S T A T E O F N E W Y O R K
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1420
2025-2026 Regular Sessions
I N S E N A T E
January 9, 2025
___________
Introduced by Sen. LIU -- read twice and ordered printed, and when
printed to be committed to the Committee on New York City Education
AN ACT to amend the education law, in relation to the reimbursement rate
for charter school facilities expansion in a city school district in a
city having a population of one million or more inhabitants
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Subparagraph 5 of paragraph (e) of subdivision 3 of section
2853 of the education law, as amended by section 11 of part A of chapter
54 of the laws of 2016, clause (B) as amended by section 5 of part YYY
of chapter 59 of the laws of 2017, is amended to read as follows:
(5) (A) For a new charter school whose charter is granted or for an
existing charter school whose expansion of grade level, pursuant to this
article, is approved by their charter entity, if the appeal results in a
determination in favor of the charter school, the city school district
shall pay the charter school an amount attributable to the grade level
expansion or the formation of the new charter school that is equal to
the lesser of:
[(A)] (I) the [actual] REASONABLE rental cost of an alternative
privately owned site selected by the charter school or
[(B)] (II) thirty percent of the product of the charter school's basic
tuition for the current school year and [(i)] (1) for a new charter
school that first commences instruction on or after July first, two
thousand fourteen, the charter school's current year enrollment; or
[(ii)] (2) for a charter school which expands its grade level, pursuant
to this article, the positive difference of the charter school's enroll-
ment in the current school year minus the charter school's enrollment in
the school year prior to the first year of the expansion.
(B) FOR PURPOSES OF THIS SUBPARAGRAPH, THE "REASONABLE RENTAL COST OF
AN ALTERNATIVE PRIVATELY OWNED SITE" SHALL MEAN A RENTAL COST THAT IS
REASONABLE, APPROPRIATE, AND COMPARABLE TO THE RENTAL COSTS OF FACILI-
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD03870-01-5
S. 1420 2
TIES AT A SIMILAR LOCATION, AND OF A COMPARABLE QUALITY, CONDITION AND
SIZE, NOT TO EXCEED THE ACTUAL RENTAL COST INCURRED BY THE CHARTER
SCHOOL. REASONABLE RENTAL COSTS MAY ONLY BE APPLIED TO PHYSICAL FACILI-
TIES THAT ARE OR WILL BE IN USE BY THE CHARTER SCHOOL AS A SCHOOL DURING
THE FULL TERM OF THE LEASE OR SUBLEASE. REASONABLE RENTAL COSTS SHALL
NOT INCLUDE THE COST OF CONSTRUCTION OR RENOVATION.
§ 2. This act shall take effect immediately.