BILL NUMBER: S3779

SPONSOR: GRIFFO
 
TITLE OF BILL:  An act to amend the state finance law, in relation to
investment of moneys in the state fish and game trust account

 
PURPOSE:

To create a special account within the conservation fund to be known as
the state fish and game trust account

 
SUMMARY OF PROVISIONS:

Section 1. Subparagraph (i) of paragraph 4 of subdivision (a) of section
83 of the state finance law, as amended by section 1 part AA of chapter
58 of the laws of 2015, I amended to read as follows:

(i) There is hereby created a special account within the conservation
fund to be known as the state fish and game trust account to consist of
all moneys received by the state from the sale of lifetime hunting,
fishing, and trapping licenses, and lifetime archery and muzzle-loading
              

privileges pursuant to section 11-0702 of the environmental conservation
law except those moneys deposited in the habitat conservation and access
account pursuant to section 83 of this chapter. The state comptroller
shall invest the moneys in such account in securities as defined by
section 98a of this article or as otherwise deemed appropriate by the
comptroller to maximize income for the account consistent with the
provisions of sub-division b of section 13 of the retirement and social
security law. Any income earned by the investment of such moneys, except
income transferred to the conservation fund pursuant to subparagraph
(iii) of this paragraph, shall be added to and become part of and shall
be used for the purposes of such account.

Section 2. amends the effective date as follows:

This act shall take effect on the thirtieth day after it shall have
become a law; provided, however, that effective immediately, the addi-
tion, 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.

 
JUSTIFICATION:

It is inherent for the Comptroller to be able to invest in the Fish and
Game Trust account (Fund Code 21154). Doing so would allow revision of
paragraph 4 subdivision a of Section 83 of State Finance Law, allowing
the Comptroller's Office more freedom to invest the Lifetime License
monies. It is apparent that the Conservation Fund, at current spending
levels, will eventually go into the red. If funds were able to be more
broadly invested, it would be able to curtail this impact.

In 2009-2010 the interest earned was only $70,000 on $45 million of
principal. Allowing such legislation could aid important causes, such as
impact Retirement Funds, allowing a return between 6-8%.  Furthermore, a
return of 7% on $55 million would induce a return of $3.8 million, three
times what it earned in the 2009-2010 year. The importance lies in
giving broader authority to the Comptroller to invest in the Fish and
Game Trust Account, so that a sensible rate of return can be earned on

the State Funds to help protect the state's wildlife and minimize future
budget pressures.

 
LEGISLATIVE HISTORY:

2017-18 - S. 4575 - Passed Senate/A. 5468 - Environmental Conservation

 
FISCAL IMPLICATIONS:

TBD

 
EFFECTIVE DATE:
This act shall take effect on the thirtieth day after it shall have
become a law; provided, however, that effective immediately, the addi-
tion, 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.