S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   7781
 
                        2021-2022 Regular Sessions
 
                           I N  A S S E M B L Y
 
                               May 21, 2021
                                ___________
 
 Introduced  by  M.  of  A.  BLANKENBUSH -- read once and referred to the
   Committee on Education
 
 AN ACT to establish an energy system tax stabilization reserve  fund  in
   the  Copenhagen Central School District to lessen or prevent increases
   in the school district's real property tax levy

   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Legislative findings. The legislature hereby finds that the
 private  development and ownership of wind energy systems located within
 the Copenhagen Central School District may result in instability in  the
 real property tax base and the budgets of the district due to the uncer-
 tainty  with  the  assessments of such wind energy systems and the vari-
 ability of payments in lieu of taxes prior to and after the payments  in
 lieu of taxes terminate.
   § 2. Definitions. As used in this act:
   (a)  "Board  of  education" or "board" means the board of education of
 the Copenhagen Central School District.
   (b) "Energy system tax stabilization reserve fund" or "fund" means the
 energy system tax stabilization fund established pursuant to this act.
   (c) "Payments in lieu of taxes" or "payments" means payments  in  lieu
 of taxes receivable by the school district pursuant to contracts entered
 into  in  accordance  with  section  487 of the real property tax law or
 subdivision 15 of section 858 of the general municipal law on  any  wind
 farm  energy  system  located  wholly or partially within the Copenhagen
 Central School District.
   (d) "School district"  or  "district"  means  the  Copenhagen  Central
 School District.
   (e)  "Wind  energy  systems" shall be defined as in section 487 of the
 real property tax law and shall include the land upon which  the  system
 is located, any equipment used in such generation, and equipment leading
 from the system to the interconnection with the transmission system.

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

                                                            LBD11364-01-1

 A. 7781                             2
 
   § 3. The board of education is hereby authorized to establish an ener-
 gy  system tax stabilization reserve fund to lessen or prevent increases
 in the school district's real property tax levy resulting from decreases
 in revenue due to changes in or termination of the payments in  lieu  of
 taxes receivable by the school district; provided, however, that no such
 fund  shall  be  established  unless  approved by a majority vote of the
 voters present and voting on a separate ballot proposition  therefor  at
 either  a special district meeting which the board of education may call
 for such purpose or at the annual district meeting and election,  to  be
 noticed  and  conducted  in either case in accordance with article 41 of
 the education law.  Such separate proposition shall set forth the  maxi-
 mum  allowable  balance  to  be  deposited and held in the energy system
 stabilization reserve fund. Moneys shall be paid into and withdrawn from
 the fund and the fund shall be administered as follows:
   (a) The board of education is hereby authorized to make payments  into
 the  energy  system  tax  stabilization  reserve  fund  with  funds from
 payments in lieu of taxes, as defined in subdivision (c) of section  two
 of  this  act  which  accrued  prior  to the establishment of the energy
 system tax stabilization reserve fund in an amount  not  to  exceed  the
 balance  over  any  maximum  allowable  balance  in such unassigned fund
 balance and from any reserve funds authorized  or  required  by  law  in
 amounts  which the board of education shall determine are not reasonably
 necessary for the purpose of such fund or funds and which accrued  prior
 to the establishment of the energy system tax stabilization reserve fund
 provided  that  no  such payment from any unassigned fund balance or any
 reserve fund shall cause the balance of the fund to  exceed  the  amount
 approved in the ballot proposal described above.
   (b) For any school district fiscal year commencing after the effective
 date  of  this  act  and  after  the  establishment of the energy system
 stabilization reserve fund, the board of education  may  determine  that
 there  shall  be  paid into the fund all or any portion of the amount by
 which the payments in lieu of taxes receivable by  the  school  district
 for  such fiscal year is greater than the amount of payments received by
 the school district for the preceding fiscal year provided that no  such
 payment  into  the  reserve  fund shall cause the balance of the fund to
 exceed the amount approved in the ballot proposal described above.
   (c) Moneys may be withdrawn from the energy system  tax  stabilization
 reserve  fund for any fiscal year to be expended for any lawful purpose.
 Withdrawals from the fund shall be disclosed in a manner consistent with
 the required disclosures of similar reserve funds held by the  district,
 including  disclosures required by the property tax report card prepared
 by the district pursuant to the provisions of subdivision 7  of  section
 1716  of  the  education  law; and deposits and withdrawals made in each
 fiscal year shall be subject to the district's  annual  budget  approval
 process.
   (d)  The  moneys in the energy system stabilization reserve fund shall
 be deposited, invested and accounted for in the manner provided  for  in
 subdivisions  2  and 6 of section 3651 and section 3652 of the education
 law.
   § 4. This act shall take effect immediately.