NY State Senate Bill 2019-S2067B

Archive: Last Bill Status - In Senate Committee Local Government Committee

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

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Actions

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Date of Action	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jan 08, 2020	referred to local government
May 17, 2019	print number 2067b
May 17, 2019	amend and recommit to local government
Feb 05, 2019	print number 2067a
Feb 05, 2019	amend (t) and recommit to local government
Jan 22, 2019	referred to local government

Bill Amendments

Original

B (Active)

2019-S2067 - Details

See Assembly Version of this Bill:: A114
Current Committee:: Senate Local Government
Law Section:: General Municipal Law
Laws Affected:: Amd §6-n, Gen Muni L
Versions Introduced in Other Legislative Sessions:: 2017-2018: A10145
2021-2022: S2065, A4940
2023-2024: S4489, A4953
2025-2026: S922

2019-S2067 - Summary

Authorizes school districts to establish an insurance reserve fund in an amount and manner determined by a qualified and independent actuary certified by the American Academy of Actuaries to be reasonable and necessary.

2019-S2067 - Sponsor Memo

                                
 
BILL NUMBER: S2067

SPONSOR: JORDAN
 
TITLE OF BILL:

An act to amend the general municipal law, in relation to authorizing
school districts to establish an insurance reserve fund in an amount and
manner determined by a qualified and independent actuary certified by
the American Academy of Actuaries to be suitable, reasonable and neces-
sary

 
SUMMARY OF PROVISIONS:

Section 1 amends section 6-n of the general municipal law by providing
that any school district may establish insurance reserve funds in
compliance with section 6-n and provisions in the education law.  The
provisions also include a limit on funds reserved to be determined by an
independent actuary.

Section 2 sets forth the effective date.

JUSTIFICATION:

Current law allows municipal corporations to self-insure to provide
health insurance to their employees, officers, and retirees. Section 6-n
of the general municipal law specifically does so by allowing these
municipal corporations to establish and make expenditures from insurance
reserve funds, but exempts accident and health insurance from these
provisions.

Previous chapters authorized specific school districts to use their
insurance reserve funds for expenses related to health and accident
insurance as defined by paragraph three of subsection (a) of section one
thousand one hundred thirteen of the insurance law. In the era of the
tax cap, several school districts have opted to adopt self-insurance to
manage rising healthcare costs, and for these districts, insurance
reserve funds are necessary to maintain their self-insurance programs.
These districts have requested several bills currently before the legis-
lature that would allow their individual school district to do so, but
the policy of the State should be aimed at allowing all school districts
this degree of flexibility. This bill offers exactly that by expanding
the authorization to any school district that wishes to create or use an
insurance reserve fund for health self-insurance.

 
LEGISLATIVE HISTORY:

Similar to S.7702 of 2018, 3rd Reading

 
FISCAL IMPLICATIONS:

None to the state.

 
EFFECTIVE DATE:
The first of July next succeeding the date on which it shall have become
law.

2019-S2067 - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   2067
 
                        2019-2020 Regular Sessions
 
                             I N  S E N A T E
 
                             January 22, 2019
                                ___________
 
 Introduced  by  Sen.  JORDAN -- read twice and ordered printed, and when
   printed to be committed to the Committee on Local Government
 
 AN ACT to amend the general municipal law, in  relation  to  authorizing
   school  districts  to establish an insurance reserve fund in an amount
   and manner determined by a qualified and independent actuary certified
   by the American Academy of Actuaries to be  suitable,  reasonable  and
   necessary
 
   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 school  district  AND  ANY
 OTHER  SCHOOL  DISTRICT may establish insurance reserve funds in compli-
 ance with this section and article seventy-four of the education law, IN
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.

                                                            LBD08480-01-9

 S. 2067                             2
 
 AN AMOUNT AND MANNER DETERMINED BY A QUALIFIED AND  INDEPENDENT  ACTUARY
 CERTIFIED  BY  THE AMERICAN ACADEMY OF ACTUARIES TO BE SUITABLE, REASON-
 ABLE AND NECESSARY and such 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 author-
 ized pursuant to paragraph three of subsection (a) of section one  thou-
 sand 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.

co-Sponsors

View additional co-sponsors

2019-S2067A - Details

See Assembly Version of this Bill:: A114
Current Committee:: Senate Local Government
Law Section:: General Municipal Law
Laws Affected:: Amd §6-n, Gen Muni L
Versions Introduced in Other Legislative Sessions:: 2017-2018: A10145
2021-2022: S2065, A4940
2023-2024: S4489, A4953
2025-2026: S922

2019-S2067A - Summary

2019-S2067A - Sponsor Memo

                                
 
BILL NUMBER: S2067A

SPONSOR: JORDAN
 
TITLE OF BILL:

An act to amend the general municipal law, in relation to authorizing
all school districts to establish reserve funds

 
SUMMARY OF PROVISIONS:

Section 1 amends section 6-n of the general municipal law by providing
that any school district may establish insurance reserve funds in
compliance with section 6-n and provisions in the education law. It
additionally removes previous references to school districts that had
been specifically authorized to do so. The provisions also include a
limit on funds reserved to be determined by an independent actuary.

Section 2 sets forth the effective date.

 
JUSTIFICATION:

Current law allows municipal corporations to self-insure to provide
health insurance to their employees, officers, and retirees. Section 6-n
of the general municipal law specifically does so by allowing these
municipal corporations to establish and make expenditures from insurance
reserve funds, but exempts accident and health insurance from these
provisions.

Previous chapters authorized specific school districts to use their
insurance reserve funds for expenses related to health and accident
insurance as defined by paragraph three of subsection (a) of section one
thousand one hundred thirteen of the insurance law. In the era of the
tax cap, several school districts have opted to adopt self-insurance to
manage rising healthcare costs, and for these districts, insurance
reserve funds are necessary to maintain their self-insurance programs.
These districts have requested several bills currently before the legis-
lature that would allow their individual school district to do so, but
the policy of the State should be aimed at allowing all school districts
this degree of flexibility. This bill offers exactly that by expanding
the authorization to any school district that wishes to create or use an
insurance reserve fund for health self-insurance.

 
LEGISLATIVE HISTORY:

S.7702 of 2018, 3rd Reading

 
FISCAL IMPLICATIONS:

None to the state.

 
EFFECTIVE DATE:
The first of July next succeeding the date on which it shall have become
law.

2019-S2067A - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  2067--A
 
                        2019-2020 Regular Sessions
 
                             I N  S E N A T E
 
                             January 22, 2019
                                ___________
 
 Introduced  by  Sen.  JORDAN -- read twice and ordered printed, and when
   printed to be committed  to  the  Committee  on  Local  Government  --
   committee  discharged,  bill amended, ordered reprinted as amended and
   recommitted to said committee
 
 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-
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.

                                                            LBD08480-02-9

 S. 2067--A                          2
 
 ICAN  ACADEMY  OF  ACTUARIES  TO  BE  REASONABLE AND NECESSARY, and such
 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.

co-Sponsors

View additional co-sponsors

2019-S2067B (ACTIVE) - Details

See Assembly Version of this Bill:: A114
Current Committee:: Senate Local Government
Law Section:: General Municipal Law
Laws Affected:: Amd §6-n, Gen Muni L
Versions Introduced in Other Legislative Sessions:: 2017-2018: A10145
2021-2022: S2065, A4940
2023-2024: S4489, A4953
2025-2026: S922

2019-S2067B (ACTIVE) - Summary

2019-S2067B (ACTIVE) - Sponsor Memo

                                
 
BILL NUMBER: S2067B

SPONSOR: JORDAN
 
TITLE OF BILL:  An act to amend the general municipal law, in relation
to authorizing all school districts to establish reserve funds

 
SUMMARY OF PROVISIONS:

Section 1 amends section 6-n of the general municipal law by providing
that any school district may establish insurance reserve funds in
compliance with section 6-n and provisions in the education law.  The
provisions also include a limit on funds reserved to be determined by an
independent actuary.

Section 2 sets forth the effective date.

 
JUSTIFICATION:

Current law allows municipal corporations to self-insure to provide
health insurance to their employees, officers, and retirees. Section 6-n
of the general municipal law specifically does so by allowing these

municipal corporations to establish and make expenditures from insurance
reserve funds, but exempts accident and health insurance from these
provisions.

Previous chapters authorized specific school districts to use their
insurance reserve funds for expenses related to health and accident
insurance as defined by paragraph three of subsection (a) of section one
thousand one hundred thirteen of the insurance law. In the era of the
tax cap, several school districts have opted to adopt self-insurance to
manage rising healthcare costs, and for these districts, insurance
reserve funds are necessary to maintain their self-insurance programs.
These districts have requested several bills currently before the legis-
lature that would allow their individual school district to do so, but
the policy of the State should be aimed at allowing all school districts
this degree of flexibility.  This bill offers exactly that by expanding
the authorization to any school district that wishes to create or use an
insurance reserve fund for health self-insurance.

 
LEGISLATIVE HISTORY:

S.7702 of 2018, 3rd Reading

 
FISCAL IMPLICATIONS:

None to the state.

 
EFFECTIVE DATE:
The first of July next succeeding the date on which it shall have become
law.

2019-S2067B (ACTIVE) - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  2067--B
 
                        2019-2020 Regular Sessions
 
                             I N  S E N A T E
 
                             January 22, 2019
                                ___________
 
 Introduced by Sens. JORDAN, AKSHAR, AMEDORE, ANTONACCI, BOYLE, GALLIVAN,
   RANZENHOFER,  TEDISCO  --  read  twice  and  ordered printed, and when
   printed to be committed  to  the  Committee  on  Local  Government  --
   committee  discharged,  bill amended, ordered reprinted as amended and
   recommitted to said committee -- committee discharged,  bill  amended,
   ordered reprinted as amended and recommitted to said committee
 
 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 AND ANY OTHER school
 district may establish insurance reserve funds in compliance  with  this
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.

                                                            LBD08480-03-9

 S. 2067--B                          2
 
 section  and article seventy-four of the education law, IN AN AMOUNT AND
 MANNER DETERMINED BY A QUALIFIED AND INDEPENDENT  ACTUARY  CERTIFIED  BY
 THE  AMERICAN  ACADEMY  OF ACTUARIES TO BE REASONABLE AND NECESSARY, and
 such  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.

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Senate Bill S2067B

Sponsored By

Archive: Last Bill Status - In Senate Committee Local Government Committee

Actions

Bill Amendments

2019-S2067 - Details

2019-S2067 - Summary

2019-S2067 - Sponsor Memo

2019-S2067 - Bill Text download pdf

co-Sponsors

2019-S2067A - Details

2019-S2067A - Summary

2019-S2067A - Sponsor Memo

2019-S2067A - Bill Text download pdf

co-Sponsors

2019-S2067B (ACTIVE) - Details

2019-S2067B (ACTIVE) - Summary

2019-S2067B (ACTIVE) - Sponsor Memo

2019-S2067B (ACTIVE) - Bill Text download pdf

Comments

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Senate Bill S2067B

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Sponsored By

Archive: Last Bill Status - In Senate Committee Local Government Committee

Actions

Bill Amendments

2019-S2067 - Details

2019-S2067 - Summary

2019-S2067 - Sponsor Memo

2019-S2067 - Bill Text download pdf

co-Sponsors

2019-S2067A - Details

2019-S2067A - Summary

2019-S2067A - Sponsor Memo

2019-S2067A - Bill Text download pdf

co-Sponsors

2019-S2067B (ACTIVE) - Details

2019-S2067B (ACTIVE) - Summary

2019-S2067B (ACTIVE) - Sponsor Memo

2019-S2067B (ACTIVE) - Bill Text download pdf

Comments