S T A T E   O F   N E W   Y O R K
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                                  114--A
 
                        2019-2020 Regular Sessions
 
                           I N  A S S E M B L Y
 
                                (PREFILED)
 
                              January 9, 2019
                                ___________
 
 Introduced  by  M.  of A. BUCHWALD, GALEF, ZEBROWSKI, SEAWRIGHT, RIVERA,
   BARRON, CAHILL, LAVINE, CROUCH, COOK, ORTIZ -- Multi-Sponsored  by  --
   M.  of A. BARCLAY, SIMON -- read once and referred to the Committee on
   Education -- 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.
                                                            LBD01050-02-9

 A. 114--A                           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.