Assembly Bill A10673

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   10673
 
                           I N  A S S E M B L Y
 
                              March 20, 2026
                                ___________
 
 Introduced  by M. of A. WOERNER -- read once and referred to the Commit-
   tee on Education
 
 AN ACT to amend the education law and  the  general  municipal  law,  in
   relation to certain lease terms for BOCES properties
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:

   Section 1. Subparagraph (a) of paragraph p of subdivision 4 of section
 1950 of the education law, as amended by chapter  374  of  the  laws  of
 2014, is amended to read as follows:
   (a) To rent suitable land, classrooms, offices or buildings upon or in
 which  to maintain and conduct such cooperative educational services and
 administrative offices for a period not to  exceed  [ten]  TWENTY  years
 [for leases entered into with public entities and twenty years for leas-
 es  entered  into with non-public entities] and to improve, alter, equip
 and furnish such land, classrooms, offices or buildings  in  a  suitable
 manner for such purposes, provided that: (1) before executing any lease,
 the board shall adopt a resolution determining that such agreement is in
 the best financial interests of the supervisory district and stating the
 basis  of  that  determination; (2) the rental payment shall not be more
 than the fair market value as determined by the board  and  provided  to
 the  commissioner;  (3)  The  board  discloses  any conflict of interest
 pursuant to subparagraph (c) of this paragraph, or any  other  potential
 or perceived conflict of interest, to the commissioner, and in the event
 of a conflict of interest or a potential or perceived conflict of inter-
 est,  provides  detailed documentation to the commissioner demonstrating
 that the cost of the lease is not more than fair market value;  and  (4)
 upon  the consent of the commissioner, renewal of such lease may be made
 for a period of up to ten years. Nothing contained herein shall  prevent
 the  board  from  entering into a lease agreement which provides for the
 cancellation of the same by such board upon: (i) a substantial  increase
 or  decrease  in  pupil  enrollment; or (ii) a substantial change in the
 needs and requirements of a board of  cooperative  educational  services
 with respect to facilities; or (iii) any other change which substantial-
 ly  affects  the  needs or requirements of a board of cooperative educa-
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD14261-03-6
 A. 10673                            2
 
 tional services or the community in which it is  located.  No  lease  or
 other  contract  for  the occupancy of such land, classrooms, offices or
 buildings shall be enforceable against the board of  cooperative  educa-
 tional  services  unless  and until the same shall have been approved in
 writing by the commissioner. In the case of  a  lease  longer  than  ten
 years,  the  commissioner's written approval must include a finding that
 the proposed lease complies with all requirements of this paragraph  and
 would be more cost-effective than a lease of ten years or fewer.
   §  2.  Paragraph  (b)  of  subdivision  1, and subdivisions 3 and 5 of
 section 403-a of the education law, paragraph (b) of  subdivision  1  as
 amended  and  subdivision  5 as added by chapter 459 of the laws of 1979
 and subdivision 3 as amended by chapter 460 of the  laws  of  1979,  are
 amended to read as follows:
   (b) The term of the lease shall not exceed ten years, EXCEPT WHEN SUCH
 LEASE  IS ESTABLISHED IN ACCORDANCE WITH SUBPARAGRAPH (A) OF PARAGRAPH P
 OF SUBDIVISION FOUR OF SECTION NINETEEN HUNDRED FIFTY OF  THIS  CHAPTER,
 SUCH LEASE TERM SHALL NOT EXCEED TWENTY YEARS.
   3.  The board of education or trustees of a school district are hereby
 authorized to lease real property upon such terms and conditions as  the
 board of education or trustees may deem appropriate to any person, part-
 nership  or  corporation  such board of education or trustees shall have
 determined who will provide the most benefit to the school district  for
 periods  not  to exceed ten years, PROVIDED HOWEVER THAT PROPERTY LEASED
 IN ACCORDANCE WITH SUBPARAGRAPH (A) OF PARAGRAPH P OF  SUBDIVISION  FOUR
 OF SECTION NINETEEN HUNDRED FIFTY OF THIS CHAPTER MAY EXCEED A PERIOD OF
 TEN  YEARS.  Such  leases  may also be renewed for a period of up to ten
 years upon the consent of the commissioner.
   5. Notwithstanding the provisions of paragraph (b) of subdivision  one
 hereof the board of education or trustees of a school district are here-
 by  authorized  to  enter  into a lease agreement in accordance with the
 provisions of this section for a period in excess of ten years  subject,
 however,  to  voter  approval  by  referendum.  PROVIDED HOWEVER, LEASES
 ESTABLISHED IN ACCORDANCE WITH SUBPARAGRAPH (A) OF PARAGRAPH P OF SUBDI-
 VISION FOUR OF SECTION NINETEEN HUNDRED FIFTY OF THIS CHAPTER MAY EXCEED
 A PERIOD OF TEN YEARS WITHOUT VOTER APPROVAL BY REFERENDUM; SUCH  LEASES
 SHALL NOT EXCEED A PERIOD OF TWENTY YEARS.
   §  3. Subdivision (a) of section 72-h of the general municipal law, as
 amended by chapter 562 of the laws  of  1990,  is  amended  to  read  as
 follows:
   (a) Notwithstanding any provision of any general, special or local law
 or  of  any  charter,  the  supervisors of a county, the town board of a
 town, the board of trustees of a village, the board of fire  commission-
 ers  of a fire district, the board of estimate of a city, or if there be
 none the local legislative body of such city, and, in a  city  having  a
 population  of one million or more, the mayor, subject to disapproval by
 the council within thirty  days  following  receipt  of  notice  of  the
 approval  of  the mayor, may sell, transfer or lease to or exchange with
 any municipal corporation or municipal  corporations,  school  district,
 board  of  cooperative educational services, fire district, the state of
 New York, or the government of the  United  States  and  any  agency  or
 department  thereof,  either without consideration or for such consider-
 ation and upon such terms and conditions as shall be  approved  by  such
 officer  or body, any real property owned by such county, town, village,
 fire district or city; and any municipal corporation  or  fire  district
 may acquire or lease such real property as provided in this section. The
 term  of  any  lease  entered  into  pursuant  to the provisions of this
 A. 10673                            3
 
 section shall not exceed ten years [but nothing], UNLESS  THE  LEASE  IS
 ESTABLISHED IN ACCORDANCE WITH SUBPARAGRAPH (A) OF PARAGRAPH P OF SUBDI-
 VISION  FOUR  OF  SECTION NINETEEN HUNDRED FIFTY OF THE EDUCATION LAW IN
 WHICH CASE, SUCH LEASE TERM SHALL NOT EXCEED TWENTY YEARS. NOTHING here-
 in contained shall prevent the renewal of any such lease.
   §  4.  This act shall take effect immediately; provided, however, that
 the amendments to subparagraph (a) of paragraph p of  subdivision  4  of
 section  1950 of the education law made by section one of this act shall
 not affect the expiration of such subparagraph and shall  be  deemed  to
 expire therewith.