  and participating in markets operated by such BSO, it shall
 be deemed that the electric generating facility located within the local
 government entity has ceased operation. The department of public service
 shall provide such confirmation to  the  urban  development  corporation
 upon  receipt.  The  determination  of the amount of such annual payment
 shall be determined by the president of  the  urban  development  corpo-
 ration  based  on the amount of the differential between the annual real
 property taxes and payments in lieu of taxes imposed upon the  facility,
 exclusive  of interest and penalties, during the [last] MOST RECENT year
 of operations and the current real property taxes and payments  in  lieu

 S. 6533                             3
 
 of taxes imposed upon the facility, exclusive of interest and penalties.
 The total amount awarded from this program shall not exceed $45,000,000.
   §  2.  This act shall take effect immediately; provided, however, that
 the amendments to section 1 of subpart H of part C of chapter 20 of  the
 laws of 2015 made by section one of this act shall not affect the repeal
 of such subpart and shall be deemed repealed therewith.