Senate Bill S7702A

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  7702--A
     Cal. No. 570
 
                             I N  S E N A T E
 
                             February 9, 2018
                                ___________
 
 Introduced by Sens. MARCHIONE, AKSHAR, AMEDORE, FUNKE, GALLIVAN, MURPHY,
   ORTT, PHILLIPS, RANZENHOFER, SEWARD -- read twice and ordered printed,
   and  when printed to be committed to the Committee on Local Government
   -- reported favorably from said committee, ordered to first and second
   report, ordered to a third reading,  amended  and  ordered  reprinted,
   retaining its place in the order of third reading
 
 AN  ACT  to  amend the general municipal law, in relation to authorizing
   all school districts to establish reserve funds
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Paragraph (a) of subdivision 2 of section 6-n of the gener-
 al  municipal  law, as separately amended by chapters 414 and 416 of the
 laws of 2016, is amended to read as follows:
   (a) The governing board of any municipal corporation may  establish  a
 reserve  fund  to  be  known  as  the  insurance  reserve fund. Upon the
 creation of the fund, the municipality may make  expenditures  from  the
 fund  for  any  loss,  claim, action or judgment for which the municipal
 corporation is authorized or required to purchase or maintain insurance,
 except those kinds of risks for which insurance is  authorized  pursuant
 to  paragraph  one,  two,  three, fifteen, sixteen, seventeen, eighteen,
 twenty-two or twenty-three of subsection (a) of section one thousand one
 hundred thirteen of the insurance  law,  or  for  payments  in  lieu  of
 contributions under article eighteen of the labor law; provided however,
 that  no  municipality  shall make an expenditure from such fund for any
 loss, claim, action or judgment for which the municipal corporation  has
 established  a  reserve fund under any other provision of law; provided,
 further that [the Scarsdale union free school district  and  the  Vernon
 Verona  Sherrill central school district may establish insurance reserve
 funds in compliance with this section and article  seventy-four  of  the
 education  law  and the Minisink Valley central] ANY school district may
 establish insurance reserve funds in compliance with  this  section  and
 article  seventy-four  of  the  education  law,  IN AN AMOUNT AND MANNER
 DETERMINED BY A QUALIFIED AND INDEPENDENT ACTUARY CERTIFIED BY THE AMER-
 ICAN ACADEMY OF ACTUARIES TO  BE  REASONABLE  AND  NECESSARY,  and  such
 
              

  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD14686-02-8

 S. 7702--A                          2
 
 school  districts  may make expenditures in compliance with this section
 and article seventy-four of the education law from such reserve fund for
 any loss, claim, action or judgment for which the school  districts  are
 authorized  or  required to purchase or maintain insurance for the kinds
 of risks for which insurance is authorized pursuant to  paragraph  three
 of  subsection  (a)  of section one thousand one hundred thirteen of the
 insurance law.
   § 2. This act shall take effect on the first of July  next  succeeding
 the date on which it shall have become a law.