NY State Senate Bill 2023-S8389

Senate Bill S8389

2023-2024 Legislative Session

Relates to the allocation of funds from the clean water state revolving fund and the drinking water revolving fund by the environmental facilities corporation

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Current Bill Status - In Senate Committee Corporations, Authorities And Commissions 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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	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jan 25, 2024	referred to corporations, authorities and commissions

2023-S8389 (ACTIVE) - Details

Current Committee:: Senate Corporations, Authorities And Commissions
Law Section:: Public Authorities Law
Laws Affected:: Amd §§1285-j & 1285-m, Pub Auth L; amd §17-1909, En Con L; amd §1162, Pub Health L

2023-S8389 (ACTIVE) - Summary

Provides that allocation of funds from the clean water state revolving fund and the drinking water revolving fund by the environmental facilities corporation shall be proportional according to population of municipalities and shall not be subject to dollar limitations.

2023-S8389 (ACTIVE) - Sponsor Memo

                                 
BILL NUMBER: S8389

SPONSOR: SCARCELLA-SPANTON
 
TITLE OF BILL:

An act to amend the public authorities law, the environmental conserva-
tion law and the public health law, in relation to the allocation of
funds from the clean water state revolving fund  and the drinking water
revolving fund by the environmental facilities corporation

 
SUMMARY OF SPECIFIC PROVISIONS:

Section 1. Paragraph (a) of subdivision 1 of section 1285-j of the
public authorities' law, as amended by chapter 262 of the laws of 2007.
The corporation shall undertake and provide assistance in support of the
program to make financial assistance available to municipalities to
encourage and support the planning, development and construction of
municipal water pollution control project in accordance with the
provision of this section, section 17-1909 of the environmental conser-
vation law, and to make financial assistance available to eligible
borrowers through linked deposits made in accordance with article
sixteen of the state finance law. Money of the fund shall be allocated
to municipalities for eligible projects in proportion to the population

of such municipality and shall not be subject to a dollar amount limita-
tion.

Section 2. Paragraph q of subdivision 1 of section 17-1909 of the envi-
ronmental conservation law, as amended by chapter 262 of the laws of
2007, is amended, "intended use plan" means the plan prepared pursuant
to subdivision tow of this section, identifying the intended uses of the
amounts available in the fund, including but not limited to: (i) a list
of those projects for construction of publicly owned treatment works on
the priority list developed pursuant to subdivision tow of this section
anticipated to be finances by the fund through the water pollution
control linked deposit programs; (iii) a description of the short and
long term goals and objectives of the fund; (iv) information on the
activities to be supported, including a description of project catego-
ries, discharge requirements under the Federal Water pollution Control
act, terms of financial assistance, and eligible borrowers pursuant to
the water pollution control linked deposit program served; 9v) the
criteria and method established for the distribution of funds; and (vi)
the amount of moneys for the fund, not to exceed ten million dollars
annually, to be made available for linked loans under the water
pollution control linked deposit program during the period covers by
such intended use plan.

Section 3 Paragraph a of subdivision 3 of section 17-1909 of the envi-
ronmental conservation law, as amended by chapter 259 of the laws of
2021; the corporation is authorized to promulgate regulations, developed
in consultation with the commission and the director of the division of
the budget, for the purposes of carrying out its responsibilities under
this section, including establish criteria and standards for determining
the amount of financial assistance to a municipality for and eligible
project,; provided, however, that such regulation shall provide that
moneys of the fund shall be allocated to municipalities for eligible
projects in proportion to the population of such municipality and shall
not be subject to a dollar amount limitation.


Section 4; Subdivision 1 of section 1162 of the public health law, as
amend by chapter 134 of the laws of 2007, is amended to read; the corpo-
ration is authorized to promulgate regulations, developed in consulta-
tion with the commissioner and director of the division of the budget,
for the purposed of carrying our it responsibilities under this title,
including establishing criteria and standards for determining the amount
and kind of financial assistance to a recipient for an eligible project.
Provided, however, that such regulation shall provide that moneys of the
fund shall be allocated to municipalities for eligible projects in
proportion to the population of such municipality and shall be subject
to a dollar amount limitation.

Section 5; Paragraph (b) of subdivision 1 of section 1285-m of the
public authorities' law, as added by chapter 134 of the laws of 2007, is
amended: There is hereby established in the custody of the corporation a
special fund to be know as the drinking water revolving fund. Except as
otherwise provided by this paragraph, moneys in the drinking water
revolving fund shall be segregated from all other funds of or in the
custody of the corporation subject to any rights of holders of corpo-
ration bonds or notes issues for the purposed of this section. Moneys in
the drinking water revolving fund shall only be used in accordance with
the provision of this section and title four of article eleven of the
public health law; provided that , in addition, to the extent permitted
by federal or state law, money in the drinking water revolving fund may
be transferred to and used for the purposes authorized for the water
pollution control revolving fund, and money in the water pollution
control revolving fund may be transferred to and used for the purposes
authorized for the drinking water revolving fund.

Section 6; This act shall take effect immediately.

 
JUSTIFICATION:

Aging infrastructure throughout our state requires attention from all
levels of government. The use of lead in the manufacturing of pipes used
to access drinking water has become a relevant concern in recent decades
as research has shown that the consumption of lead poses serious health
risks. Ensuring that private owners have access to the necessary funds
to upgrade and replace aging pipes is essential to promoting public
health and safety.

This bill guarantees that funding allocated to improve surface and
subsurface infrastructure related to accessing clean water, - whether
through pollution control measures or clean drinking water initiatives -
is appropriated fairly and in proportion to the population of the local-
ities affected by lead contamination in their drinking water.

 
LEGISLATIVE HISTORY:

New

 
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:

Yet to be determined.

 
EFFECTIVE DATE:
This act shall take effect immediately.

2023-S8389 (ACTIVE) - Bill Text download pdf

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   8389
 
                             I N  S E N A T E
 
                             January 25, 2024
                                ___________
 
 Introduced  by Sen. SCARCELLA-SPANTON -- read twice and ordered printed,
   and when printed to be committed to  the  Committee  on  Corporations,
   Authorities and Commissions
 
 AN  ACT to amend the public authorities law, the environmental conserva-
   tion law and the public health law, in relation to the  allocation  of
   funds  from  the  clean  water state revolving fund   and the drinking
   water revolving fund by the environmental facilities corporation
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Paragraph  (a)  of subdivision 1 of section 1285-j of the
 public authorities law, as amended by chapter 262 of the laws  of  2007,
 is amended to read as follows:
   (a)  The corporation shall undertake and provide assistance in support
 of the program to make financial assistance available to  municipalities
 to  encourage  and support the planning, development and construction of
 municipal water  pollution  control  projects  in  accordance  with  the
 provisions of this section, section 17-1909 of the environmental conser-
 vation  law,  and  to  make  financial  assistance available to eligible
 borrowers through  linked  deposits  made  in  accordance  with  article
 sixteen  of the state finance law. MONEYS OF THE FUND SHALL BE ALLOCATED
 TO MUNICIPALITIES FOR ELIGIBLE PROJECTS IN PROPORTION TO THE  POPULATION
 OF SUCH MUNICIPALITY AND SHALL NOT BE SUBJECT TO A DOLLAR AMOUNT LIMITA-
 TION.
   §  2.  Paragraph g of subdivision 1 of section 17-1909 of the environ-
 mental conservation law, as amended by chapter 262 of the laws of  2007,
 is amended to read as follows:
   g. "Intended use plan" means the plan prepared pursuant to subdivision
 two of this section, identifying the intended uses of the amounts avail-
 able  in  the  fund,  including  but not limited to: (i) a list of those
 projects for construction of  publicly  owned  treatment  works  on  the
 priority  list  developed  pursuant  to subdivision two of this section;
 (ii) a list of projects developed pursuant to subdivision  two  of  this
 section  anticipated  to  be  financed  by  the  fund  through the water
 pollution control linked deposit program; (iii)  a  description  of  the
 short  and  long term goals and objectives of the fund; (iv) information
 on the activities to be supported, including a  description  of  project
 categories,  discharge  requirements  under  the Federal Water Pollution

 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD14236-01-4
 S. 8389                             2
 
 Control Act, terms  of  financial  assistance,  and  eligible  borrowers
 pursuant  to  the water pollution control linked deposit program served;
 (v) the criteria and method established for the distribution  of  funds;
 and  (vi) the amount of moneys from the fund[, not to exceed ten million
 dollars annually,] to be made available for linked loans under the water
 pollution control linked deposit program during the  period  covered  by
 such intended use plan.
   §  3.  Paragraph a of subdivision 3 of section 17-1909 of the environ-
 mental conservation law, as amended by chapter 259 of the laws of  2021,
 is amended to read as follows:
   a.  The corporation is authorized to promulgate regulations, developed
 in consultation with the commissioner and the director of  the  division
 of  the  budget,  for  the  purpose of carrying out its responsibilities
 under this section, including establishing criteria  and  standards  for
 determining  the amount of financial assistance to a municipality for an
 eligible project; PROVIDED, HOWEVER, THAT SUCH REGULATIONS SHALL PROVIDE
 THAT MONEYS OF THE FUND SHALL BE ALLOCATED TO MUNICIPALITIES FOR  ELIGI-
 BLE  PROJECTS  IN  PROPORTION TO THE POPULATION OF SUCH MUNICIPALITY AND
 SHALL NOT BE SUBJECT TO A DOLLAR AMOUNT LIMITATION. To the extent finan-
 cial assistance to a municipality for an eligible project is provided as
 a loan from the proceeds of bonds  or  notes  of  the  corporation,  the
 amount  of  an  allocation  applicable  to  the portion of such eligible
 project financed with such loan shall be, subject to such maximum finan-
 cial limitations as may otherwise be necessary  and  prescribed  by  the
 commissioner  and  the  director  of the division of the budget, thirty-
 three and one-third  percent  of  the  principal  amount  of  such  loan
 outstanding at any time for such eligible project, to the extent reason-
 ably  practicable, and subject to such deviation as may be necessary, in
 connection with the administration and investment of moneys in the fund,
 unless allocations in differing amounts  are  necessary  to  preclude  a
 determination  by  the commissioner or the corporation pursuant to para-
 graph e of subdivision eight of this section or unless an allocation  in
 a  differing  amount  is  required  for  an innovative technology demon-
 stration project; provided, however, that in the  case  of  any  munici-
 pality  which  has, during the period commencing on June first, nineteen
 hundred ninety-two and ending on September thirtieth, two thousand twen-
 ty-four, (i) submitted an application for financial  assistance  in  the
 form  of such a loan for an eligible project, which application has been
 accepted by the  corporation,  (ii)  closed  on  such  loan,  and  (iii)
 commenced construction of such eligible project, the allocation applica-
 ble  to  the  portion  of such project financed with such loan shall be,
 subject to maximum financial limitations as may otherwise  be  necessary
 and  prescribed  by the commissioner and the director of the division of
 the budget, fifty percent of the principal balance outstanding  on  such
 loan  at  any  time  for such eligible project, to the extent reasonably
 practicable, and subject to such  deviation  as  may  be  necessary,  in
 connection with the administration and investment of moneys in the fund,
 unless  allocations  in  differing  amounts  are necessary to preclude a
 determination by the commissioner or the corporation pursuant  to  para-
 graph  e of subdivision eight of this section or unless an allocation in
 a differing amount is  required  for  an  innovative  technology  demon-
 stration project.
   §  4.  Subdivision  1  of  section  1162  of the public health law, as
 amended by chapter 134 of the laws  of  2007,  is  amended  to  read  as
 follows:
 S. 8389                             3
 
   1.  The corporation is authorized to promulgate regulations, developed
 in consultation with the commissioner and the director of  the  division
 of  the  budget,  for  the  purpose of carrying out its responsibilities
 under this title, including  establishing  criteria  and  standards  for
 determining  the  amount and kind of financial assistance to a recipient
 for an eligible project. To the extent financial assistance to a recipi-
 ent for an eligible project is provided from the proceeds  of  bonds  or
 notes  of the corporation, the amount of an allocation applicable to the
 portion of such eligible project financed with such financial assistance
 shall be determined by the corporation in  accordance  with  such  regu-
 lations,  if any; PROVIDED, HOWEVER, THAT SUCH REGULATIONS SHALL PROVIDE
 THAT MONEYS OF THE FUND SHALL BE ALLOCATED TO MUNICIPALITIES FOR  ELIGI-
 BLE  PROJECTS  IN  PROPORTION TO THE POPULATION OF SUCH MUNICIPALITY AND
 SHALL NOT BE SUBJECT TO A DOLLAR AMOUNT LIMITATION.
   § 5. Paragraph (b) of subdivision 1 of section 1285-m  of  the  public
 authorities law, as added by chapter 134 of the laws of 2007, is amended
 to read as follows:
   (b)  There  is  hereby established in the custody of the corporation a
 special fund to be known as the drinking water revolving fund. Except as
 otherwise provided by this  paragraph,  moneys  in  the  drinking  water
 revolving  fund  shall  be  segregated from all other funds of or in the
 custody of the corporation subject to any rights of  holders  of  corpo-
 ration  bonds  or notes issued for the purposes of this section.  Moneys
 in the drinking water revolving fund shall only be  used  in  accordance
 with  the provisions of this section and title four of article eleven of
 the public health law; provided that, in addition, to the extent permit-
 ted by federal or state law, moneys in the drinking water revolving fund
 may be transferred to and used for the purposes authorized for the water
 pollution control revolving fund, and  moneys  in  the  water  pollution
 control  revolving  fund may be transferred to and used for the purposes
 authorized for the drinking water revolving fund.   The  moneys  in  the
 drinking  water  revolving  fund  shall  be  applied  to or paid out for
 authorized purposes of such fund in accordance with subdivision four  of
 this  section and title four of article eleven of the public health law.
 To the extent approved by the commissioner of health and the commission-
 er of environmental conservation and notwithstanding the  provisions  of
 paragraph  (a) of this subdivision, moneys in the drinking water revolv-
 ing fund and in the water pollution control revolving fund may  be  held
 together;  provided  that  all such moneys are segregated from all other
 funds of or in the custody of the corporation subject to any  rights  of
 holders  of  corporation  bonds or notes issued for the purposes of this
 section; provided further, that  the  corporation  shall  establish  and
 maintain  or  cause  there  to be established and maintained a system of
 tracking the application of such moneys to the purposes of this section.
 The corporation may establish within the drinking water  revolving  fund
 additional accounts or subaccounts and specify any conditions applicable
 to  the  transfer  of  moneys between such accounts or subaccounts. With
 respect to each eligible project, the corporation  shall  establish  and
 maintain  a  record  of  the allocation provided for the benefit of such
 project in accordance with the terms of the applicable financing  agree-
 ment. MONEYS OF THE FUND SHALL BE ALLOCATED TO MUNICIPALITIES FOR ELIGI-
 BLE  PROJECTS  IN  PROPORTION TO THE POPULATION OF SUCH MUNICIPALITY AND
 SHALL NOT BE SUBJECT TO A DOLLAR AMOUNT LIMITATION.
   § 6. This act shall take effect immediately.

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