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Assembly Bill A7904

2025-2026 Legislative Session

Authorizes school districts to establish reserve funds for special services or programs

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Current Bill Status - In Assembly Committee

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2025-A7904 (ACTIVE) - Details

See Senate Version of this Bill:
S6622
Current Committee:
Assembly Education
Law Section:
Education Law
Laws Affected:
Amd §3651, Ed L

2025-A7904 (ACTIVE) - Summary

Authorizes school districts to establish reserve funds for special services or programs upon approval by the board of education of such district in an amount not to exceed 10% of other reserve funds of the district.

2025-A7904 (ACTIVE) - Bill Text download pdf 

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   7904
 
                        2025-2026 Regular Sessions
 
                           I N  A S S E M B L Y
 
                              April 11, 2025
                                ___________
 
 Introduced  by M. of A. SMULLEN -- read once and referred to the Commit-
   tee on Education
 
 AN ACT to amend the education law, in  relation  to  authorizing  school
   districts to establish reserve funds for special services or programs
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Section 3651 of the education law is amended by adding  two
 new subdivisions 1-c  and 3-b to read as follows:
   1-C.  NOTWITHSTANDING  THE  PROVISIONS  OF  SUBDIVISION  ONE  OF  THIS
 SECTION, ANY SCHOOL DISTRICT MAY ESTABLISH A RESERVE  FUND  FOR  SPECIAL
 SERVICES  OR  PROGRAMS  UPON  APPROVAL BY THE BOARD OF EDUCATION OF SUCH
 SCHOOL DISTRICT, AND WITHOUT ANY FURTHER APPROVAL BEING REQUIRED BY  THE
 QUALIFIED  VOTERS  OF  SUCH SCHOOL DISTRICT, PROVIDED, HOWEVER, THAT THE
 TOTAL OF THE MONIES HELD IN SUCH  RESERVE  FUND  SHALL  NOT  EXCEED  TEN
 PERCENT  OF  THE  MONIES  HELD BY SUCH SCHOOL DISTRICT IN A RESERVE FUND
 ESTABLISHED PURSUANT TO SUBDIVISION ONE OF THIS  SECTION.  SUCH  RESERVE
 FUND  MAY  BE  ESTABLISHED FOR FUNDING, IN WHOLE OR IN PART, THE COST OF
 ANY SPECIAL SERVICES OR PROGRAMS ESTABLISHED BY  SUCH  SCHOOL  DISTRICT.
 UPON  APPROVAL OF THE CREATION OF SUCH RESERVE FUND, THE BOARD OF EDUCA-
 TION OF SHALL DETERMINE THE ULTIMATE AMOUNT, THE PROBABLE TERM, AND  THE
 SOURCE  FROM  WHICH  THE MONIES OF SUCH RESERVE FUND ARE TO BE OBTAINED.
 THERE SHALL BE PAID INTO SUCH RESERVE FUND AN ANNUAL  AMOUNT  SUFFICIENT
 TO  MEET THE REQUIREMENTS OF SUCH BOARD OF EDUCATION'S DETERMINATION. IN
 ADDITION, THE BOARD OF EDUCATION OF SUCH SCHOOL DISTRICT MAY  FROM  TIME
 TO  TIME  DIRECT  THE  SCHOOL  AUTHORITIES TO PAY INTO SUCH RESERVE FUND
 MONIES DERIVED FROM ANY OTHER SOURCE. UPON THE  CREATION  OF  A  RESERVE
 FUND  UNDER  THIS  SUBDIVISION,  THE  BOARD  OF  EDUCATION OF THE SCHOOL
 DISTRICT MAY AUTHORIZE A ONE-TIME REMOVAL OF RESTRICTIONS FROM ANY OTHER
 PROTECTED RESERVES OF  SUCH  SCHOOL  DISTRICT  TO  INITIALLY  FUND  SUCH
 RESERVE  FUND.  FOR  THE PURPOSES OF THIS SUBDIVISION, THE TERM "SPECIAL
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD10896-01-5
 A. 7904                             2

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