RETRIEVE BILL ELFA - 0607


                STATE OF NEW YORK
        ________________________________________________________________________

            S. 6458                                                  A. 9558

                SENATE - ASSEMBLY

                                    January 20, 2006
                                       ___________

        IN  SENATE -- A BUDGET BILL, submitted by the Governor pursuant to arti-
          cle seven of the Constitution -- read twice and ordered  printed,  and
          when printed to be committed to the Committee on Finance

        IN  ASSEMBLY  --  A  BUDGET  BILL, submitted by the Governor pursuant to
          article seven of the Constitution -- read once  and  referred  to  the
          Committee on Ways and Means

        AN  ACT  to  amend  the  education law, in relation to the powers of the
          boards of trustees of the state university of New  York  to  establish
          and  contract  with not-for-profit corporations (Part A); to amend the
          education law, in relation to the composition of the boards  of  trus-
          tees  of  the  state university of New York and the city university of
          New York (Part B); to amend the education  law,  in  relation  to  the
          powers  of  the boards of trustees of the state university of New York
          and the city university of New York to establish tuition  rates  (Part
          C); to direct the state university of New York, the city university of
          New  York,  and  the  office  of general services to develop a surplus
          property and facility relocation plan (Part D); to amend the education
          law, in relation to creating the Partnership to Accelerate  Completion
          Time  (Part  E);  to amend chapter 57 of the laws of 2005 amending the
          labor law and other laws relating to  implementing  the  state  fiscal
          plan  for  the  2005-2006  state  fiscal  year, in relation to current
          restrictions on the execution of  private  contracts  for  the  higher
          education  facilities  capital  matching  grants  program (Part F); to
          amend the education law, in relation to creating the  New  York  state
          math  and  science  teaching  incentive program (Part G); to amend the
          education law, in relation to financing of capital projects,  district
          elections,  qualifications  of  school officers, records to be kept by
          school districts, and the calculation and  payment  of  state  aid  to
          school  districts  and  boards of cooperative educational services; to
          amend the general municipal law, in relation to  code  of  ethics  and
          specifications  for certain public works; to amend the public authori-
          ties  law,  in  relation  to  entering  into  agreements  with  school
          districts  and charter schools; to amend the real property tax law, in
          relation to special equalization rates for certain  school  districts;
          to amend chapter 756 of the laws of 1992 relating to funding a program
          for  workforce education conducted by the consortium for worker educa-

         EXPLANATION--Matter in italics(underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD12272-01-6
        S. 6458                             2                            A. 9558

          tion in New York  city,  in  relation  to  reimbursement  for  certain
          programs; to amend chapter 169 of the laws of 1994 relating to certain
          provisions related to the 1994-95 state operations, aid to localities,
          capital  projects  and  debt  service  budgets, in relation to certain
          expiration and repeal dates contained therein; to amend chapter 82  of
          the  laws  of  1995, amending the education law and certain other laws
          relating to state aid to school districts  and  the  appropriation  of
          funds  for the support of government, in relation to the effectiveness
          thereof; to amend chapter 472 of the laws of 1998, amending the educa-
          tion law relating to the lease of school buses by school districts, in
          relation to the effectiveness thereof; to repeal certain provisions of
          the education law relating to the letting  of  construction  contracts
          and  special  meetings  in  common school districts; to repeal certain
          provisions of the public authorities law relating to  use  of  outside
          design, drafting or inspection services; to repeal section 11 of chap-
          ter  795  of  the laws of 1967, amending the education law, the public
          authorities law and the real property tax law relating to  authorizing
          boards of cooperative educational services to own and construct build-
          ings,  relating  to specification for certain work; to repeal subdivi-
          sion 11 of section 94 of part C of chapter 57  of  the  laws  of  2004
          amending  the  labor  law,  the general business law and various other
          laws relating to implementation of  the  state  fiscal  plan  for  the
          2004-2005  state  fiscal  year and providing for the repeal of certain
          provisions upon expiration  thereof  (Part  H);  to  amend  the  state
          finance  law,  in  relation  to establishing a tenured teacher hearing
          account; and to amend the education law, in relation to administration
          of disciplinary hearings of tenured teachers (Part I);  to  amend  the
          tax  law, the real property tax law and the education law, in relation
          to providing for the STAR Plus rebate program (Part J); to  amend  the
          arts  and  cultural affairs law and the state finance law, in relation
          to establishing the  New  York  state  cultural  education  trust  and
          providing  for  the  powers  and duties thereof (Part K); to amend the
          education law, in relation to the  eligibility  requirements  for  the
          tuition  assistance  program  (Part L); to amend the real property tax
          law, in relation to providing for a  cost  of  living  adjustment  for
          enhanced  STAR  exemption  for  eligible  senior citizens (Part M); to
          amend the general business law, in relation to the transfer of author-
          ity over  radioactive  materials  and  radiation  equipment  from  the
          department of labor to the department of health (Part N); to amend the
          labor  law,  in relation to worker protection and labor standards fees
          (Part O); to amend the social services law, the  business  corporation
          law,  the not-for-profit corporation law and the state finance law, in
          relation to child day care licensing, registration and enforcement; to
          repeal subdivision 2 of section 460-a  of  the  social  services  law,
          relating  to approval of child day care certificates of incorporation;
          to repeal paragraph (d) of section 201  of  the  business  corporation
          law,  relating  to approval of child day care certificates of incorpo-
          ration; and to repeal section 405 of the business corporation law,  in
          relation  to  approval  of  certificate  of incorporation (Part P); to
          amend the social services law, in relation to  penalties  imposed  for
          noncompliance  with  public  assistance work requirements (Part Q); to
          amend the social services law, in  relation  to  reducing  the  earned
          income  disregard  percentage for public assistance recipients; and to
          repeal certain provisions of such law relating thereto  (Part  R);  to
          amend  the  social  services  law,  in  relation to the personal needs
          allowance of recipients of safety net assistance  residing  in  family
        S. 6458                             3                            A. 9558

          care  and  residential  care  facilities (Part S); to amend the social
          services law, in relation to providing that certain  grants  to  needy
          persons  shall  be pro-rated where a household member receives SSI and
          is  classified  by SSA as living alone (Part T); to amend the tax law,
          in relation to providing an enhanced earned income  tax  credit  under
          the personal income tax to certain non-custodial parents; to amend the
          social  services  law, in relation to creating a pilot program for the
          unemployed or underemployed non-custodial parent;  and  to  amend  the
          family  court  act,  in  relation  to  empowering the court to require
          underemployed or unemployed custodial parents  participation  in  work
          activities  (Part U); to amend the social services law, in relation to
          holding districts responsible  for  achieving  a  fifty  percent  work
          participation  rate  for  families  and single adults receiving public
          assistance; and to repeal subdivision 17 of section 153 of the  social
          services  law  relating  to  reduction of a social services district's
          state reimbursement for administration of certain programs due to  its
          failure  to  meet  certain  participation  rates for work requirements
          (Part V); and to amend the social services law, in relation to  estab-
          lishing a medicaid waiver for child welfare (Part W)

          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:

     1    Section 1. This act enacts into law major  components  of  legislation
     2  which are necessary to implement the state fiscal plan for the 2006-2007
     3  state  fiscal  year.  Each  component  is wholly contained within a Part
     4  identified as Parts A through W. The effective date for each  particular
     5  provision contained within such Part is set forth in the last section of
     6  such Part. Any provision in any section contained within a Part, includ-
     7  ing the effective date of the Part, which makes a reference to a section
     8  "of  this  act", when used in connection with that particular component,
     9  shall be deemed to mean and refer to the corresponding  section  of  the
    10  Part  in  which  it  is  found. Section three of this act sets forth the
    11  general effective date of this act.

    12                                   PART A

    13    Section 1. Subdivision 2 of  section  355  of  the  education  law  is
    14  amended by adding a new paragraph y to read as follows:
    15    y. To establish and/or contract with one or more not-for-profit corpo-
    16  rations  or  subsidiaries  of  such  corporations,  pursuant  to  a plan
    17  approved by the commissioner of health, upon such terms  and  conditions
    18  as the trustees may deem appropriate, for the transfer of the operations
    19  of  the  state  university hospitals at Brooklyn, Stony Brook, and Syra-
    20  cuse, or any part thereof, the clinical practice plans  thereof,  or  of
    21  any other program operated by such hospitals.
    22    § 2. The state university trustees shall develop a plan for the trans-
    23  fer  of  the  operations  of the state university hospitals at Brooklyn,
    24  Stony Brook, and Syracuse to one or more not-for-profit corporations. In
    25  developing such plan, the trustees shall take into consideration various
    26  aspects of hospital operations,  including,  but  not  limited  to,  the
    27  continuity  of  employment of hospital staff, access to capital, revenue
    28  maximization,  alternative  governance  structures,  the  teaching   and
    29  research missions of the hospitals, and an implementation timetable. The
        S. 6458                             4                            A. 9558

     1  state university trustees shall submit such plan to the governor and the
     2  legislature on or before October 1, 2006.
     3    §  3.  This  act  shall take effect immediately and shall be deemed to
     4  have been in full force and effect on and after April 1, 2006.

     5                                   PART B

     6    Section 1. Subdivisions 1 and 2 of section 353 of the  education  law,
     7  as  amended  by  chapter 552 of the laws of 1985, are amended to read as
     8  follows:
     9    1. The state university shall be governed and  all  of  its  corporate
    10  powers  exercised  by  a  board of trustees. Such board shall consist of
    11  [sixteen]  seventeen members,  [fifteen]  sixteen of  whom  shall   be
    12  appointed by the governor with the advice and consent of the senate, one
    13  of  whom  shall be a voting member appointed from a list of five distin-
    14  guished faculty members recommended  by  the  chancellor  of  the  state
    15  university and one of whom shall be the president of the student assem-
    16  bly of the state university, ex-officio. Such ex-officio voting  members
    17  shall  be  subject  to  every provision of any general, special or local
    18  law, ordinance, charter, code, rule or regulation applying to the voting
    19  members of such board with respect to  the  discharge  of  their  duties
    20  including,  but  not limited to, those provisions setting forth codes of
    21  ethics, disclosure requirements and  prohibiting  business  and  profes-
    22  sional  activities.  One  member of the board shall be designated by the
    23  governor as chairman and one as vice-chairman. The  term  of  office  of
    24  each  trustee  except  the  student member and the distinguished faculty
    25  member shall be for ten years provided, however, that  of  the  members
    26  first appointed, two shall be appointed for a term which shall expire on
    27  June  thirtieth,  nineteen hundred fifty-two; one for a term which shall
    28  expire on June thirtieth, nineteen hundred fifty-three; two for  a  term
    29  which  shall  expire on June thirtieth, nineteen hundred fifty-four; one
    30  for a term which  shall  expire  on  June  thirtieth,  nineteen  hundred
    31  fifty-five;  two  for a term which shall expire on June thirtieth, nine-
    32  teen hundred fifty-six; one for a term which shall expire on June  thir-
    33  tieth,  nineteen  hundred fifty-seven; two for a term which shall expire
    34  on June thirtieth, nineteen hundred fifty-eight; one for  a  term  which
    35  shall  expire  on June thirtieth, nineteen hundred fifty-nine; two for a
    36  term which shall expire on June thirtieth, nineteen hundred  sixty;  and
    37  one  for  a  term which shall expire on June thirtieth, nineteen hundred
    38  sixty-one. Vacancies shall be filled for the unexpired term in the  same
    39  manner  as  original  appointments.  The  term of office of each trustee
    40  appointed on or after April first, nineteen hundred  eighty-six,  except
    41  the  student member and the distinguished faculty member,shall be seven
    42  years.  The term of office of the distinguished faculty member shall  be
    43  five  years. Trustees  shall receive no compensation for their services
    44  but shall be reimbursed for  their  expenses  actually  and  necessarily
    45  incurred by them in the performance of their duties under this article.
    46    2.  The  board  may provide for regular meetings, and the chairman, or
    47  the vice-chairman, or any eight members by petition,  may  at  any  time
    48  call  a  special  meeting  of the board of trustees and fix the time and
    49  place therefor; and at least seven days notice of every meeting shall be
    50  mailed to the usual address of  each  trustee,  unless  such  notice  be
    51  waived  by a majority of the board. Resolutions for the consideration of
    52  the board of trustees must be mailed to the usual address of each  trus-
    53  tee  no  less than seven days prior to a meeting, unless the chair shall
    54  make available in writing on the day of  the  meeting  the  facts  which
        S. 6458                             5                            A. 9558

     1  necessitate  an  immediate  vote. The agendas for such meetings shall be
     2  available three days prior to  the  meetings  and  shall  be  considered
     3  public  records.  [Eight] Nine trustees attending shall be a quorum for
     4  the  transaction of business and, unless a greater number is required by
     5  the by-laws, the act of a majority of the members present at any meeting
     6  shall be the act of the board. The board shall hold at least two  public
     7  hearings  each year.  One public hearing shall be held during the spring
     8  semester and one public hearing shall be held in the fall semester.  The
     9  purpose  of  such  hearings shall be to receive testimony and statements
    10  from concerned individuals about university issues. The board shall  fix
    11  the  time,  place,  duration  and format of each hearing. At least three
    12  members of the board shall attend each hearing.  At  least  thirty  days
    13  notice of the hearing shall be given by the chairman of the board to all
    14  members  of  the board, to all presidents of state operated campuses, to
    15  the chair of faculty-senate bodies of state operated  campuses,  to  all
    16  student  government presidents of state operated campuses, to the certi-
    17  fied or recognized employee organizations representing employees of  the
    18  state  university  and  to the media. Such notice shall contain the time
    19  and place of the public hearing.
    20    § 2. Paragraphs (a) and (c) of subdivision  2  and  paragraph  (d)  of
    21  subdivision  3 of section 6204 of the education law, as added by chapter
    22  305 of the laws of 1979, are amended to read as follows:
    23    (a) The board of trustees shall consist of [seventeen] eighteen trus-
    24  tees.  [Ten]  Eleven of the trustees shall be appointed by the governor
    25  with the advice and consent of the senate, one of whom shall be a voting
    26  member appointed from a  list  of  five  distinguished  faculty  members
    27  recommended by the chancellor of the city university.  Five of the trus-
    28  tees  shall  be  appointed by the mayor of the city of New York with the
    29  advice and consent of the senate.  One ex-officio trustee shall  be  the
    30  chairperson  of the university student senate. One ex-officio non-voting
    31  trustee shall be the chairperson of the university faculty senate.
    32    (c) Except as provided in subparagraphs (i),  (ii)  [and], (iii)  and
    33  (iv) of  this  paragraph,  the term of office of each appointed trustee
    34  shall be seven years renewable solely for one additional term  of  seven
    35  years.
    36    (i)  The  members  of the board of higher education in the city of New
    37  York shall be and constitute the members of the board  of  trustees  for
    38  the  period  beginning  July  first,  nineteen  hundred seventy-nine and
    39  ending December thirty-first, nineteen hundred seventy-nine.
    40    (ii) Effective January first, nineteen hundred  eighty,  the  governor
    41  shall  appoint  one  trustee  to a term which expires on June thirtieth,
    42  nineteen hundred eighty, two trustees to  terms  which  expire  on  June
    43  thirtieth,  nineteen  hundred  eighty-one,  one  trustee to a term which
    44  expires on June thirtieth, nineteen hundred eighty-two, two trustees  to
    45  terms which expire on June thirtieth, nineteen hundred eighty-three, one
    46  trustee  to  a  term  which  expires on June thirtieth, nineteen hundred
    47  eighty-four, two trustees to terms which expire on June thirtieth, nine-
    48  teen hundred eighty-five, and one trustee to a  term  which  expires  on
    49  June  thirtieth,  nineteen hundred eighty-six. Upon expirations of these
    50  terms, the governor shall appoint trustees to full seven year terms.
    51    (iii) Effective January first,  nineteen  hundred  eighty,  the  mayor
    52  shall  appoint  one  trustee  to a term which expires on June thirtieth,
    53  nineteen hundred eighty, one trustee to a term  which  expires  on  June
    54  thirtieth,  nineteen  hundred  eighty-two,  one  trustee to a term which
    55  expires on June thirtieth, nineteen hundred eighty-three, one trustee to
    56  a term which expires on June thirtieth,  nineteen  hundred  eighty-five,
        S. 6458                             6                            A. 9558

     1  and  one  trustee  to  a  term which expires on June thirtieth, nineteen
     2  hundred eighty-six.   Upon expiration  of  the  terms  the  mayor  shall
     3  appoint trustees to full seven year terms.
     4    (iv)  The  term of office of the distinguished faculty member shall be
     5  five years.
     6    (d) [Nine] Ten trustees attending a meeting shall constitute a quorum
     7  for the transaction of business by the board of trustees.
     8    §  3.  This  act  shall take effect immediately and shall be deemed to
     9  have been in full force and effect on and after July 1, 2006.

    10                                   PART C

    11    Section 1. Subparagraph 4 of paragraph h of subdivision 2  of  section
    12  355 of the education law, as amended by chapter 309 of the laws of 1996,
    13  is amended to read as follows:
    14    (4)  The trustees shall not impose a differential tuition charge based
    15  upon need or income.  [All students enrolled in programs leading to like
    16  degrees at state-operated institutions of the state university shall  be
    17  charged  a uniform rate of tuition except for differential tuition rates
    18  based on state residency.] Provided,  however,  that  the  trustees  may
    19  authorize  the presidents of the colleges of technology and the colleges
    20  of agriculture and technology to set differing rates of tuition for each
    21  of the colleges for students enrolled in degree-granting programs  lead-
    22  ing  to  an associate degree and non-degree granting programs so long as
    23  such tuition rate does not exceed the tuition rate charged  to  students
    24  who  are enrolled in like degree programs or degree-granting undergradu-
    25  ate programs leading to a baccalaureate degree at  other  state-operated
    26  institutions  of  the  state university of New York. [The trustees shall
    27  not adopt changes affecting tuition charges prior to  the  enactment  of
    28  the annual budget.] Notwithstanding any other provision of this subpara-
    29  graph, the trustees shall be authorized to establish a separate category
    30  of  tuition  for  students enrolled in distance learning courses who are
    31  not residents of the state.   Notwithstanding  the  provisions  of  this
    32  subparagraph,  the  trustees  shall be authorized to establish differing
    33  rates of tuition by  institutional  sector  or  academic  program  where
    34  market considerations or extraordinary costs of such sectors or programs
    35  support  a  higher rate of tuition, in accordance with guidelines estab-
    36  lished by the chancellor or his or her designee. Effective for  the  two
    37  thousand seven--two thousand eight academic year and thereafter, by July
    38  fifteenth  of  each  year, the trustees shall be authorized to establish
    39  rates of tuition for the next academic  year,  in  accordance  with  the
    40  following:
    41    (a)  annual tuition rate adjustments based on an increment such as the
    42  higher education price index or other appropriate  economic  indices  as
    43  determined by the chancellor or his or her designee;
    44    (b) tuition rate adjustments at doctoral campuses, as such category is
    45  defined by the state university, based on a multiple of the above-deter-
    46  mined  index  to reflect the higher costs of education at such campuses;
    47  provided that the tuition rates  at  the  doctoral  campuses  shall  not
    48  exceed  one  and one-half times the maximum tuition rate at other state-
    49  operated campuses;
    50    (c) notwithstanding the provisions of clause (a) of this subparagraph,
    51  beginning with the tuition rates effective for the fall academic  semes-
    52  ter  of  two  thousand  six, a fixed rate tuition guarantee for resident
    53  undergraduate students, including first-time freshmen and transfers, for
    54  the remainder of the duration of the defined term of their undergraduate
        S. 6458                             7                            A. 9558

     1  program, provided that such students' attendance in each year  of  their
     2  programs  is  on a full-time basis. A "defined term" shall be four years
     3  for a bachelor's degree program requiring a minimum of one hundred twen-
     4  ty  credits  or  five  years for a bachelor's degree program requiring a
     5  minimum of one hundred fifty credits. Exceptions for particular academic
     6  programs or extensions to  this  limitation  for  hardships,  authorized
     7  leaves,  or  military  service may be provided in accordance with guide-
     8  lines established by the trustees;
     9    (d) the provisions of clause (a) of  this  subparagraph  limiting  the
    10  amount  of annual tuition increases shall apply only in such years where
    11  the state university receives full state tax dollar funding in the state
    12  budget, as defined in this clause. "Full state tax  dollar  funding"  is
    13  defined as having occurred when a state budget has been enacted prior to
    14  the  commencement  of the state university of New York's fiscal year, in
    15  which there is no reduction from prior year state tax dollar funding  of
    16  the  state  university  and  incremental  state  tax  dollar  support is
    17  provided for collective bargaining  costs,  energy  cost  increases  and
    18  other fixed costs outside the state university's control. In those years
    19  where  the state university does not receive full state tax dollar fund-
    20  ing, the trustees shall be authorized to establish tuition rates in such
    21  manner and amount and at such times as necessary to generate  sufficient
    22  revenue  to compensate for the absence of full state tax dollar funding.
    23  The chancellor shall report  the  rationale  and  methodology  for  such
    24  tuition  rates  to the director of the budget, chairperson of the senate
    25  finance committee, chairperson of the assembly ways and means committee,
    26  chairperson of the senate higher education committee, and chairperson of
    27  the assembly higher education committee;
    28    (e) a portion of such additional tuition revenues as may be  generated
    29  from  the  adjustments described in clauses (a) and (b) of this subpara-
    30  graph, shall be available for use by the state university  for  enhance-
    31  ments  to  academic quality, particularly, the recruitment and retention
    32  of full-time tenure-track faculty in accordance with  a  plan  developed
    33  and  amended  from time to time by the state university and submitted to
    34  the director of the budget, chairperson of the senate finance committee,
    35  chairperson of the assembly ways and means committee, chairperson of the
    36  senate higher education committee, and chairperson of the assembly high-
    37  er education committee.
    38    In setting tuition rates for the two thousand six--two thousand  seven
    39  academic  year  and  thereafter  for  resident  and non-resident medical
    40  students, the  trustees  shall  be  authorized  to  charge  differential
    41  tuition  to  those  medical students who agree to practice medicine in a
    42  public capacity upon completion of their medical training.
    43    § 2. Paragraph (a) of subdivision 7 of section 6206 of  the  education
    44  law,  as  amended by chapter 327 of the laws of 2002, is amended to read
    45  as follows:
    46    (a) (1)The board of trustees shall establish positions,  departments,
    47  divisions,and faculties; appoint and,in accordance with the provisions
    48  of  law, fix  salaries of instructional and non-instructional employees
    49  therein; establish and conduct courses and curricula;  prescribe  condi-
    50  tions  of  student  admission, attendance,and discharge; and shall have
    51  the power to determine,in its discretion,whether or nottuition  shall
    52  be  charged and to regulate tuition charges, and other instructional and
    53  non-instructional fees and other fees and  charges  at  the  educational
    54  units of the city university.  The trustees shall not impose a differen-
    55  tial tuition charge based upon need or income. [All students enrolled in
    56  programs leading to like degrees at the senior colleges shall be charged
        S. 6458                             8                            A. 9558

     1  a  uniform  rate of tuition, except for differential tuition rates based
     2  on state residency.]
     3    (2) Notwithstanding any inconsistent provisions of this paragraph, the
     4  trustees  shall be authorized to establish differing rates of tuition by
     5  institutional sector or academic program where market considerations  or
     6  extraordinary costs of such sectors or programs support a higher rate of
     7  tuition,  in accordance with guidelines established by the chancellor or
     8  his or her designee.    Notwithstanding  any  other  provision  of  this
     9  subparagraph,  the  trustees shall be authorized to establish a separate
    10  category of tuition for students enrolled in distance  learning  courses
    11  who  are  not  residents  of the state.   Effective for the two thousand
    12  six--two thousand seven academic year and thereafter, by July  fifteenth
    13  of  each  year,  the  trustees shall be authorized to establish rates of
    14  tuition for the next academic year in accordance with the following:
    15    (i) annual tuition rate adjustments not greater than an increment such
    16  as the higher  education  price  index  or  other  appropriate  economic
    17  indices as determined by the chancellor or his or her designee;
    18    (ii)  the  provision  of  clause (i) of this subparagraph limiting the
    19  amount of annual tuition increases shall apply only in such years  where
    20  the  city university receives full state tax dollar funding in the state
    21  budget, as defined in this clause.  "Full state tax dollar  funding"  is
    22  defined as having occurred when a state budget has been enacted prior to
    23  the  commencement  of  the city university of New York's fiscal year, in
    24  which there is no reduction from prior year state tax dollar funding  of
    25  the city university and incremental state tax dollar support is provided
    26  for  collective  bargaining costs, energy cost increases and other fixed
    27  costs outside the city university's control;
    28    (iii) such additional tuition revenues as may be  generated  from  the
    29  adjustments  described in clause (i) of subparagraph three of this para-
    30  graph shall be available for use by the city university for enhancements
    31  to academic quality, particularly the recruitment and retention of full-
    32  time tenure-track faculty in accordance  with  the  university's  master
    33  plan.
    34    (3)The trustees shall further provide that the payment of tuition and
    35  fees  by any student who is not a resident of New York state, other than
    36  a non-immigrant alien within the meaning of paragraph (15) of subsection
    37  (a) of section 1101 of title 8 of the United States Code, shall be  paid
    38  at  a  rate  or charge no greater than that imposed for students who are
    39  residents of the state if such student:
    40    (i) attended an approved New York high school for two or  more  years,
    41  graduated  from an approved New York high school and applied for attend-
    42  ance at an institution or educational unit of the city university within
    43  five years of receiving a New York state high school diploma; or
    44    (ii) attended an approved New York state program  for  general  equiv-
    45  alency  diploma exam preparation, received a general equivalency diploma
    46  issued within New York state and applied for attendance at  an  institu-
    47  tion  or  educational  unit  of the city university within five years of
    48  receiving a general equivalency diploma issued within New York state; or
    49    (iii) was enrolled in an institution or educational unit of  the  city
    50  university  in the fall semester or quarter of the two thousand one--two
    51  thousand two academic year and was authorized  by  such  institution  or
    52  educational  unit  to  pay  tuition  at  the  rate or charge imposed for
    53  students who are residents of the state.
    54    A student without lawful immigration status shall also be required  to
    55  file an affidavit with such institution or educational unit stating that
    56  the  student has filed an application to legalize his or her immigration
        S. 6458                             9                            A. 9558

     1  status, or will file such an application as soon as he or she is  eligi-
     2  ble  to  do so. [The trustees shall not adopt changes in tuition charges
     3  prior to the enactment of the annual budget.] The board of trustees  may
     4  accept  as  partial  reimbursement  for the education of veterans of the
     5  armed forces of the United States who are otherwise qualified such  sums
     6  as  may  be authorized by federal legislation to be paid for such educa-
     7  tion. The board of trustees may conduct on a fee basis extension courses
     8  and courses for adult education  appropriate  to  the  field  of  higher
     9  education.  In  all  courses  and  courses  of  study  it  may,  in  its
    10  discretion, require students to pay library, laboratory, locker,  break-
    11  age, and  other  instructional  and non-instructional fees and meet the
    12  cost of books and consumable supplies. In addition to the foregoing fees
    13  and charges, the board of trustees  may  impose  and  collect  fees  and
    14  charges  for student government and other student activities and receive
    15  and expend them as agent or trustee.
    16    § 3. This act shall take effect immediately and  shall  be  deemed  to
    17  have been in full force and effect on and after April 1, 2006.

    18                                   PART D

    19    Section  1. Notwithstanding any provisions of law to the contrary, the
    20  state university trustees and city university trustees are  directed  to
    21  develop  a plan in cooperation with the commissioner of the state office
    22  of general services which includes  a  comprehensive  inventory  of  all
    23  state university of New York and city university of New York facilities,
    24  land  and  real  estate holdings and a detailed listing of opportunities
    25  for raising additional revenues to support university  program  enhance-
    26  ments  through  the  sale  of  surplus  properties and the relocation of
    27  programs currently occupying highly marketable and valuable real estate.
    28    Such plan is to be submitted to the director of the budget, the chair-
    29  person of the senate finance committee and the chairperson of the assem-
    30  bly ways and means committee by September 30, 2006.
    31    § 2. This act shall take effect immediately and  shall  be  deemed  to
    32  have been in full force and effect on and after April 1, 2006.

    33                                   PART E

    34    Section  1.  The education law is amended by adding a new article 14-B
    35  to read as follows:
    36                                ARTICLE 14-B
    37                  PARTNERSHIP TO ACCELERATE COMPLETION TIME
    38  Section 696.   Program established.
    39          696-a. Definitions.
    40          696-b. Eligibility requirements for  students  participating  in
    41                   PACT.
    42          696-c. Requirements for colleges participating in PACT.
    43          696-d. State   financial   assistance   for  additional  on-time
    44                   degrees.
    45          696-e. Campus allocation methodology.
    46          696-f. Reporting.
    47    § 696. Program established.   There is hereby  established  a  program
    48  entitled  the  Partnership to Accelerate Completion Time (PACT) designed
    49  to promote timely and successful graduation from  the  state's  colleges
    50  and  universities.  The  creation of PACT programs is encouraged at each
    51  campus within the state university of New York and the  city  university
    52  of New York.
        S. 6458                            10                            A. 9558

     1    §  696-a.  Definitions.   As used in this article, the following terms
     2  shall have the following meanings:
     3    1. "Public college" shall mean each component of the state university,
     4  as  defined  in  subdivision three of section three hundred fifty-two of
     5  this chapter and in subdivision two of section sixty-three  hundred  one
     6  of  this  chapter  and  each senior college and community college of the
     7  city university of New York, as defined in subdivisions four and five of
     8  section sixty-two hundred two of this chapter.
     9    2. "Timely" when referring to  graduation,  shall  mean  receiving  or
    10  conferring  an  associate  degree  within  two academic years of initial
    11  enrollment, or receiving a bachelor's degree within four academic  years
    12  of  initial  enrollment  or within five academic years if the student is
    13  enrolled in a program normally requiring five years.
    14    3. "Additional on-time associate degree" shall mean any timely associ-
    15  ate degree conferred in  the  two  thousand  seven--two  thousand  eight
    16  academic year and thereafter in excess of the number of timely associate
    17  degrees conferred by such institution in the two thousand six--two thou-
    18  sand seven academic year as reported to the commissioner.
    19    4. "Additional on-time bachelor degree" shall mean any bachelor degree
    20  conferred  in  the two thousand nine--two thousand ten academic year and
    21  thereafter in excess of the number of timely bachelor degrees  conferred
    22  by such institution in the two thousand six--two thousand seven academic
    23  year as reported to the commissioner.
    24    §  696-b. Eligibility requirements for students participating in PACT.
    25  Beginning in the academic year two  thousand  six--two  thousand  seven,
    26  students  enrolling  at  public  colleges  participating in PACT will be
    27  eligible to register for PACT based  upon  their  commitment  to  timely
    28  graduation.    Furthermore,  participating students must declare a major
    29  prior to registration for a third semester, maintain continuous  enroll-
    30  ment in their declared major, meet all academic coursework requirements,
    31  and  maintain  good  academic standing. Failure to meet the requirements
    32  set forth in this section will result in a loss of the benefits provided
    33  by the college in accordance with section six  hundred  ninety-six-c  of
    34  this article.
    35    §  696-c.  Requirements  for  colleges  participating  in PACT. Public
    36  colleges participating in PACT shall commit to providing  those  courses
    37  of  study  necessary  for PACT students to graduate in a timely fashion,
    38  and any failure on the part of the college  to  provide  such  necessary
    39  courses  or suitable substitutes, shall result in the college paying the
    40  students' tuition and course-related fees for the semester in which  the
    41  PACT  student was unable to enroll in such courses. The determination as
    42  to whether a college failed to provide such necessary courses  of  study
    43  to  a PACT student shall be developed in accordance with rules and regu-
    44  lations promulgated by the trustees of the state university and the city
    45  university.
    46    § 696-d. State financial assistance for  additional  on-time  degrees.
    47  Participating public colleges will receive two hundred fifty dollars for
    48  each  additional  on-time associate degree, and five hundred dollars for
    49  each additional bachelor degree conferred.
    50    § 696-e. Campus allocation methodology.  The  trustees  of  the  state
    51  university  and  the city university are hereby directed to modify their
    52  campus allocation methodology to recognize and reward campuses for their
    53  performance in effecting timely graduations. Said allocations shall take
    54  into consideration factors that may affect graduation  rates  including,
    55  but  not limited to, differing student populations served by the campus-
    56  es.
        S. 6458                            11                            A. 9558

     1    § 696-f. Reporting.  By September first of each year, the trustees  of
     2  the state university of New York and the trustees of the city university
     3  of  New  York  shall  prepare  a  report  on their participation in, and
     4  results of, the PACT program during the  previous  academic  year.  This
     5  report  shall  be  submitted to the governor, the temporary president of
     6  the senate and the speaker of the assembly.
     7    § 2. This act shall take effect July 1, 2006.

     8                                   PART F

     9    Section 1. Paragraphs (a) and (c) of subdivision 6  of  section  1  of
    10  part  U  of  chapter  57  of the laws of 2005 amending the labor law and
    11  other laws relating to implementing the state fiscal plan for the  2005-
    12  2006 state fiscal year, as added by section 1 of part D of chapter 63 of
    13  the laws of 2005, are amended to read as follows:
    14    (a)  Each contract entered into by a college, which involves a project
    15  for which the college has received  a  capital  grant  award,  shall  be
    16  subject  to  the approval of the comptroller and, as to form [and manner
    17  of execution,] by the attorney general of the state of New York.
    18    (c) Colleges whose contracts are not state contracts for the  purposes
    19  of  article 9 of the state finance law and article 15-A of the executive
    20  law and whose projects under such contracts do not involve  public  work
    21  so  as  to  be  subject  to articles 8, 9 and 10 of the labor law, shall
    22  execute an undertaking, as a condition of receiving any capital matching
    23  grant, to voluntarily comply with [article 9 of the state  finance  law,
    24  except  section 135 of such law,] article 15-A of the executive law, and
    25  articles 8, 9 and 10 of the labor law so far as the same would be appli-
    26  cable to the contracts of a public college, and to  be  subject  to  the
    27  enforcement provisions of said articles to the same extent.
    28    §  2.  This  act  shall take effect immediately and shall be deemed to
    29  have been in full force and effect on and after April 1, 2006.

    30                                   PART G

    31    Section 1. Section 605 of the education law is amended by adding a new
    32  subdivision 7-a to read as follows:
    33    7-a.   New York state math  and  science  teaching  incentive  program
    34  awards pursuant to section six hundred seventy-five-a of this title.
    35    §  2.  The  education  law is amended by adding a new section 675-a to
    36  read as follows:
    37    § 675-a. New York state math and science teaching  incentive  program.
    38  1.  Eligibility. Notwithstanding subdivision five of section six hundred
    39  sixty-one of this part, undergraduate and/or graduate students  who  are
    40  matriculated  in an approved undergraduate or graduate program at degree
    41  granting institutions leading to a career as a math or  science  teacher
    42  in  secondary  education  shall  be  eligible  for  an  award under this
    43  section, provided the applicant: (a) signs a contract  with  the  corpo-
    44  ration  agreeing  to  teach  on  a full-time basis for five years in the
    45  field of math or science in a  school  located  within  New  York  state
    46  providing  secondary education recognized by the board of regents or the
    47  state university of New York;  and  (b)  complies  with  the  applicable
    48  provisions  of  this  article  and  all  requirements promulgated by the
    49  corporation for the administration of the program.
    50    2. Award conditions and requirements. Up to five  hundred  new  annual
    51  awards  shall  be made each year after the successful completion of each
    52  academic year, as promulgated by the corporation through rules and regu-
        S. 6458                            12                            A. 9558

     1  lations, to applicants whom the corporation has certified  are  eligible
     2  to receive such awards.
     3    3. Duration. Each award shall entitle the recipient to an annual award
     4  for  not  more  than  four academic years of undergraduate study and one
     5  academic year of full-time study while matriculated in an approved grad-
     6  uate program leading to permanent certification as a  teacher  in  math-
     7  ematics or science.
     8    4.  Award.  Recipients  shall  receive  an  annual award for full-time
     9  study, equal to the annual tuition charged to  state  resident  students
    10  attending  an undergraduate program at the state university of New York,
    11  or actual tuition charged, whichever is less.
    12    5. Penalties for noncompliance. (a) The corporation shall convert to a
    13  student loan the full  amount  of  the  award  given  pursuant  to  this
    14  section,  plus interest, according to a schedule to be determined by the
    15  corporation if: (1) two years after the completion of the degree program
    16  and receipt of certification it is found that a recipient is not  teach-
    17  ing  in the field of math or science in a school located within New York
    18  state providing secondary education recognized by the board  of  regents
    19  or  the  state university of New York; or (2) a recipient has not taught
    20  in the field of math or science in a  school  located  within  New  York
    21  state  providing  secondary education recognized by the board of regents
    22  or the state university of New York for each of the five years after the
    23  completion of the degree program and receipt of certification; or (3)  a
    24  recipient fails to complete their degree program or changes majors to an
    25  undergraduate degree program other than science or math; or (4) a recip-
    26  ient  fails to receive or maintain their teaching certificate or license
    27  in New York state; or (5) a recipient fails to respond  to  requests  by
    28  the  corporation  for  the status of his or her academic or professional
    29  progress.
    30    (b) The rate of interest charged for repayment  of  the  student  loan
    31  shall be determined pursuant to rules and regulations promulgated by the
    32  corporation.
    33    6.  Rules and regulations. The corporation is authorized to promulgate
    34  rules and regulations necessary for the implementation of the provisions
    35  of this section. In the event that there are  more  eligible  recipients
    36  than  funds  available,  the corporation shall provide in regulation the
    37  method of distributing the remaining number of such  awards,  which  may
    38  include a lottery or other form of random selection.
    39    §  3.  This  act shall take effect immediately, and shall be deemed to
    40  have been in full force and effect on and after July 1,  2006,  and  the
    41  payment  of tuition reimbursement for study in the 2006-07 academic year
    42  shall first be made in the 2007-08 academic year.

    43                                   PART H

    44    Section 1. The education law is amended by adding a new section  208-a
    45  to read as follows:
    46    §  208-a.  Diplomas of distinction. The trustees or board of education
    47  of a school district or other governing body or officer in charge  of  a
    48  registered  high  school  may  provide  for the issuance of a diploma to
    49  eligible students bearing an annotation identifying  the  diploma  as  a
    50  diploma of distinction. To be eligible for a diploma of distinction, the
    51  student  shall  have a cumulative grade point average of ninety or more,
    52  or an "A" average or the equivalent if numerical grades are not used  in
    53  the  school,  and  shall  have  received  at least six semester hours of
    54  college credit as part of their high school program.
        S. 6458                            13                            A. 9558

     1    § 2. Subdivision 11 of section 407-a of the education law, as added by
     2  chapter 737 of the laws of 1988, is amended to read as follows:
     3    11. Any contract undertaken or financed by the dormitory authority for
     4  any  construction, reconstruction, rehabilitation or improvement for any
     5  special  act  school  district  shall  comply  with  the  provisions  of
     6  [sections one hundred one and] section one hundred three of the general
     7  municipal law.
     8    § 3. Subdivision 3 of section 408 of the education law, as amended  by
     9  chapter 414 of the laws of 1972, is amended to read as follows:
    10    3.  The  commissioner [of education] shall approve the plans and spec-
    11  ifications, heretofore or hereafter submitted pursuant to this  section,
    12  for  the erection or purchase of any school building or addition thereto
    13  or remodeling thereof on the site or sites selected therefor pursuant to
    14  this chapter, if such plans conform to the requirements  and  provisions
    15  of this chapter and the regulations of the commissioner adopted pursuant
    16  to  this  chapter  in  all  other  respects; provided, however, that the
    17  commissioner of education shall not approve the plans for  the  erection
    18  or  purchase  of any school building or addition thereto unless the site
    19  has  been  selected  with  reasonable  consideration  of  the  following
    20  factors;  its  place  in  a  comprehensive,  long-term  school  building
    21  program; area required for outdoor educational  activities;  educational
    22  adaptability,  environment,  accessibility; soil conditions; initial and
    23  ultimate cost.   In developing such  plans  and  specifications,  school
    24  districts  are  encouraged  to review the energy conservation and saving
    25  best practices available from the department  and  the  New  York  state
    26  energy research and development authority.
    27    §  4.  Subdivisions  1,  3  and 6 of section 416 of the education law,
    28  subdivision 1 as amended by chapter 687 of the laws of 1949, subdivision
    29  3 as amended by chapter 171 of the laws of 1996  and  subdivision  6  as
    30  amended  by  chapter  295  of  the  laws of 1976, are amended to read as
    31  follows:
    32    1. A majority of the voters of any school district, present and voting
    33  at any annual district meeting,or a special  district  meeting  called
    34  under  the  circumstances prescribed in this subdivision, duly convened,
    35  may authorize such acts and vote such taxes as they shall deem expedient
    36  for making additions, alterations, repairs or improvements, to the sites
    37  or buildings belonging to the district, or for  altering  and  equipping
    38  for library use any former schoolhouse belonging to the district, or for
    39  the  purchase  of other sites or buildings, or for a change of sites, or
    40  for the purchase of land and buildings for agricultural, athletic, play-
    41  ground or social center purposes, or for the erection of new  buildings,
    42  or  for  building  a bus garage, or for buying apparatus, implements, or
    43  fixtures, or for  paying  the  wages  of  teachers,  and  the  necessary
    44  expenses  of  the  school, or for the purpose of paying any judgment, or
    45  for the payment or refunding of an outstanding bonded  indebtedness,  or
    46  for such other purpose relating to the support and welfare of the school
    47  as  they  may,  by  resolution, approve. A majority of the voters of any
    48  school district, present and voting at a special  district  meeting  may
    49  authorize  such  acts and vote such taxes for such purposes only if such
    50  special district meeting is called in response to an unforeseeable emer-
    51  gency that has damaged or destroyed a school  building,  school  bus  or
    52  other  apparatus and rendered it unsafe and unusable after notice of the
    53  school district annual meeting has been issued and before notice of  the
    54  following annual meeting is issued.
    55    3.  No  addition to or change of site or purchase of a new site or tax
    56  for the purchase of any new site or structure, or for grading or improv-
        S. 6458                            14                            A. 9558

     1  ing a school site, or for the purchase of an addition to the site of any
     2  schoolhouse, or for the purchase of lands  and  buildings  for  agricul-
     3  tural,  athletic,  playground or social center purposes, or for building
     4  any  new  schoolhouse  or for the erection of an addition to any school-
     5  house already built, or for the payment or refunding of  an  outstanding
     6  bonded  indebtedness, shall be voted at any such meeting in a union free
     7  school district or a city school district which conducts  annual  budget
     8  votes  in  accordance with article forty-one of this chapter pursuant to
     9  section twenty-six hundred one-a of this chapter, unless a notice by the
    10  board of education stating that such tax will be proposed, and  specify-
    11  ing  the  object  thereof  and the amount to be expended therefor, shall
    12  have been given in the manner provided herein for the notice of an annu-
    13  al meeting. In a common school district the notice of a special  meeting
    14  to authorize any of the improvements enumerated in this section, where a
    15  special  meeting  is  authorized  under subdivision one of this section,
    16  shall be given as provided in section two thousand six of this  chapter.
    17  The  board of education of a union free school district or a city school
    18  district which conducts annual budget votes in accordance  with  article
    19  forty-one  of  this chapter pursuant to section twenty-six hundred one-a
    20  of this chapter, may determine that the vote upon  any  question  to  be
    21  submitted  at  a  special  meeting  as provided in this section, where a
    22  special meeting is authorized under subdivision  one  of  this  section,
    23  shall  be  by ballot, in which case it shall state in the notice of such
    24  special meeting the hours during which the polls  shall  be  kept  open.
    25  Printed  ballots  may be prepared by the board in advance of the meeting
    26  and the proposition or propositions called for  in  the  notice  of  the
    27  meeting  may  be  submitted in substantially the same manner as proposi-
    28  tions to be voted upon at a general election.
    29    6. Notwithstanding the foregoing provisions of  this  section,  propo-
    30  sitions  for  the  construction of a new schoolhouse or an addition to a
    31  present schoolhouse at the same site shall not be submitted for  a  vote
    32  more than  [twice]  once during any twelve month period and in no event
    33  shall a proposition be submitted for a vote less than ninety days  after
    34  a  vote  on the same or similar proposition. However, the prohibition of
    35  this subdivision shall not apply to a proposition to  approve  an  addi-
    36  tional  amount  necessary to carry out a construction project, where the
    37  voters have approved an initial building project and  it  is  determined
    38  that  the bids for such project are in excess of the approved amount and
    39  the project is in  response  to  an  unforeseeable  emergency  that  has
    40  damaged  or  destroyed  a school building, school bus or other apparatus
    41  and rendered it unsafe and unusable.
    42    § 5. Subdivisions 1 and 2 of section 458  of  the  education  law  are
    43  REPEALED.
    44    §  6. Subdivision 3 of section 458 of the education law, as amended by
    45  section 1 of part C of chapter 57 of the laws of  2004,  is  amended  to
    46  read as follows:
    47    [3. a.] 1.In addition to other bond or bonds, if any, required by law
    48  for  the completion of the school portion of a combined occupancy struc-
    49  ture, or in the absence of any such requirement, the fund  shall  never-
    50  theless  require,  prior to the approval of any lease or other agreement
    51  providing  for  the  construction,  reconstruction,  rehabilitation   or
    52  improvement  of any combined occupancy structure, that the developer, if
    53  other than the New York city housing authority, or  general  contractor,
    54  furnish  a bond guaranteeing prompt payment of moneys due to all persons
    55  furnishing labor or materials to or for the person furnishing said  bond
    56  or  to his subcontractors in the prosecution of the entire work provided
        S. 6458                            15                            A. 9558

     1  for in such lease or other agreement. Whenever the developer is the  New
     2  York city housing authority, it shall require each of its contractors to
     3  furnish  such  bonds to said authority and fund with respect to the work
     4  to  be performed and materials supplied by such contractor, and no sepa-
     5  rate or other payment bond shall be required  to  be  furnished  to  the
     6  fund. In those instances where the developer or general contractor is an
     7  agency of the state or a public-benefit corporation created by an act of
     8  the  state  legislature and in instances where said developer or general
     9  contractor or the guarantor of payment of the construction costs of  the
    10  non-school  portion  of  the  combined "occupancy structure" is a public
    11  utility corporation or a bank, trust company or savings bank as  defined
    12  in  section two of the banking law, or a national bank having its office
    13  and principal place of business in this state, or a subsidiary of such a
    14  bank or trust company of which at least eighty (80%)  percent  of  whose
    15  stock  is  owned  by  it, the said developer or general contractor shall
    16  only be required to furnish said payment bond with respect to the school
    17  portion of the combined occupancy structure. In such instances, the said
    18  payment bond shall not be required by the fund with respect to the  non-
    19  school  portion of the combined occupancy structure, but, in lieu there-
    20  of, such fund shall require said  agency,  public  benefit  corporation,
    21  public utility corporation or banking institution, as the case may be to
    22  guarantee  payment  of  all  construction costs with respect to the non-
    23  school portion of the combined occupancy structure.
    24    [b.] 2.A copy of such payment bond shall be kept in the office of the
    25  chairman of the fund and a copy shall also be kept in the office of  the
    26  board of education; such copies shall be open to public inspection.
    27    [c.]  3. Every  person who has furnished labor or material, to or for
    28  the developer or contractor furnishing such payment bond or  to  his  or
    29  her  subcontractors  in  the prosecution of the work provided for in the
    30  lease or other agreement for which said bond is furnished  and  who  has
    31  not  been  paid  in  full  therefor before the expiration of a period of
    32  ninety days after the day on which the last of the labor  was  performed
    33  or  material  was  furnished  by him or her for which the claim is made,
    34  shall have the right to sue on such payment bond in his or her own  name
    35  for  the amount, or the balance thereof, unpaid at the time of commence-
    36  ment of the action; provided, however, that a  person  having  a  direct
    37  contractual  relationship  with  a  subcontractor  of  the  developer or
    38  contractor furnishing the payment bond but no  contractual  relationship
    39  express  or  implied  with such developer or contractor shall not have a
    40  right of action upon the bond unless he or she shall have given  written
    41  notice to such developer or contractor furnishing the bond within ninety
    42  days  from  the date on which the last of the labor was performed or the
    43  last of the material was furnished, for which his or her claim is  made,
    44  stating with substantial accuracy the amount claimed and the name of the
    45  party  to  whom  the  material  was  furnished or for whom the labor was
    46  performed. The notice shall be served by delivering the same  personally
    47  to  the  developer  or contractor furnishing said bond or by mailing the
    48  same by registered mail, postage prepaid, in an  envelope  addressed  to
    49  such  developer  or contractor at any place where he maintains an office
    50  or conducts his or her business or at his or her residence.
    51    § 7. Subdivisions 1 and 2 of section 482  of  the  education  law  are
    52  REPEALED.
    53    §  8. Subdivision 3 of section 482 of the education law, as amended by
    54  section 3 of part C of chapter 57 of the laws of  2004,  is  amended  to
    55  read as follows:
        S. 6458                            16                            A. 9558

     1    [3. a.] 1.In addition to other bond or bonds, if any, required by law
     2  for  the completion of the school portion of a combined occupancy struc-
     3  ture, or in the absence of any such requirement, the fund  shall  never-
     4  theless  require,  prior to the approval of any lease or other agreement
     5  providing   for  the  construction,  reconstruction,  rehabilitation  or
     6  improvement of any combined occupancy structure, that the developer,  if
     7  other  than  the  Yonkers city housing authority, or general contractor,
     8  furnish a bond guaranteeing prompt payment of moneys due to all  persons
     9  furnishing  labor or materials to or for the person furnishing said bond
    10  or to his or her subcontractors in the prosecution of  the  entire  work
    11  provided for in such lease or other agreement. Whenever the developer is
    12  the  Yonkers  city  housing  authority,  it  shall  require  each of its
    13  contractors to furnish such bond to said authority and fund with respect
    14  to the work to be performed and materials supplied by  such  contractor,
    15  and  no separate or other payment bond shall be required to be furnished
    16  to the fund.
    17    [b.] 2.A copy of such payment bond shall be kept in the office of the
    18  chairman of the fund and a copy shall also be kept in the office of  the
    19  board of education; such copies shall be open to public inspection.
    20    [c.]  3. Every  person who has furnished labor or material, to or for
    21  the developer  or  general  contractor  or  contractor  furnishing  such
    22  payment  bond  or to his or her subcontractors in the prosecution of the
    23  work provided for in the lease or other agreement for which the bond  is
    24  furnished  and who has not been paid in full therefor before the expira-
    25  tion of a period of ninety days after the day on which the last  of  the
    26  labor  was  performed  or material was furnished by him or her for which
    27  the claim is made, shall have the right to sue on such payment  bond  in
    28  his  or  her  own name for the amount, or the balance thereof, unpaid at
    29  the time of commencement of the action; provided, however, that a person
    30  having a direct contractual relationship with  a  subcontractor  of  the
    31  developer  or  contractor furnishing the payment bond but no contractual
    32  relationship express or implied with such developer or contractor  shall
    33  not  have  a  right  of action upon the bond unless he or she shall have
    34  given written notice to such developer or contractor furnishing the bond
    35  within ninety days from the date on which the  last  of  the  labor  was
    36  performed  or  the  last of the material was furnished, for which his or
    37  her claim is made, stating with substantial accuracy the amount  claimed
    38  and the name of the party to whom the material was furnished or for whom
    39  the  labor  was  performed. The notice shall be served by delivering the
    40  same personally to the developer or contractor furnishing said  bond  or
    41  by  mailing the same by registered mail, postage prepaid, in an envelope
    42  addressed to such developer or contractor at any place where he  or  she
    43  maintains  an  office  or  conducts his or her business or at his or her
    44  residence.
    45    § 9. Paragraph (a) of subdivision 1 of  section  806  of  the  general
    46  municipal  law,  as  amended  by  chapter  813  of  the laws of 1987, is
    47  amended, and a new paragraph (c) is added to read as follows:
    48    (a) The governing body of each  county,  city,  town,  village  [and],
    49  school district and board of cooperative educational services shall and
    50  the governing body of any other municipality may by local law, ordinance
    51  or resolution adopt a code of ethics setting forth for the  guidance  of
    52  its  officers and employees the standards of conduct reasonably expected
    53  of them.  Such code shall provide standards for officers  and  employees
    54  with  respect  to disclosure of interest in legislation before the local
    55  governing body, holding of investments in conflict with official duties,
    56  private employment in conflict with official duties,  future  employment
        S. 6458                            17                            A. 9558

     1  and such other standards relating to the conduct of officers and employ-
     2  ees  as  may  be  deemed advisable. Such codes may regulate or prescribe
     3  conduct [which]that is not expressly prohibited by this article but may
     4  not  authorize conduct otherwise prohibited.  Such codes may provide for
     5  the prohibition of conduct or disclosure of information and the  classi-
     6  fication of employees or officers.
     7    (c)  On  or  before  July thirty-first, two thousand six, and annually
     8  thereafter, the governing body of each school district and each board of
     9  cooperative educational services shall review  and  approve  a  code  of
    10  ethics  that  complies  with  the  requirements of paragraph (a) of this
    11  subdivision and this paragraph. In addition to the contents required  by
    12  such  paragraph  (a),  the code shall include standards for officers and
    13  employees prohibiting the use of property or resources of  the  district
    14  or  board for personal gain, including, but not limited to, restrictions
    15  on reimbursement for travel and purchases, the personal use of  cellular
    16  telephones and computers owned by the district or board and the personal
    17  use  of credit cards owned by the district or board. A copy of such code
    18  shall be filed with the office of the state comptroller and  the  educa-
    19  tion  department  within  thirty days of its annual approval pursuant to
    20  this paragraph, and any subsequent amendments to such code shall  be  so
    21  filed within thirty days of adoption of such amendment.
    22    §  10.  Subdivision  2 of section 806 of the general municipal law, as
    23  amended by chapter 1019 of the laws of  1970,  is  amended  to  read  as
    24  follows:
    25    2.  (a) The chief executive officer of a municipality adopting a code
    26  of ethics shall cause a copy thereof to be distributed to every  officer
    27  and  employee of his or hermunicipality. Failure to distribute any such
    28  copy or failure of any officer or employee to receive  such  copy  shall
    29  have  no  effect  on  the  duty  of  compliance  with such code, nor the
    30  enforcement of provisions thereof.
    31    (b) The governing body of each school district and  board  of  cooper-
    32  ative  educational  services shall require every officer of the district
    33  or board and every school administrator or supervisor  employed  by  the
    34  district or board in a managerial/confidential position to file with the
    35  clerk  of  the  district  or  board a certification that such officer or
    36  employee has read and understands the code of ethics. Such certification
    37  shall be filed within thirty days of receipt of the code of  ethics,  or
    38  any amendments thereto, by the officer or employee.
    39    §  11.  Subdivision 8 of section 1526 of the education law, as amended
    40  by chapter 131 of the laws of 1956, is amended to read as follows:
    41    8. The election shall take place during  [at  least  four  consecutive
    42  hours between the hours of seven o'clock in the forenoon and ten o'clock
    43  in  the  evening,  as  determined  by the commissioner of education] the
    44  hours from six o'clock in the morning until nine o'clock in the evening.
    45    § 12. Paragraph a of subdivision 7 of section 1608  of  the  education
    46  law,  as  amended  by  section  4 of part H of chapter 83 of the laws of
    47  2002, is amended and a new subdivision 4-a is added to read as follows:
    48    4-a.  The program component, capital component and the  administrative
    49  component  shall be presented to the qualified voters in a single propo-
    50  sition. There shall be no  separate  propositions  for  any  expenditure
    51  required  to  be  included  in the budget under subdivision four of this
    52  section.
    53    a. Each year, commencing with the proposed budget for  the  two  thou-
    54  sand--two  thousand  one  school  year, the trustee or board of trustees
    55  shall prepare a property tax report card, pursuant to regulations of the
    56  commissioner, and shall make it publicly available by transmitting it to
        S. 6458                            18                            A. 9558

     1  local newspapers of general circulation, appending it to copies  of  the
     2  proposed  budget  made  publicly available as required by law, making it
     3  available for distribution at the annual meeting, and otherwise  dissem-
     4  inating  it  as  required  by  the  commissioner. Such report card shall
     5  include: (i) the amount of total spending and total estimated school tax
     6  levy that would result from adoption of  the  proposed  budget  and  the
     7  percentage  increase  or decrease in total spending and total school tax
     8  levy from the school district budget  for  the  preceding  school  year;
     9  [and] (ii) the projected enrollment growth for the school year for which
    10  the budget is prepared, and the percentage change in enrollment from the
    11  previous year; [and] (iii) the percentage increase in the consumer price
    12  index, as defined in paragraph c of this subdivision; (iv) the amount of
    13  unexpended  surplus  funds.  For  purposes  of  this paragraph, the term
    14  "surplus funds" shall mean any and all operating funds in excess of  two
    15  percent  of the current school year budget, regardless of the account in
    16  which such funds are held; and (v) for the three preceding school  years
    17  report  card  data  providing  a  comparison  of (1) change in the total
    18  school tax levy and (2) the percentage increase in  the  consumer  price
    19  index over the same three year period.
    20    §  13.  Paragraph  a of subdivision 7 of section 1716 of the education
    21  law, as amended by section 5 of part H of chapter  83  of  the  laws  of
    22  2002, is amended and a new subdivision 4-a is added to read as follows:
    23    4-a.   The program component, capital component and the administrative
    24  component shall be presented to the qualified voters in a single  propo-
    25  sition.  There  shall  be  no  separate propositions for any expenditure
    26  required to be included in the budget under  subdivision  four  of  this
    27  section.
    28    a.  Each  year,  commencing with the proposed budget for the two thou-
    29  sand--two thousand one school year, the board of education shall prepare
    30  a property tax report card, pursuant to regulations of the commissioner,
    31  and shall make it publicly available by transmitting it to local newspa-
    32  pers of general circulation, appending it  to  copies  of  the  proposed
    33  budget  made  publicly available as required by law, making it available
    34  for distribution at the annual meeting, and otherwise  disseminating  it
    35  as required by the commissioner. Such report card shall include: (i) the
    36  amount  of total spending and total estimated school tax levy that would
    37  result from adoption of the proposed budget and the percentage  increase
    38  or  decrease in total spending and total school tax levy from the school
    39  district budget for the preceding school year; [and] (ii) the  projected
    40  enrollment  growth for the school year for which the budget is prepared,
    41  and the percentage change in enrollment from the  previous  year;  [and]
    42  (iii) the percentage increase in the consumer price index, as defined in
    43  paragraph  c  of this subdivision; (iv) the amount of unexpended surplus
    44  funds. For purposes of this paragraph, the term  "surplus  funds"  shall
    45  mean any and all operating funds in excess of two percent of the current
    46  school  year  budget,  regardless of the account in which such funds are
    47  held; and (v) for the three preceding  school  years  report  card  data
    48  providing  a  comparison  of (1) the change in total school tax levy and
    49  (2) the percentage increase in the consumer price index  over  the  same
    50  three year period.
    51    §  14. Paragraph c of subdivision 2 of section 1803-a of the education
    52  law, as amended by chapter 82 of the laws of 1954, is amended to read as
    53  follows:
    54    c. The election shall take place during  [at  least  four  consecutive
    55  hours between the hours of seven o'clock in the forenoon and ten o'clock
        S. 6458                            19                            A. 9558

     1  in  the  evening,  as  determined  by the commissioner of education] the
     2  hours from six o'clock in the morning until nine o'clock in the evening.
     3    §  15.  Subdivision 4 of section 1804 of the education law, as amended
     4  by section 1 of part M of chapter 57 of the laws of 2005, is amended  to
     5  read as follows:
     6    4.  The  annual  meeting  and election in each central school district
     7  shall be held on the third Tuesday of May provided,  however  that  such
     8  annual  meeting  and election shall be held on the second Tuesday in May
     9  if the commissioner at the request of a local school board certifies  no
    10  later  than March first that such election would conflict with religious
    11  observances[, and any school budget revote shall be  held  on  the  date
    12  specified  in  subdivision  three  of section two thousand seven of this
    13  title].  Such  annual  meeting  [and  school  budget  revote]  shall  be
    14  conducted  and the election of members of the board shall be held in the
    15  same manner as in union free school districts  organized  and  operating
    16  under  the  provisions  of  this chapter. The board of education of each
    17  central school district shall hold a budget hearing not less than  seven
    18  nor  more  than  fourteen  days  prior to the annual or special district
    19  meeting at which a school budget vote will occur, and shall prepare  and
    20  present  to the voters at such budget hearing a proposed school district
    21  budget for the ensuing school year.
    22    § 16. Subdivision 1 of section 1906 of the education law,  as  amended
    23  by  section 2 of part M of chapter 57 of the laws of 2005, is amended to
    24  read as follows:
    25    1. The annual meeting and election of a central high  school  district
    26  shall  be held on the third Tuesday in May, provided, however, that such
    27  annual meeting and election shall be held on the second Tuesday  in  May
    28  if  the commissioner at the request of a local school board certifies no
    29  later than March first that such election would conflict with  religious
    30  observances[,  and  any  school  budget revote shall be held on the date
    31  specified in subdivision three of section two  thousand  seven  of  this
    32  title].  The  board  of  education of every central high school district
    33  shall hold a budget hearing prior to each annual meeting and election or
    34  special district meeting at which a school budget vote will  occur,  and
    35  shall  prepare  and  present  to  the  voters  at  such budget hearing a
    36  proposed school district budget for the  ensuing  school  year.  Special
    37  meetings  may  be called in the same manner and for the same purposes as
    38  special meetings in union free school districts. Such meetings shall  be
    39  held for the same purposes and in the same manner, and be subject to the
    40  same  provisions of law, except as may be provided otherwise in subdivi-
    41  sion two of  this  section,  as  like  meetings  in  union  free  school
    42  districts,  and  all  persons  who  are qualified electors of the school
    43  districts included in such central high school district may vote at such
    44  meetings.
    45    § 17. Subparagraph 2-a of paragraph d of subdivision 4 of section 1950
    46  of the education law, as added by section 10-e of part L of chapter  405
    47  of the laws of 1999, is amended to read as follows:
    48    (2-a)  Cost  effectiveness [of  instructional]. (i) Instructional and
    49  non-instructional technology. Notwithstanding  any  other  provision  of
    50  this section to the contrary, expenditures incurred pursuant to purchase
    51  and/or   installation   contracts  entered  into  on  or  after  January
    52  fifteenth, two thousand, for the following categories  of  instructional
    53  and non-instructional technology purchase and installation:
    54    [(i)] A.computer equipment,
    55    [(ii)] B.conduits,
    56    [(iii)] C.wiring,
        S. 6458                            20                            A. 9558

     1    [(iv)] D.powering and testing of hardware installations,
     2    [(v)]  E.all costs associated with lease or purchase of local or wide
     3  area network hardware located on district property, and
     4    [(vi)] F.incidental costs for original purchase and  installation  of
     5  hardware,  including  installation  of  basic operating systems software
     6  required for hardware testing, shall be aidable pursuant to clause (iii)
     7  of this subparagraph.
     8    (ii) Administrative and itinerant services.  Notwithstanding any other
     9  provision of this section to the contrary, expenditures incurred  on  or
    10  after January fifteenth, two thousand six, for:
    11    A.  any administrative service, including, but not limited to, attend-
    12  ance supervisor, supervisor of teachers, guidance counselors, pupil  and
    13  financial  accounting service, maintenance and operation of cafeteria or
    14  restaurant service, or
    15    B. any itinerant teaching  services,  shall  be  aidable  pursuant  to
    16  clause (iii) of this subparagraph.
    17    (iii)  any expenditure subject to this clause shall not be considered
    18  an aidable shared service unless the component school district  is  able
    19  to  demonstrate  that  such  shared service would be more cost-effective
    20  than would otherwise be possible if such services were to  be  purchased
    21  without  the involvement of a board of cooperative educational services.
    22  Any aid that may be payable for such shared service pursuant to subdivi-
    23  sion five of this section shall be excluded  in  the  demonstration  and
    24  determination  of  cost-effectiveness  and cost savings pursuant to this
    25  subdivision. The commissioner shall issue guidelines to advise component
    26  school districts in their determination of cost-effectiveness.  Notwith-
    27  standing  any  other  provision  of  law, if a component school district
    28  determines  that  any  instructional  and  non-instructional  technology
    29  purchase  and  installation  from  the  board of cooperative educational
    30  services are not cost effective, as determined pursuant  to  this  para-
    31  graph,  the commissioner shall, upon request, assist the school district
    32  to enter into a cooperative  service  agreement  (CO-SER)  with  another
    33  BOCES,  which  is  cost  effective  in  the provision of such technology
    34  purchases and installations.
    35    § 18. Paragraph b of subdivision 5 of section 1950  of  the  education
    36  law, as amended by chapter 53 of the laws of 1990, is amended to read as
    37  follows:
    38    b.  The  cost of services herein referred to shall be the amount allo-
    39  cated to each component school district  by  the  board  of  cooperative
    40  educational  services to defray expenses of such board, except that that
    41  part of the salary paid any teacher, supervisor or other employee of the
    42  board of cooperative educational services which is in excess  of  thirty
    43  thousand  dollars shall not be such an approved expense, and except that
    44  board of cooperative educational services expenses for the  coordination
    45  and oversight of cooperative purchasing and bidding shall not be such an
    46  approved  expense, and  except  also  that  administrative and clerical
    47  expenses shall not exceed ten percent of the total expenses for purposes
    48  of this computation. Any gifts, donations  or  interest  earned  by  the
    49  board  of  cooperative educational services or on behalf of the board of
    50  cooperative educational services by the dormitory authority or any other
    51  source shall not be deducted in determining the cost of  services  allo-
    52  cated  to  each component school district. The expense of transportation
    53  provided by the board of cooperative educational  services  pursuant  to
    54  paragraph  q  of  subdivision four of this section shall be eligible for
    55  aid apportioned pursuant to  subdivision  seven  of  section  thirty-six
    56  hundred  two  of  this  chapter  and no board of cooperative educational
        S. 6458                            21                            A. 9558

     1  services transportation expense shall be an approved  cost  of  services
     2  for  the  computation  of  aid  under  this  subdivision. Transportation
     3  expense pursuant to paragraph q of  subdivision  four  of  this  section
     4  shall  be  included  in the computation of the ten percent limitation on
     5  administrative and clerical expenses.
     6    § 19. Paragraph g of subdivision 5 of section 1950  of  the  education
     7  law,  as  amended by section 5 of part C chapter 57 of the laws of 2004,
     8  is amended to read as follows:
     9    g.  [Any] (i) For projects approved by the commissioner prior  to  the
    10  first  day  of February, two thousand six or for lease-purchase or other
    11  annual payments under a lease-purchase agreement or an equivalent agree-
    12  ment entered into prior to such date that  are  eligible  for  aid,  any
    13  payment  required  by a board of cooperative educational services to the
    14  dormitory authority or any payment required by a  board  of  cooperative
    15  educational  services  to  acquire or construct a school facility of the
    16  board of cooperative educational services, and any payments  for  rental
    17  of  facilities by a board of cooperative educational services shall, for
    18  the purposes of apportionment of public moneys to the board  of  cooper-
    19  ative  educational services by the state of New York, be deemed to be an
    20  administrative or capital expense, as designated  by  the  commissioner,
    21  but  the  entire amount of such payment shall be utilized in making such
    22  apportionment and the limitation of ten percent of  the  total  expenses
    23  contained in this subdivision shall not be applicable.
    24    (ii)  For  projects approved by the commissioner on or after the first
    25  day of February, two thousand six, the capital expense designated by the
    26  commissioner shall, for the purposes of apportionment of  public  moneys
    27  to  the  board  of  cooperative educational services by the state of New
    28  York, mean annual payments that would be  incurred  during  the  current
    29  year  based  on an assumed amortization to be established by the commis-
    30  sioner, using the methodology established pursuant to subparagraph three
    31  of paragraph e of subdivision six of section thirty-six hundred  two  of
    32  this  chapter  and the assumed interest rate computed pursuant to clause
    33  (b) of subparagraph five of such  paragraph  e  of  subdivision  six  of
    34  section  thirty-six hundred two of this chapter, of the approved project
    35  costs related to any such approved project, but  the  entire  amount  of
    36  such  annual  payment shall be utilized in making such apportionment and
    37  the limitation of ten percent of the total expenses  contained  in  this
    38  subdivision  shall  not  be  applicable. Any  expense designated by the
    39  commissioner as a capital expense shall be included in the capital budg-
    40  et of the board of  cooperative  educational  services  and,  except  as
    41  otherwise  provided in this paragraph, shall be aided in the same manner
    42  as an administrative expense. Any such payment shall not  be  considered
    43  part  of the total expenses of the board for purposes of determining the
    44  administrative and clerical expenses not to exceed ten percent otherwise
    45  eligible for aid under this subdivision,  and  such  payments  shall  be
    46  considered  for  the  purpose of apportionment during the current school
    47  year such payment is made. The apportionment for such payments shall  be
    48  determined  by  multiplying the amount of such payment allocated to each
    49  component school  district  in  the  board  of  cooperative  educational
    50  services  by  the  aid  ratio, and shall be not more than ninety percent
    51  converted to decimals, of  each  such  component  computed  pursuant  to
    52  subdivision three of section thirty-six hundred two of this chapter and
    53  used to apportion aid to that district  in  that  current  school  year;
    54  provided,  however, the apportionment for the construction, acquisition,
    55  reconstruction, rehabilitation, or improvement of board  of  cooperative
    56  educational  services  facilities,  including  payments to the dormitory
        S. 6458                            22                            A. 9558

     1  authority and payments under any lease agreement, shall  be  based  upon
     2  the cost of the board of cooperative educational services school facili-
     3  ties  but  not to exceed the cost allowance set forth in subdivision six
     4  of  section  thirty-six  hundred two of [the education law] this chapter
     5  and payments for rental facilities shall be subject to the  approval  of
     6  the commissioner.
     7    §  20.  Subdivision 1 of section 2002 of the education law, as amended
     8  by section 5 of part C of chapter 58 of the laws of 1998, is amended  to
     9  read as follows:
    10    1.  The  annual  meeting and election of each school district shall be
    11  held on the third Tuesday of May in each year,  provided,  however  that
    12  such  annual meeting and election shall be held on the second Tuesday in
    13  May if the commissioner at the request of a local school board certifies
    14  no later than March first that such election would conflict  with  reli-
    15  gious  observances.  [Unless  the hour and place thereof shall have been
    16  fixed by a vote of a previous district meeting,  the  same]  The  annual
    17  district  meeting  and  election shall  be  held  in the schoolhouse at
    18  seven-thirty o'clock in the evening in the case  of  a  school  district
    19  that is not divided into election districts and conducts its election or
    20  vote  by  recording  the ayes or noes of the qualified voters attending,
    21  or, in the case of all other districts, [during at least six consecutive
    22  hours after six a.m., two of which hours shall  be  after  six  p.m.  as
    23  determined  by  resolution  of  the  trustees  or  board  of  education,
    24  provided, however, that the trustees or board of education of any school
    25  district that conducted its annual meeting at seven-thirty p.m. in nine-
    26  teen hundred ninety-seven may conduct its  annual  election  and  budget
    27  vote  at such time in nineteen hundred ninety-eight] from six o'clock in
    28  the morning until nine o'clock in the evening. If a  district  possesses
    29  more  than one schoolhouse, it shall be held in the one usually employed
    30  for that purpose, unless the trustees or board  of  education  designate
    31  another or determines that the annual meeting and election shall be held
    32  in  more  than one schoolhouse within the district without dividing into
    33  election districts, provided that if the school district is divided into
    34  election districts such annual meeting and election  shall  be  held  at
    35  such  place  in  each  election  district  as the board of education may
    36  designate. If the district possesses no schoolhouse, or if  the  school-
    37  house  shall  not be accessible or adequate, then the annual meeting and
    38  election shall be held at such place or placesas the trustees or  board
    39  of education, or the clerk, shall designate in the notice.
    40    §  21.  Section  2005 of the education law, as amended by section 3 of
    41  part M of chapter 57 of the laws of 2005, is amended to read as follows:
    42    § 2005. Special meeting to transact business of annual meeting.  When-
    43  ever the time for holding the annual meeting in a school district  shall
    44  pass  without such meeting being held, a special meeting[, to be held on
    45  the date specified for a school budget revote  pursuant  to  subdivision
    46  three  of  section two thousand seven of this part], shall thereafter be
    47  called by the trustees or by the clerk of such district for the  purpose
    48  of  transacting the business of the annual meeting; and if no such meet-
    49  ing be called by the trustees or the clerk within ten  days  after  such
    50  time  shall  have passed, the district superintendent of the supervisory
    51  district in which said school district is situated or  the  commissioner
    52  of education may order any inhabitant of such district to give notice of
    53  such  meeting in the manner provided in section two thousand one of this
    54  part, and the officers of the district shall make to  such  meeting  the
    55  reports  required  to be made at the annual meeting, subject to the same
    56  penalty in case of neglect; and the officers  elected  at  such  meeting
        S. 6458                            23                            A. 9558

     1  shall  hold  their respective offices only until the next annual meeting
     2  and until their successors are elected and shall have qualified.  Notice
     3  of such annual meeting shall comply with the requirements of section two
     4  thousand  three  or section two thousand four of this part by publishing
     5  such notices once in each week within the two weeks next preceding  such
     6  special  meeting,  the  first  publication  to be at least fourteen days
     7  before such meeting and any required posting to be fourteen days  before
     8  the  time  of  such  meeting.  If  the  qualified voters at such special
     9  district meeting defeat the school  district  budget,  the  trustees  or
    10  board  of education shall adopt a contingency budget pursuant to section
    11  two thousand twenty-three of this  part.    [Notwithstanding  any  other
    12  provision  in  law,  the  trustees  or  board of education following the
    13  adoption of a contingency budget may call a special district meeting for
    14  a second vote on the proposed budget pursuant  to  the  requirements  of
    15  subdivision  three of section two thousand seven or subdivision three of
    16  section two thousand six of this chapter.]
    17    § 22. Subdivision 3 of section 2006 of the education law is REPEALED.
    18    § 23. Subdivision 3 of section 2007 of the education law,  as  amended
    19  by  section 5 of part M of chapter 57 of the laws of 2005, is amended to
    20  read as follows:
    21    3. a. Notwithstanding the provisions of subdivisions one  and  two  of
    22  this  section,  and  of section two thousand four of this part, whenever
    23  [the voters of the district  shall  have  defeated  the  budget  of  the
    24  district, in whole or in part, or whenever] the board of education shall
    25  have  rejected  all  bids  for  a contract or contracts for public work,
    26  transportation or purchase, and whenever in [either] such case the board
    27  of education shall deem it necessary and proper to call a special  meet-
    28  ing  to take appropriate action, the board of education shall be author-
    29  ized to give the notices required by  subdivision  one  of  section  two
    30  thousand  four of this part by publishing such notices once in each week
    31  within the two weeks next preceding  such  special  meeting,  the  first
    32  publication  to  be  at  least fourteen days before such meeting and any
    33  required posting to be fourteen days before the time of such meeting.
    34    b. [A school budget revote called pursuant  to  paragraph  a  of  this
    35  subdivision shall be held on the third Tuesday of June, provided, howev-
    36  er  that  such budget revote shall be held on the second Tuesday in June
    37  if the commissioner at the request of a local school board certifies  no
    38  later  than  March  first  that  such vote would conflict with religious
    39  observances.
    40    c.] Notwithstanding the provisions of section two thousand fourteen of
    41  this part, where a school district shall have adopted personal registra-
    42  tion, the board of registration shall meet on such day or days as  shall
    43  be  fixed  by  the  board  of education, the last day of which, however,
    44  shall not be more than seven nor less than two days preceding any school
    45  district meeting notices for which shall have been given as provided  in
    46  this subdivision.
    47    §  24.  The  education  law is amended by adding a new section 2013 to
    48  read as follows:
    49    § 2013.  Review of election procedures by county boards  of  election.
    50  1.   Notwithstanding any provisions of this article, article fifty-three
    51  of this chapter or any other law, rule or regulation  to  the  contrary,
    52  the  trustees  or  board  of education of every school district to which
    53  this article applies shall consult with the county board of elections of
    54  the county in which  the  chief  administrative  office  of  the  school
    55  district  is  located  concerning  the  procedures  used  by  the school
    56  district in conducting school  district  meetings  and  elections.  Each
        S. 6458                            24                            A. 9558

     1  county board of elections shall periodically review such school district
     2  procedures  and  make recommendations to the trustees or board of educa-
     3  tion of each such school district on ways to improve  the  fairness  and
     4  protect  the integrity of the electoral process, which shall include the
     5  option of supervision of the school meetings and elections by the county
     6  board of elections pursuant to subdivisions two, three and four of  this
     7  section.  The first such review shall be completed in sufficient time to
     8  permit  changes  in  procedures  used  in the conduct of school district
     9  annual and special district meetings and elections held on or after  the
    10  second  Tuesday  in May, two thousand seven. The trustees of each school
    11  district shall cooperate with and provide all assistance required by the
    12  county board of elections to complete such review. The trustees or board
    13  of education shall prepare a written response to the recommendations  of
    14  the  county  board of elections, including an explanation of its reasons
    15  for rejecting any recommendations of the county board of elections,  and
    16  shall  hold  a  public  hearing to present its response to the qualified
    17  voters. The provisions  of  this  section  shall  not  apply  to  school
    18  district  elections currently under the supervision of a county board of
    19  elections pursuant to subdivision nine or nine-a of section  twenty-five
    20  hundred  two  of this title. The school authorities shall cooperate with
    21  the county boards of election in implementing  the  provisions  of  this
    22  section.
    23    2.  The trustees or board of education may request the county board of
    24  elections to assume all or some of  the  functions,  powers  and  duties
    25  assigned to the trustees or board of education in overseeing or adminis-
    26  tering  elections  pursuant  to  the  provisions of: subdivision four of
    27  section eighteen hundred three-a, subdivisions four and five of  section
    28  nineteen  hundred  six  and sections two thousand fourteen, two thousand
    29  seventeen, two thousand eighteen-a, two thousand eighteen-b,  two  thou-
    30  sand  eighteen-c, two thousand nineteen-a, two thousand twenty-five, two
    31  thousand thirty, two thousand thirty-four, subdivision  one  of  section
    32  two thousand thirty-five (except the authority to authorize the purchase
    33  of voting machines) of this title, and sections twenty-six hundred four,
    34  twenty-six  hundred  six,  twenty-six  hundred seven, twenty-six hundred
    35  ten, twenty-six hundred eleven and twenty-six hundred thirteen  of  this
    36  title  and  any  other  provision of law relating to the registration of
    37  voters or the casting or canvassing of ballots or procedures at district
    38  meetings. The members of the county board of elections and  any  of  its
    39  officers  or  employees  or other persons appointed or assigned to carry
    40  out the duties of trustees or board of education pursuant to this subdi-
    41  vision shall be deemed to be school district officers or  employees  for
    42  purposes  of  sections  thirty-eight  hundred  ten  through thirty-eight
    43  hundred thirteen of this chapter, and any of their actions or  omissions
    44  relating  to  the conduct of a school district meeting or election shall
    45  be deemed actions or omissions of school  authorities  for  purposes  of
    46  sections  three  hundred ten and two thousand thirty-seven of this chap-
    47  ter.
    48    3. The trustees or board of education  may  also  request  the  county
    49  board  of  elections  to appoint or designate, for each school district,
    50  one or more persons to carry out all the functions,  powers  and  duties
    51  assigned  to  the  district clerk or a designee under the provisions of:
    52  article thirty-two of  this  chapter,  subdivisions  four  and  five  of
    53  section  nineteen  hundred  six, and sections two thousand fourteen, two
    54  thousand fifteen, two thousand eighteen, two  thousand  eighteen-a,  two
    55  thousand  eighteen-b,  two thousand eighteen-c, two thousand twenty, two
    56  thousand twenty-five, two thousand twenty-nine, two thousand thirty-two,
        S. 6458                            25                            A. 9558

     1  two thousand thirty-four of this title, and sections twenty-six  hundred
     2  six,  twenty-six hundred seven, twenty-six hundred eight, and twenty-six
     3  hundred ten of this title and any other provision  of  law  relating  to
     4  filing   of   expenditure  and  contribution  statements  or  nominating
     5  petitions, the receipt or canvassing of ballots or recording the results
     6  of the vote. Notwithstanding any other provision of  law,  such  persons
     7  shall not be required to be residents of the school district.  Any offi-
     8  cers  or  employees of the county board of elections or other persons so
     9  appointed or designated to carry out the  duties  of  a  district  clerk
    10  pursuant to this subdivision shall be deemed to be school district offi-
    11  cers  or  employees  for  purposes  of sections thirty-eight hundred ten
    12  through thirty-eight hundred thirteen of this chapter, and any of  their
    13  actions  or omissions relating to the conduct of a school district meet-
    14  ing or election shall be deemed actions or omissions of school  authori-
    15  ties  for  purposes of sections three hundred ten and two thousand thir-
    16  ty-seven of this chapter.
    17    4. The county board of elections shall notify the trustees or board of
    18  education of each school district  of  the  address  of  any  person  or
    19  persons  appointed  or designated to serve as district clerk pursuant to
    20  subdivision three of this section at which expenditure statements, nomi-
    21  nating petitions, applications for absentee ballots and other  documents
    22  relating  to  school  district  meetings or elections must be filed. The
    23  first such notice shall be provided at least sixty  days  preceding  the
    24  first  annual meeting at which such person will serve as district clerk.
    25  The county board of elections shall notify affected school districts  at
    26  least  seven  days  in advance of any subsequent change in such address.
    27  The county board of elections may terminate such appointment  or  desig-
    28  nation  prior  to any annual district meeting or election, upon at least
    29  ninety days notice to the trustees or board of education.  It  shall  be
    30  the  duty  of the trustees or board of education to include such address
    31  in the notice of any annual or special district meeting or election held
    32  on or after the second Tuesday in May, two thousand seven.
    33    5. Each county board of elections, in consultation with  the  trustees
    34  or  board  of  education  of school districts within their jurisdiction,
    35  shall develop recommendations to  expand  the  number  and  enhance  the
    36  accessibility  of polling places within the school district for conduct-
    37  ing school district meetings and  elections  to  be  comparable  to  the
    38  number  and  accessibility  of  polling places for the general election.
    39  Such plan  may  call  for  establishment  or  modification  of  election
    40  districts  or  the conduct of the vote in multiple locations in a school
    41  district that is not divided into election districts. Each county  board
    42  of  elections  shall  submit such recommendations to the district and to
    43  the department by the twenty-eighth day of February, two thousand seven.
    44    6. No school district officer or employee, or candidate for a position
    45  as a school district officer,  shall  be  eligible  for  appointment  or
    46  designation  by  a county board of elections pursuant to subdivision one
    47  or two of this section or to serve as an election inspector, a member of
    48  a board of registration, or a poll clerk within the meaning  of  section
    49  two thousand nineteen-a of this article, in a school district meeting or
    50  election  conducted  for  the  school  district in which he or she is an
    51  officer or employee or a candidate for a position as a  school  district
    52  officer.
    53    7.  Any costs incurred by a county board of elections carrying out the
    54  requirements of this section shall be a charge upon the school  district
    55  for which the district meeting or election is held.
        S. 6458                            26                            A. 9558

     1    8. The provisions of this section shall apply to a district meeting or
     2  election  conducted  by a school district on behalf of a school district
     3  public library pursuant to subdivision ten of section two hundred  sixty
     4  of  this chapter, but shall not apply to a meeting or election conducted
     5  by the trustees of a public library or library district.
     6    §  25. Paragraph b of subdivision 2 of section 2019-a of the education
     7  law, as added by chapter 474 of the laws of 1977, is amended to read  as
     8  follows:
     9    b.  The  board  of  education  shall  designate [itself or such of its
    10  employees] such qualified voters of the school district as it shall deem
    11  appropriate as a set of poll clerks to cast and  canvass  such  ballots,
    12  and  fix  a time and place for their meeting for such purposes, provided
    13  that such meeting shall be no more than ten days after any  election  at
    14  which such ballots are voted. The board may designate additional sets of
    15  poll clerks and if it designates more than one such set, shall apportion
    16  among  all such sets the election districts from which such ballots have
    17  been received, provided that all such ballots  from  a  single  election
    18  district  shall  be assigned to a single set of clerks. Each such set of
    19  clerks shall be deemed a central board of  inspectors  for  purposes  of
    20  this section.
    21    § 26. Intentionally Omitted.
    22    §  27. Subdivision 2-a of section 2022 of the education law is amended
    23  by adding a new paragraph c to read as follows:
    24    c. Commencing with the proposed budget for the two  thousand  six--two
    25  thousand  seven school year, such notice shall also include a comparison
    26  between the estimated percentage change in the total tax  levy  and  the
    27  full  value  tax  rate  from  the preceding year's budget based upon the
    28  proposed school budget and the percentage change in the total  tax  levy
    29  and full value tax rate from the preceding year if a budget subject to a
    30  spending cap is adopted pursuant to section two thousand twenty-three of
    31  this article.
    32    §  28.  Subdivisions  4  and  5  of section 2022 of the education law,
    33  subdivision 4 as amended by section 7 of part M of  chapter  57  of  the
    34  laws of 2005 and subdivision 5 as added by section 23 of part A of chap-
    35  ter 436 of the laws of 1997, are amended to read as follows:
    36    4.  In  the event that the original proposed budget is not approved by
    37  the voters, the sole trustee, trustees or board of education [may] shall
    38  adopt a final budget pursuant to subdivision five of  this  section  [or
    39  resubmit  to  the  voters  the  original or a revised budget pursuant to
    40  subdivision three of section two thousand seven of this part.  Upon  one
    41  defeat  of  such resubmitted budget, the sole trustee, trustees or board
    42  of education shall adopt a final budget pursuant to subdivision five  of
    43  this section]. Notwithstanding any other provision of law to the contra-
    44  ry,  the school district budget for any school year, or any part of such
    45  budget [or any] shall not be submitted  for  a  vote  of  the  qualified
    46  voters  more  than once and otherpropositions involving the expenditure
    47  of money for such school year shall not be submitted for a vote  of  the
    48  qualified voters more than twice.
    49    5.  If  the  qualified  voters  fail  to  approve  the proposed school
    50  district budget [upon resubmission or upon a determination not to resub-
    51  mit for a second vote pursuant to subdivision four of this section], the
    52  sole trustee, trustees or board of education, after applying thereto the
    53  public school moneys and other moneys received or  to  be  received  for
    54  that purpose, shall levy a tax for the sum necessary for teachers' sala-
    55  ries  and  other  ordinary  contingent  expenses  in accordance with the
        S. 6458                            27                            A. 9558

     1  provisions of this subdivision and section two thousand twenty-three  of
     2  this article.
     3    §  29.  Section  2022  of the education law is amended by adding a new
     4  subdivision 8 to read as follows:
     5    8. a. Notwithstanding any other provision of law to the contrary,  the
     6  trustees  or  board  of  education of every common, union free, central,
     7  central high school district and city  school  district  to  which  this
     8  article applies shall assure that the ballot on a school district budget
     9  vote,  whether  in  a  paper  ballot,  an absentee ballot or on a voting
    10  machine, contains a legend describing the effect of a "No" vote  in  the
    11  following form:
    12    "No, the proposed budget shall not be adopted and instead the board of
    13  education  (or trustees where applicable) shall adopt a budget that caps
    14  total spending so that the  percentage  increase,  if  any,  over  total
    15  spending under the school district budget for the prior school year does
    16  not exceed four percent, or one hundred twenty percent of the percentage
    17  increase  in the consumer price index from the prior school year, which-
    18  ever is less."
    19    b. In a school district that conducts a school district budget vote by
    20  taking and recording the ayes and nays of the qualified voters attending
    21  and voting at the district meeting in accordance with subdivision  three
    22  of  this  section,  the clerk or chairperson presiding over the district
    23  meeting shall assure that, prior to the vote, a statement is read to the
    24  qualified voters describing the effect of "No" vote in substantially the
    25  form prescribed in paragraph a of this subdivision.
    26    § 30. Subdivisions 1 and 2 of section 2025 of the  education  law,  as
    27  added  by  chapter  447  of  the  laws  of  1971, are amended to read as
    28  follows:
    29    1. District meetings in common school districts  shall  be  called  to
    30  order by the trustee or the [chairman] chairperson of the board of trus-
    31  tees  or  by  a  person  chosen  by  the  trustee or trustees. [The] For
    32  district meetings and elections held prior to the second Tuesday in May,
    33  two thousand seven, thequalified voters present and voting shall  nomi-
    34  nate and elect a qualified voter of the district as permanent [chairman]
    35  chairperson.    For district meetings and elections held on or after the
    36  second Tuesday in May, two thousand seven, the county board of elections
    37  shall appoint or designate a person to serve as permanent chairperson.
    38    2. In District meetings and elections held prior to the second Tuesday
    39  in May, two thousand seven,union free and central school districts  the
    40  board  of  education  shall appoint a qualified voter of the district as
    41  permanent [chairman] chairperson of each meeting  or  election  to  call
    42  such  meeting  or election to order.  In district meetings and elections
    43  held in union free or central school districts on or  after  the  second
    44  Tuesday  in May, two thousand seven, the county board of elections shall
    45  appoint or designate a person to serve as  permanent  chairperson. When
    46  hours have been set for voting in the notice of meeting or election, the
    47  [chairman]  chairperson shall  declare the polls open and closed at the
    48  appropriate time. No motions shall be in order during the  hours  speci-
    49  fied  in  the  notice  for  voting.  In  districts divided into election
    50  districts, the chief election inspector in each district  shall  declare
    51  the polls open and closed at the appropriate time.
    52    §  31.  Paragraph (a) of subdivision 3 of section 2116-a of the educa-
    53  tion law, as amended by chapter 263 of the laws of 2005, is  amended  to
    54  read as follows:
    55    (a)  The  school  authorities  of  each  school district, except those
    56  employing fewer than eight  teachers,  but  including  the  city  school
        S. 6458                            28                            A. 9558

     1  districts of the cities of Buffalo and Rochester, shall obtain an annual
     2  audit of its records by an independent certified public accountant or an
     3  independent  public accountant. The report of such annual audit shall be
     4  presented  to the trustees or board of education by such accountant. The
     5  board of education of the city school district of the city of New  York,
     6  districts  of  such city shall obtain an annual audit by the comptroller
     7  of the city of New York, or by an independent certified public  account-
     8  ant or an independent public accountant. Such city school district audit
     9  shall  include,  but  not  be  limited to, transactions processed at the
    10  level of the central administrative office, the district, and the  indi-
    11  vidual  school.  The  community  districts  of such city school district
    12  shall obtain an annual audit by the bureau of  audit  of  the  board  of
    13  education  of  the city school district of the city of New York or by an
    14  independent  certified  public  accountant  or  an  independent   public
    15  accountant. A copy of the audit report in form prescribed by the commis-
    16  sioner  and certified by the accountant, or, in the city school district
    17  of the city of New York or  the  community  districts  therein,  by  the
    18  accountant,  or  the comptroller or bureau of audit, as the case may be,
    19  shall be furnished to the commissioner on or before October  [thirtieth]
    20  first following  the  end  of the fiscal year audited, except that such
    21  report shall be furnished to the commissioner on or before January first
    22  following the end of  the  fiscal  year  audited  for  the  city  school
    23  districts  of  the  cities of Buffalo, Rochester, Syracuse, Yonkers, and
    24  New York and for the community school districts of the city of New York.
    25    § 32. Subdivision 3 of section 2116-a of the education law is  amended
    26  by adding a new paragraph (d) to read as follows:
    27    (d)  Such  annual  audit shall include but not be limited to an evalu-
    28  ation of the district or board of cooperative educational services  code
    29  of ethics and the process by which such code is reviewed and approved.
    30    § 33. Subdivision 3-a of section 2116-a of the education law, as added
    31  by chapter 267 of the laws of 2005, is amended to read as follows:
    32    3-a.  In addition to the annual audit required by subdivision three of
    33  this section, each school district and board of cooperative  educational
    34  services  within  the  state  shall  be  subject  to audits of the state
    35  conducted by the comptroller as set forth in section thirty-three of the
    36  general municipal law.  Such audits, and any similar audits conducted by
    37  the department, shall include but not be limited to an evaluation of the
    38  district or board of cooperative educational services code of ethics and
    39  the process by which such code is reviewed and approved.
    40    § 34. The education law is amended by adding a new section  2116-d  to
    41  read as follows:
    42    §  2116-d.  School  district  business officials. 1. On and after July
    43  first, two thousand eight, the board of  education  or  other  governing
    44  board  of a school district or board of cooperative educational services
    45  whose actual general fund expenditures total  five  million  dollars  or
    46  more  in  any school year shall be required to employ a certified school
    47  district business leader who meets the requirements of  subdivision  six
    48  of  section  three  thousand  three  of this chapter as the chief school
    49  business official of the district, except that an incumbent who is serv-
    50  ing as the chief school business official on  such  date  as  a  deputy,
    51  assistant,  or  associate superintendent for business or other certified
    52  school administrator having professional responsibility for the business
    53  operation of the school district, or in a  position  in  the  classified
    54  civil  service  as  a  school  business  manager  or the equivalent, may
    55  continue to be employed in such capacity, provided that, notwithstanding
    56  any other provision of law, rule or regulation  to  the  contrary,  such
        S. 6458                            29                            A. 9558

     1  individual  successfully  completes  the  examination  prescribed by the
     2  commissioner pursuant to paragraph b of subdivision six of section three
     3  thousand three of this chapter by no  later  than  June  thirtieth,  two
     4  thousand ten.
     5    2.  Every employment contract entered into, amended or extended by the
     6  trustees or board of education of a school district or a board of  coop-
     7  erative  educational  services  on or after July first, two thousand six
     8  with a deputy superintendent of schools for business,  associate  super-
     9  intendent  of  schools for business, assistant superintendent of schools
    10  for business or other person having professional responsibility for  the
    11  business operation of the school district or with an individual employed
    12  in  a  classified civil service position as a school business manager or
    13  the equivalent shall include  a  clause  requiring  that  such  employee
    14  complete  the  majority  of  required continuing education coursework in
    15  accounting and/or finance courses approved by the commissioner  in  each
    16  year of the contract.
    17    3.  Notwithstanding  any other provision of law, rule or regulation to
    18  the contrary, on and after July  first,  two  thousand  eight,  expenses
    19  incurred  by  school  districts  or  boards  of  cooperative educational
    20  services for the sharing of personnel to serve as a  deputy  superinten-
    21  dent  of  schools  for business, associate superintendent of schools for
    22  business, assistant superintendent of  schools  for  business  or  other
    23  person  having professional responsibility for the business operation of
    24  the school district shall not be eligible for aid pursuant  to  subdivi-
    25  sion  five  of section nineteen hundred fifty or paragraph i of subdivi-
    26  sion fourteen of section thirty-six hundred two of this chapter  or  any
    27  other provision of law providing aid for the sharing of services, unless
    28  such  shared  employee is certified as a school district business leader
    29  pursuant to subdivision six of section  three  thousand  three  of  this
    30  chapter.
    31    §  35.  Subdivisions  2  and 4 of section 2601-a of the education law,
    32  subdivision 2 as amended by section 6 and subdivision 4  as  amended  by
    33  section  8  of  part M of chapter 57 of the laws of 2005, are amended to
    34  read as follows:
    35    2. The board of education shall conduct all annual and special  school
    36  district  meetings  for the purpose of adopting a school district budget
    37  in the same manner as a union free school district  in  accordance  with
    38  the  provisions  of article forty-one of this title, except as otherwise
    39  provided by this section. The annual meeting and election of  each  such
    40  city  school  district shall be held on the third Tuesday of May in each
    41  year, provided, however that such annual meeting and election  shall  be
    42  held  on the second Tuesday in May if the commissioner at the request of
    43  a local school board certifies no  later  than  March  first  that  such
    44  election  would  conflict  with  religious  observances[, and any school
    45  budget revote shall be held on the date and in the same manner specified
    46  in subdivision three of section two thousand seven of this  title].  The
    47  provisions  of  this article, and where applicable subdivisions nine and
    48  nine-a of section twenty-five hundred two of this title,  governing  the
    49  qualification  and  registration of voters, and procedures for the nomi-
    50  nation and election of members of the board of education shall  continue
    51  to  apply, and shall govern the qualification and registration of voters
    52  and voting procedures with respect to the adoption of a school  district
    53  budget.
    54    4. In the event the qualified voters of the district reject the budget
    55  proposed  pursuant  to subdivision three of this section, the board [may
    56  propose to the voters a revised budget pursuant to subdivision three  of
        S. 6458                            30                            A. 9558

     1  section  two thousand seven of this title or may] shall adopt a contin-
     2  gency budget pursuant to subdivision five of this section  and  subdivi-
     3  sion  five  of section two thousand twenty-two of this title. The school
     4  district budget for any school year, or any part of such budget [or any]
     5  shall not be submitted for a vote of the qualified voters more than once
     6  and  other propositions  involving  the  expenditure  of money for such
     7  school year shall not be submitted for a vote of  the  qualified  voters
     8  more than twice. [In the event the qualified voters reject the resubmit-
     9  ted  budget,  the  board  shall adopt a contingency budget in accordance
    10  with subdivision five of this  section  and  subdivision  five  of  such
    11  section two thousand twenty-two of this title.]
    12    §  36.  Subdivision 7 of section 2601-a of the education law, as added
    13  by chapter 474 of the laws of 1996, is amended and a new subdivision 3-a
    14  is added to read as follows:
    15    3-a. The program component, capital component and  the  administrative
    16  component  shall be presented to the qualified voters in a single propo-
    17  sition. There shall be no  separate  propositions  for  any  expenditure
    18  required  to  be  included  in the budget under subdivision four of this
    19  section.
    20    7. Each year, the board of education shall prepare a  school  district
    21  report card, pursuant to regulations of the commissioner, and shall make
    22  it  publicly available by transmitting it to local newspapers of general
    23  circulation, appending it to copies of the proposed budget made publicly
    24  available as required by law, making it available  for  distribution  at
    25  the  annual  meeting,  and otherwise disseminating it as required by the
    26  commissioner. Such report card shall include measures  of  the  academic
    27  performance  of  the  school  district, on a school by school basis, and
    28  measures of the fiscal performance of the district, as prescribed by the
    29  commissioner. Pursuant to regulations of the  commissioner,  the  report
    30  card  shall  also  compare  these measures to statewide averages for all
    31  public schools, and statewide averages for public schools of  comparable
    32  wealth  and  need, developed by the commissioner. Such report card shall
    33  include, at a minimum, any information on the school district  regarding
    34  pupil  performance  and expenditure per pupil required to be included in
    35  the annual report by the regents to the  governor  and  the  legislature
    36  pursuant to section two hundred fifteen-a of this chapter, the amount of
    37  unexpended  surplus  funds;  and  any  other information required by the
    38  commissioner. For purposes of this subdivision, the term "surplus funds"
    39  shall mean any and all operating funds in excess of two percent  of  the
    40  current  school  year  budget,  regardless  of the account in which such
    41  funds are held. School  districts  (i)  identified  as  having  fifteen
    42  percent  or  more  of their students in special education, or (ii) which
    43  have fifty percent or  more  of  their  students  with  disabilities  in
    44  special  education  programs  or  services  sixty percent or more of the
    45  school day in a general education building, or (iii)  which  have  eight
    46  percent or more of their students with disabilities in special education
    47  programs  in public or private separate educational settings shall indi-
    48  cate on their school district report card their  respective  percentages
    49  as  defined in this paragraph and paragraphs (i) and (ii) of this subdi-
    50  vision as compared to the statewide average.
    51    § 37. Subdivision 3 of section 2602 of the education law,  as  amended
    52  by chapter 171 of the laws of 1996, is amended to read as follows:
    53    3.  Notwithstanding any provisions of article forty-one of this [chap-
    54  ter]  title to  the  contrary,  the  polls  of  such annual and special
    55  district meetings held prior to the second Tuesday in May, two  thousand
    56  seven shall  be open during such consecutive hours, not less than nine,
        S. 6458                            31                            A. 9558

     1  beginning not earlier than seven o'clock in the  forenoon,  and  two  of
     2  which  hours  shall be after six o'clock in the evening, as the board of
     3  education shall by  resolution  determine.  Polls  of  such  annual  and
     4  special  district  meetings  held on or after the second Tuesday in May,
     5  two thousand seven shall be open from six o'clock in the  morning  until
     6  nine o'clock in the evening.
     7    §  38. Paragraph (b) of subdivision 3 of section 2851 of the education
     8  law, as added by chapter 4 of the laws of 1998, is amended  to  read  as
     9  follows:
    10    (b)  The  board  of trustees of the state university of New York, or a
    11  non-profit entity that is exempt from taxation under paragraph three  of
    12  subsection (c) of section five hundred one of the internal revenue code,
    13  has  been  in  operation for at least five years, has assets of at least
    14  five hundred thousand dollars and is approved by such trustees to  serve
    15  as  a charter entity pursuant to a written agreement describing how such
    16  non-profit entity will carry out the responsibilities of a charter enti-
    17  ty pursuant to this article, which shall include but not be  limited  to
    18  procedures  for  revocation  by such trustees of the non-profit entity's
    19  authority to serve as a charter entity; or
    20    § 39. Paragraph (c) of subdivision 2 of section 2852 of the  education
    21  law,  as  added  by chapter 4 of the laws of 1998, is amended to read as
    22  follows:
    23    (c) granting the application is likely to improve student learning and
    24  achievement and materially further the purposes set out  in  subdivision
    25  two of section twenty-eight hundred fifty of this article.
    26  In  reviewing  applications,  the  charter  entity is encouraged to give
    27  preference to applications that demonstrate the  capability  to  provide
    28  comprehensive  learning experiences to students identified by the appli-
    29  cants as at risk of academic failure.  In addition, charter entities may
    30  favorably consider applications that establish charter schools  offering
    31  school-to-career  programs which provide specialized technical education
    32  programs in the construction trades or high technology areas that enable
    33  students to develop career skills necessary  for  productive  employment
    34  and self-sufficiency.
    35    §  40. Subdivisions 5-b and 9 of section 2852 of the education law, as
    36  added by chapter 4 of the laws of 1998, are amended to read as follows:
    37    5-b. If the board of regents returns a proposed charter to the charter
    38  entity pursuant to the provisions of subdivision five-a of this section,
    39  such charter entity shall reconsider the proposed charter,  taking  into
    40  consideration  the  comments and recommendation of the board of regents.
    41  Thereafter, the charter entity shall resubmit the  proposed  charter  to
    42  the  board  of  regents  with modifications, provided that the applicant
    43  consents in writing to such modifications, resubmit the proposed charter
    44  to the board of regents without modifications, or abandon  the  proposed
    45  charter.  The  board  of  regents  shall  review  each  such resubmitted
    46  proposed charter in accordance with the provisions of subdivision five-a
    47  of this section; provided, however, that it shall be  the  duty  of  the
    48  board  of regents to approve and issue a proposed charter resubmitted by
    49  [the] acharter entity described in paragraph (b) of  subdivision  three
    50  of  section twenty-eight hundred fifty-one of this article within thirty
    51  days of the resubmission of such proposed charter or such proposed char-
    52  ter shall be deemed approved and issued at the expiration of such  peri-
    53  od.
    54    9. The total number of charters issued pursuant to this article and in
    55  existence at any point in time shall not exceed [one] two hundred fifty.
    56  [Fifty] One hundred fifty of such charters shall be issued on the recom-
        S. 6458                            32                            A. 9558

     1  mendation of [the] a charter entity described in paragraph (b) of subdi-
     2  vision  three of section twenty-eight hundred fifty-one of this article,
     3  and [fifty] one hundred of such charters shall be issued on  the  recom-
     4  mendation  of  the other charter entities set forth in subdivision three
     5  of section twenty-eight hundred fifty-one of this article.  The  failure
     6  of any body to issue the regulations authorized pursuant to this article
     7  shall  not effect the authority of a charter entity to propose a charter
     8  to the board of regents or the board of regents' authority to grant such
     9  charter. A conversion of an existing public school to a  charter  school
    10  or the renewal or extension of a charter shall not be counted toward the
    11  numerical  limits  established  by  this subdivision.   A charter school
    12  whose charter has been surrendered or terminated or revoked or  has  not
    13  been  renewed  or  extended  shall  not  be counted toward the numerical
    14  limits established by this subdivision.
    15    § 41. Paragraph (b) of subdivision 3 of section 2853 of the  education
    16  law,  as  added  by chapter 4 of the laws of 1998, is amended to read as
    17  follows:
    18    (b) A charter school may pledge, assign or encumber its assets  to  be
    19  used as collateral for loans or extensions of credit; provided, however,
    20  that  a charter school shall not pledge or assign monies provided, or to
    21  be provided, pursuant to subdivision one of section twenty-eight hundred
    22  fifty-six  of  this  article  in  connection  with   the   purchase   or
    23  construction, acquisition, reconstruction, rehabilitation or improvement
    24  of  a  school facility and shall not pledge or assign monies provided or
    25  to be provided by the state as charter school facilities aid.
    26    § 42. Paragraph (b-1) of subdivision 3 of section 2854 of  the  educa-
    27  tion  law, as added by chapter 4 of the laws of 1998, is amended to read
    28  as follows:
    29    (b-1) The employees of a charter school that is not a conversion  from
    30  an  existing  public  school shall not be deemed members of any existing
    31  collective bargaining unit representing employees of the school district
    32  in which the charter school is located, and the charter school  and  its
    33  employees  shall  not  be  subject to any existing collective bargaining
    34  agreement between the  school  district  and  its  employees.  Provided,
    35  however, that (i) if the student enrollment of the charter school on the
    36  first  day  on  which  the  charter school commences student instruction
    37  exceeds two hundred fifty or if the average daily student enrollment  of
    38  such  school  exceeds two hundred fifty students at any point during the
    39  first year after the charter school commences student  instruction,  all
    40  instructional  employees  of  the  school who are eligible for represen-
    41  tation under article fourteen of the civil service law shall  be  deemed
    42  to  be  represented in a separate negotiating unit at the charter school
    43  by the same employee organization, if any, that represents like  employ-
    44  ees in the school district in which such charter school is located; (ii)
    45  the provisions of subparagraph (i) of this paragraph may be waived in up
    46  to  ten  charters issued on the recommendation of [the] a charter entity
    47  set forth in paragraph (b) of subdivision three of section  twenty-eight
    48  hundred  fifty-one of this article; (iii) the provisions of subparagraph
    49  (i)  of this paragraph shall not be applicable to the renewal or  exten-
    50  sion  of a charter; and (iv) nothing in this sentence shall be construed
    51  to subject a charter school subject to the provisions of this  paragraph
    52  or  its  employees  to  any  collective bargaining agreement between any
    53  public school district and its employees or to  make  the  employees  of
    54  such  charter  school  part  of  any  negotiating  unit  at  such school
    55  district. The charter school may, in its sole discretion, choose whether
        S. 6458                            33                            A. 9558

     1  or not to offer the terms  of  any  existing  collective  bargaining  to
     2  school employees.
     3    §  43.  The  education  law is amended by adding a new section 2858 to
     4  read as follows:
     5    § 2858. Charter schools facilities aid. 1. Charter  schools  shall  be
     6  eligible  to  receive  an  apportionment  pursuant  to  this section for
     7  current year approved expenditures for  debt  service  relating  to  the
     8  construction, acquisition, reconstruction, rehabilitation or improvement
     9  of  any  charter  school  building  used  for  instruction; for approved
    10  expenditures for capital outlays for such purposes, which shall be aida-
    11  ble as debt service through an assumed amortization to the  same  extent
    12  and  under the same conditions as school district capital outlays pursu-
    13  ant to subdivision six of section thirty-six hundred two of  this  chap-
    14  ter;  for  annual  payments  to  the dormitory authority pursuant to any
    15  lease, sublease or other agreement relating to the  financing  or  refi-
    16  nancing  of  an  eligible  charter school construction project under the
    17  provisions of section sixteen hundred eighty of the  public  authorities
    18  law,  and  for  current year approved expenditures for lease, lease-pur-
    19  chase or other annual payments to a school district or person,  partner-
    20  ship  or corporation for a charter school building used for instruction.
    21  Approved expenditures for the lease or other annual payments  shall  not
    22  include  the costs of heat, electricity, water or other utilities or the
    23  costs of operation or maintenance of the leased facility. An  apportion-
    24  ment  shall  be available pursuant to this subdivision for construction,
    25  reconstruction, rehabilitation or improvement in a building, or  portion
    26  thereof,  being  leased  by  a charter school only if the lease is for a
    27  term of at least ten  years  subsequent  to  the  date  of  the  general
    28  construction  contract  for such construction, reconstruction, rehabili-
    29  tation or improvement.
    30    2. The apportionment pursuant to this section  shall  be  computed  in
    31  accordance  with  subdivision  six  of section thirty-six hundred two of
    32  this chapter, as modified by this section, and all the  requirements  of
    33  such subdivision six shall apply, except that a five-year capital facil-
    34  ities  plan  shall  not  be required as a condition of aid. In computing
    35  such apportionment, the aid ratio for the charter school shall be deemed
    36  to be forty-nine hundredths, and the assumed interest rate for bonds  or
    37  notes  issued  by the charter school shall be the interest rate computed
    38  pursuant to clause (b) of subparagraph five of paragraph e  of  subdivi-
    39  sion six of section thirty-six hundred two of this chapter.
    40    3.  The  commissioner shall be authorized to pay up to seventy percent
    41  of the sum appropriated for purposes of  this  section  prior  to  April
    42  first  of  the school year for which such monies are available, with the
    43  remainder payable on or after such date.
    44    4. Where an apportionment is paid to a charter school pursuant to this
    45  section based on an assumed amortization, and the charter school's char-
    46  ter is revoked or is not renewed or the charter school otherwise  closes
    47  prior  to the end of the period of assumed amortization, the state shall
    48  have a lien on the charter school building in the full amount of the aid
    49  paid pursuant to this section and any transfer of  such  building  to  a
    50  school  district or another charter school upon dissolution of the char-
    51  ter school shall be subject to the state's lien.    Notwithstanding  any
    52  provision  of law to the contrary, upon request by the attorney general,
    53  the court in a proceeding pursuant to section two hundred twenty of this
    54  chapter shall be authorized to direct the sale of such  school  building
    55  in order to pay off the lien of the state.
        S. 6458                            34                            A. 9558

     1    §  44.  For purposes of subdivision 9 of section 2852 of the education
     2  law, a charter school formed by the chancellor of a city school district
     3  in a city having a population of one million or more for the purpose  of
     4  ensuring  that  children in that school be provided an opportunity for a
     5  sound basic education shall be deemed a conversion of an existing public
     6  school  notwithstanding the absence of a vote of the parents in favor of
     7  conversion.
     8    § 45. Subdivision 5 of section 3003 of the education law, as added  by
     9  chapter  639  of the laws of 1990, is amended and a new subdivision 6 is
    10  added to read as follows:
    11    5. [The] For candidates who apply for a certificate on or  before  the
    12  first day of September, two thousand seven, the commissioner may provide
    13  for  the  issuance  of  a  certificate as deputy, associate or assistant
    14  superintendent for business to any qualified person who meets all of the
    15  requirements of subdivision one of this section, except those  contained
    16  in paragraph b of subdivision one of this section.
    17    6.  a.  For  candidates  who  apply  for a certificate on or after the
    18  second day of September, two  thousand  seven,  the  commissioner  shall
    19  provide  for  the  issuance  of  a  professional certificate as a school
    20  district business leader (deputy superintendent of schools for business,
    21  associate superintendent of schools for business, assistant  superinten-
    22  dent of schools for business or other person having professional respon-
    23  sibility  for  the business operation of the school district) in accord-
    24  ance with this subdivision to any qualified person who meets all of  the
    25  requirements  of subdivision one of this section, except those contained
    26  in paragraph b of subdivision one of this section, and the  requirements
    27  of this subdivision.
    28    b.  The  commissioner shall require that at least twenty-four semester
    29  hours of the graduate courses required under paragraph a of  subdivision
    30  one  of  this section be in accounting and/or finance courses determined
    31  by the commissioner to be relevant to the effective  management  of  the
    32  fiscal  resources  of  a  school  district.  The commissioner shall also
    33  require candidates to successfully complete  an  examination  that  will
    34  assess the candidate's knowledge of basic budgeting and accounting prin-
    35  ciples and the state and federal laws and regulations relating to school
    36  finance, when such examination becomes available. The commissioner shall
    37  also  require that candidates complete an internship requirement as part
    38  of their graduate program that includes a  full-time  experience  of  at
    39  least fifteen weeks in duration.
    40    c.  The  commissioner  shall  establish an alternative pathway to such
    41  certification, whereby a candidate who fulfills all  other  requirements
    42  shall be deemed to meet the coursework and internship requirements for a
    43  professional  certificate  if he or she holds a master's degree in busi-
    44  ness administration or a master's degree in accounting.
    45    d. Notwithstanding any other provision of law, rule or  regulation  to
    46  the  contrary, the commissioner shall be authorized to grant a waiver of
    47  the coursework and internship requirements for  a  professional  certif-
    48  icate to candidates who, upon review of their transcript and experience,
    49  are  determined  by  the  commissioner  to be exceptionally qualified to
    50  serve as a school district business leader.
    51    e. The commissioner shall also require that the professional  develop-
    52  ment  required  under the regulations of the commissioner of all certif-
    53  icate holders  to  maintain  a  professional  certificate  as  a  school
    54  district  business  leader  annually  include  a  majority  annually  of
    55  approved coursework in accounting and/or finance.
        S. 6458                            35                            A. 9558

     1    § 46. Subdivision 1 of section 3602 of the education law is amended by
     2  adding a new paragraph bb to read as follows:
     3    bb. "Geographic cost of education index-based cost adjustment" for the
     4  purpose  of  this  section shall mean a statewide index reflecting vari-
     5  ations in teacher compensation among school districts in New York state.
     6  For the purposes of this section such index  shall  be  the  amount  set
     7  forth for each school district as "GCEI-BASED COST ADJUSTMENT" under the
     8  heading  "TIER  1 FLEX AIDS" in the school aid computer listing entitled
     9  "FLEX AID, INSTRUCTIONAL MATERIALS AIDS AND SOUND BASIC  EDUCATION  AID"
    10  and  produced  by  the  commissioner  in support of the executive budget
    11  request for the two thousand five--two  thousand  six  school  year  and
    12  entitled "BT033-1".
    13    §  47.  The  opening paragraph of subdivision 6 of section 3602 of the
    14  education law, as separately amended by chapter 59 and section 7 of part
    15  A2 of chapter 62 of the laws of 2003, is amended to read as follows:
    16    Apportionment for capital outlays and debt service for school building
    17  purposes.   Any apportionment to a  school  district  pursuant  to  this
    18  subdivision  shall  be  based  upon  base year approved expenditures for
    19  capital outlays incurred prior to July first, two thousand one from  its
    20  general  fund,  capital fund or reserved funds and current year approved
    21  expenditures for debt service, including debt service for refunding bond
    22  issues eligible for an apportionment pursuant to  paragraph  g  of  this
    23  subdivision  and  lease  or  other  annual payments to the New York city
    24  educational construction fund created by article ten of this chapter  or
    25  the  city  of  Yonkers  educational construction fund created by article
    26  ten-B of this chapter which have been pledged to secure the  payment  of
    27  bonds,  notes  or  other  obligations  issued by the fund to finance the
    28  construction, acquisition, reconstruction, rehabilitation or improvement
    29  of the school portion of combined occupancy structures, or for lease  or
    30  other  annual  payments  to  the New York state urban development corpo-
    31  ration created by chapter one hundred seventy-four of the laws of  nine-
    32  teen  hundred  sixty-eight,  pursuant  to  agreement between such school
    33  district and such corporation relating to the construction, acquisition,
    34  reconstruction, rehabilitation or improvement of any school building, or
    35  for annual payments to the dormitory authority pursuant  to  any  lease,
    36  sublease  or  other  agreement  relating  to the financing, refinancing,
    37  acquisition,  design,  construction,   reconstruction,   rehabilitation,
    38  improvement,  furnishing  and  equipping  of,  or  otherwise provide for
    39  school district capital facilities or school district capital  equipment
    40  made  under  the  provisions  of  section  sixteen hundred eighty of the
    41  public authorities law, or for annual payments pursuant  to  any  lease,
    42  sublease  or  other  agreement  relating  to the financing, refinancing,
    43  acquisition,  design,  construction,   reconstruction,   rehabilitation,
    44  improvement,  furnishing  and  equipping  of, or otherwise providing for
    45  educational facilities of a city school district under the provisions of
    46  section sixteen of chapter six hundred five of the laws of two thousand,
    47  or for lease, lease-purchase or other annual payments to another  school
    48  district  or person, partnership or corporation pursuant to an agreement
    49  made under the provisions of section four hundred  three-b,  subdivision
    50  eight  of  section  twenty-five  hundred  three,  or  subdivision six of
    51  section twenty-five hundred fifty-four of this  chapter,  provided  that
    52  the  apportionment  for  such  lease  or other annual payments under the
    53  provisions of section four hundred three-b, subdivision eight of section
    54  twenty-five hundred three, or subdivision  six  of  section  twenty-five
    55  hundred  fifty-four  of this chapter, other than payments under a lease-
    56  purchase agreement or an  equivalent  agreement,  shall  be  based  upon
        S. 6458                            36                            A. 9558

     1  approved  expenditures  in  the  current year. Approved expenditures for
     2  capital outlays from a school district's general fund, capital  fund  or
     3  reserved  funds  that  are incurred on or after July first, two thousand
     4  two,  and are not aidable pursuant to subdivision six-f of this section,
     5  shall be aidable as debt service under an  assumed  amortization  estab-
     6  lished  pursuant  to paragraphs e and j of this subdivision. In any such
     7  case approved expenditures shall be only for  new  construction,  recon-
     8  struction,  purchase  of  existing  structures,  for  site  purchase and
     9  improvement, for  new  garages,  for  original  equipment,  furnishings,
    10  machinery, or apparatus, and for professional fees and other costs inci-
    11  dental  to  such construction or reconstruction, or purchase of existing
    12  structures.   In the case  of  approved  expenditures  for  any  capital
    13  project  that  has a projected cost of five million dollars or more or a
    14  projected size of thirty thousand square feet of new or additional space
    15  or more, such project must first have been reviewed  by  an  independent
    16  third-party  team  using  a  value engineering process as defined by the
    17  commissioner in consultation with the dormitory authority of  the  state
    18  of New York for the purpose of optimizing the efficiency and cost effec-
    19  tiveness of school construction. All recommendations from the third-par-
    20  ty team for a school project shall be presented to the school district's
    21  board  of trustees or board of education for acceptance or rejection. If
    22  the board rejects a recommendation it shall provide a statement explain-
    23  ing the reasons for rejecting the recommendation and include the  state-
    24  ment  in  the application for a building permit to the department. After
    25  reviewing such  statement,  the  commissioner  shall  transmit  advisory
    26  comments  to the school district prior to approving the project for aid.
    27  The membership of such third-party review team shall consist of  profes-
    28  sionals trained in value engineering pursuant to criteria established by
    29  the  commissioner  in  consultation  with the dormitory authority of the
    30  state of New York. Any expenditures incurred by the school district  for
    31  value  engineering services required pursuant to this paragraph shall be
    32  deemed to be incidental costs of the capital project. In the case  of  a
    33  lease  or  lease-purchase  agreement  entered  pursuant  to section four
    34  hundred three-b, subdivision eight of section twenty-five hundred  three
    35  or  subdivision  six  of  section twenty-five hundred fifty-four of this
    36  chapter, approved expenditures for the lease or  other  annual  payments
    37  shall  not include the costs of heat, electricity, water or other utili-
    38  ties or the costs of operation or maintenance of the leased facility. An
    39  apportionment shall  be  available  pursuant  to  this  subdivision  for
    40  construction,  reconstruction, rehabilitation or improvement in a build-
    41  ing, or portion thereof, being leased by a school district only  if  the
    42  lease  is for a term of at least ten years subsequent to the date of the
    43  general construction contract  for  such  construction,  reconstruction,
    44  rehabilitation or improvement. Each school district shall prepare a five
    45  year  capital  facilities plan, pursuant to regulations developed by the
    46  commissioner for such purpose, provided that  in  the  case  of  a  city
    47  school district in a city having a population of one million inhabitants
    48  or  more,  such  facilities  plan  shall  comply  with the provisions of
    49  section twenty-five hundred ninety-p of this chapter and  this  subdivi-
    50  sion.  Such plan shall include, but not be limited to, a building inven-
    51  tory, and estimated expense of facility  needs,  for  new  construction,
    52  additions,  alterations,  reconstruction, major repairs, energy consump-
    53  tion and maintenance by school building, as appropriate. Such five  year
    54  plan  shall  include a priority ranking of projects and shall be amended
    55  if necessary to reflect subsequent  on-site  evaluations  of  facilities
    56  conducted by state supported contractors.
        S. 6458                            37                            A. 9558

     1    §  48.  Paragraph  a of subdivision 6 of section 3602 of the education
     2  law, as added by chapter 57 of the laws of 1993, the  opening  paragraph
     3  as amended by chapter 260 of the laws of 1993 and subparagraphs 1, 2 and
     4  3 as amended and subparagraph 4 as added by section 5 of part A of chap-
     5  ter 60 of the laws of 2000, and subparagraph 5 as added by section 12 of
     6  part L of chapter 57 of the laws of 2005, is amended to read as follows:
     7    a.  For  capital  outlays for such purposes first incurred on or after
     8  July first,  nineteen  hundred  sixty-one  and  debt  service  for  such
     9  purposes  first incurred on or after July first, nineteen hundred sixty-
    10  two, the actual approved expenditures less the amount of  civil  defense
    11  aid  received pursuant to the provisions of section thirty-five of chap-
    12  ter seven hundred eighty-four of the laws of nineteen hundred  fifty-one
    13  as  amended  shall  be  allowed for purposes of apportionment under this
    14  subdivision but not in excess of the following schedule of  cost  allow-
    15  ances:
    16    (1)  [For  new]  (a)  If  (i) the date upon which the project has been
    17  approved by the commissioner, or (ii) for a city school  district  in  a
    18  city  having  a population of one million inhabitants or more, the first
    19  date upon which a general construction contract has been  awarded  or  a
    20  purchase  agreement has been executed, relating toconstruction [and] of
    21  a new structure, an addition to an existing structure orthe purchase of
    22  anexisting [structures] structure, is  prior  to  February  first,  two
    23  thousand six, the cost allowances shall be based upon the rated capacity
    24  of the building or addition and a basic per pupil allowance of up to six
    25  thousand three hundred seventy-five dollars adjusted monthly by a state-
    26  wide  index  reflecting changes in the cost of labor and materials since
    27  July first, nineteen hundred ninety-two, established by the commissioner
    28  of labor, modified by an annual  county  or  multi-county  labor  market
    29  composite wage rate, established by the commissioner of labor in consul-
    30  tation  with the commissioner, for July first of the base year, commenc-
    31  ing July first, nineteen hundred ninety-seven for  general  construction
    32  contracts awarded on or after July first, nineteen hundred ninety-eight,
    33  indexed to the median of such county or multi-county rates, but not less
    34  than  one.  Such base allowance shall apply to a building or an addition
    35  housing grades prekindergarten through six and shall be adjusted  for  a
    36  building or an addition housing grades seven through nine by a factor of
    37  one  and four-tenths, for a building or an addition housing grades seven
    38  through twelve by a factor of one and five-tenths,  for  a  building  or
    39  addition  housing  special education programs by a factor of two, except
    40  that where such building or addition is connected to, or such  space  is
    41  located  within,  a public school facility housing programs for nondisa-
    42  bled pupils, as approved by the commissioner, a factor of three shall be
    43  used. Rated capacity of a building or an addition shall be determined by
    44  the commissioner based on space standards  and  other  requirements  for
    45  building  construction  specified  by  the commissioner.   Such assigned
    46  capacity ratings shall include, in addition to those spaces used for the
    47  instruction of pupils, those spaces which are used  for  elementary  and
    48  secondary  school  libraries,  cafeterias, prekindergarten instructional
    49  rooms, teachers' conference rooms, gymnasiums and auditoriums.  For  new
    50  construction projects to which this clause applies that were approved on
    51  or  after July first, two thousand, by the voters of the school district
    52  or by the board of education of a city school district in  a  city  with
    53  more than one hundred twenty-five thousand inhabitants, and/or the chan-
    54  cellor  in  a  city school district in a city having a population of one
    55  million or more, such rated capacity for  new  buildings  and  additions
    56  constructed  to  replace existing buildings that, in the judgment of the
        S. 6458                            38                            A. 9558

     1  commissioner, have not been adequately maintained and have  not  reached
     2  their  projected  useful life shall be reduced by the commissioner by an
     3  amount proportional to the remaining unused portion of the  useful  life
     4  of  the  existing  buildings, provided however that the commissioner may
     5  waive such requirement upon a finding that replacement of  the  existing
     6  building  is  necessary  to protect the health and safety of students or
     7  staff, that reconstruction and modernization of  the  existing  building
     8  would  not  adequately address such health and safety problems, and that
     9  the need to replace the building was not caused by failure to adequately
    10  maintain the building. If the commissioner of labor resets the statewide
    11  index reflecting changes in the costs of labor and materials since  July
    12  first,  nineteen  hundred ninety-two, the commissioner shall adopt regu-
    13  lations to supersede the basic per pupil allowance of up to six thousand
    14  three hundred seventy-five dollars to the imputed allowance in effect at
    15  that time.
    16    (b) If (i) the date upon which the project has been  approved  by  the
    17  commissioner,  or  (ii)  for  a  city school district in a city having a
    18  population of one million inhabitants or more, the first date upon which
    19  a general construction contract has been awarded or a purchase agreement
    20  has been executed, relating to construction of a new structure, an addi-
    21  tion to an existing structure or the purchase of an existing  structure,
    22  is  on  or  after  February first, two thousand six, the cost allowances
    23  shall be based upon the product of: (A) the building project enrollment,
    24  (B) a basic per pupil space allotment as established by the commissioner
    25  and approved by the director of the budget, and (C) a  basic  per  pupil
    26  allowance  for  such  construction  or  purchase  as  established by the
    27  commissioner and approved by the director of the budget. Such basic  per
    28  pupil  allowance  shall  be  adjusted  monthly thereafter by a statewide
    29  index reflecting changes in the cost of labor and materials, as  derived
    30  from  the statewide index and as modified by the annual county or multi-
    31  county labor market composite wage rate for July first of the base year,
    32  both as established by the commissioner of labor pursuant to clause  (a)
    33  of this subparagraph.
    34    (c)  If  (i)  the date upon which the project has been approved by the
    35  commissioner, or (ii) for a city school district  in  a  city  having  a
    36  population of one million inhabitants or more, the first date upon which
    37  a general construction contract has been awarded and purchases executed,
    38  relating  to  the  reconstruction,  rehabilitation  or improvement of an
    39  existing structure, is on or after February first, two thousand six, the
    40  cost allowances shall be the lesser of: (A) one hundred  per  centum  of
    41  the  cost  allowances  for  the  equivalent  new  construction  over the
    42  projected useful life of the building, to be  determined  in  accordance
    43  with the regulations of the commissioner, or (B) the product of: (I) the
    44  building  project  enrollment,  (II)  the quotient of the square feet of
    45  space being reconstructed, rehabilitated or improved within  the  school
    46  building  divided  by  the total square feet of space within such school
    47  building, and (III) a basic per pupil allowance for such reconstruction,
    48  rehabilitation or improvement as established  by  the  commissioner  and
    49  approved  by  the director of the budget. Such basic per pupil allowance
    50  shall be adjusted monthly thereafter by  a  statewide  index  reflecting
    51  changes  in  the cost of labor and materials, as derived from the state-
    52  wide index and as modified by the annual county  or  multi-county  labor
    53  market  composite  wage  rate  for  July first of the base year, both as
    54  established by the commissioner of labor pursuant to clause (a) of  this
    55  subparagraph. Reconstruction projects shall reasonably meet the criteria
        S. 6458                            39                            A. 9558

     1  established  for  new construction, including but not limited to energy,
     2  fire, personal safety and space per pupil standards.
     3    (2)  (a) Where  a school district has expenditures for site purchase,
     4  grading or improvement of the  site,  original  furnishings,  equipment,
     5  machinery  or apparatus, or professional fees, or other incidental costs
     6  relating to construction of a new structure, an addition to an  existing
     7  structure  or  the  purchase of an existing structure, for which (i) the
     8  date upon which the project has been approved by  the  commissioner,  or
     9  (ii)  for  a  city  school district in a city having a population of one
    10  million inhabitants or  more,  the  first  date  upon  which  a  general
    11  construction  contract  has  been  awarded  or  purchase  agreement  was
    12  executed, is prior to February first, two thousand six, the cost  allow-
    13  ances [for new construction and the purchase of existing structures] may
    14  be  increased  by  the  actual expenditures for such purposes but by not
    15  more than the product  of  the  applicable  cost  allowance  established
    16  pursuant to subparagraph one of this paragraph and twenty per centum for
    17  school buildings or additions housing grades prekindergarten through six
    18  and  by not more than the product of such cost allowance and twenty-five
    19  per centum for  school  buildings  or  additions  housing  grades  seven
    20  through  twelve  and by not more than the product of such cost allowance
    21  and twenty-five per centum for school  buildings  or  additions  housing
    22  special education programs as approved by the commissioner.
    23    (b)  Where a school district has expenditures for site purchase, grad-
    24  ing or improvement of the site, original furnishings, equipment, machin-
    25  ery or apparatus, or professional fees, or other incidental costs relat-
    26  ing to an approved building project for which (i) the  date  upon  which
    27  the  project  has  been approved by the commissioner, or (ii) for a city
    28  school district in a city having a population of one million inhabitants
    29  or more, the first date upon which a general construction  contract  has
    30  been awarded or purchase agreement was executed, is on or after February
    31  first,  two  thousand  six;  the cost allowances may be increased by the
    32  actual expenditures for such purposes but by not more than  the  product
    33  of  the  approved cost of construction or purchase and twenty per centum
    34  for school buildings or additions housing grades prekindergarten through
    35  six and by not more than the product of such approved cost  and  twenty-
    36  five  per  centum for school buildings or additions housing grades seven
    37  through twelve and by not more than the product of  such  approved  cost
    38  and  twenty-five per centum for that portion of such school buildings or
    39  additions housing special education programs conducted  by  a  board  of
    40  cooperative  educational  services, where such board has entered into an
    41  agreement to lease such facility or facilities for a period of ten years
    42  or more, and where such program has been approved by the commissioner on
    43  or after February first, two thousand six.
    44    (3) Cost allowances for  [reconstructing  or  modernizing  structures]
    45  reconstruction,  rehabilitation  or improvement of an existing structure
    46  for which (i) the date upon which the project has been approved  by  the
    47  commissioner,  or  (ii)  for  a  city school district in a city having a
    48  population of one million inhabitants or more, the first date upon which
    49  a general construction contract has been awarded or  purchase  agreement
    50  was  executed,  is  prior to February first, two thousand six, shall not
    51  exceed one hundred per centum of the cost allowances for the  equivalent
    52  new  construction  over the projected useful life of the building, to be
    53  determined in accordance  with  the  regulations  of  the  commissioner.
    54  Reconstruction  projects  shall reasonably meet the criteria established
    55  for new  construction,  including  but  not  limited  to  energy,  fire,
    56  personal safety and space per pupil standards.
        S. 6458                            40                            A. 9558

     1    (4)  The  commissioner  shall  promulgate  regulations prescribing the
     2  methodology for establishing a multi-year cost allowance for the purpose
     3  of computation of building aid to school districts and a  procedure  for
     4  school  districts  to  appeal  the determination that a building has not
     5  been  adequately  maintained,  as required by clause (a) of subparagraph
     6  one and subparagraphs [one and] three and five of this  paragraph.  Such
     7  methodology shall include the development of a building replacement cost
     8  allowance  schedule  for  the replacement of major building systems of a
     9  building over its projected useful life  and  the  construction  of  new
    10  buildings and additions for projects to which clause (a) of subparagraph
    11  one  of  this paragraph applies that have been approved on or after July
    12  first, two thousand by the voters of the school district or by the board
    13  of education of a city school district in a  city  with  more  than  one
    14  hundred  twenty-five  thousand  inhabitants,  and/or the chancellor in a
    15  city school district in a city having a population  of  one  million  or
    16  more.  For  purposes of this subdivision, "major building systems" shall
    17  mean the electrical, plumbing, heating, ventilation and air conditioning
    18  systems, and the roof and other major structural elements  of  a  school
    19  building.
    20    (5)  For  costs  relating  to  the  construction,  acquisition, recon-
    21  struction or leases of any school building project conducted  by  or  on
    22  behalf  of  a  city school district in a city having a population of one
    23  million inhabitants or more, where a general construction  contract  has
    24  been  awarded  or a purchase or lease agreement was executed on or after
    25  July first, two thousand four, the cost allowance for such project shall
    26  include: (a) construction and incidental  costs  where  such  costs  are
    27  associated with multistory construction necessitated by substandard site
    28  sizes,  site  security costs, difficulties with delivery of construction
    29  supplies, increased fire [resistence] resistance and  fire  suppression
    30  costs,  and (b) site acquisition, environmental remediation and building
    31  demolition costs, provided, however, that costs which are  eligible  for
    32  an  apportionment pursuant to this subparagraph on or before July first,
    33  two thousand six shall be deemed to be debt service for the two thousand
    34  five--two thousand six school year on new bonds and capital notes  aida-
    35  ble in July following the current year pursuant to clause (b) of subpar-
    36  agraph one of paragraph f of this subdivision.
    37    On  or before January first, two thousand nine, the commissioner shall
    38  report to the director of the budget, the chair of  the  senate  finance
    39  committee  and the chair of the assembly ways and means committee on the
    40  projects which received funding  pursuant  to  the  provisions  of  this
    41  subparagraph, and the overall implementation of this subparagraph.
    42    (6)  For  new  construction projects for which (i) the date upon which
    43  the project has been approved by the commissioner, or (ii)  for  a  city
    44  school district in a city having a population of one million inhabitants
    45  or  more,  the first date upon which a general construction contract has
    46  been awarded or purchase agreement was executed, is on or after February
    47  first, two thousand six, the cost allowance for new buildings and  addi-
    48  tions constructed to replace existing buildings that, in the judgment of
    49  the  commissioner,  have  not  been  adequately  maintained and have not
    50  reached their projected useful life shall be reduced by the commissioner
    51  by an amount proportional to the remaining unused portion of the  useful
    52  life  of  the existing buildings, provided however that the commissioner
    53  may waive such requirement upon a finding that replacement of the exist-
    54  ing building is necessary to protect the health and safety  of  students
    55  or staff, that reconstruction and modernization of the existing building
    56  would  not  adequately address such health and safety problems, and that
        S. 6458                            41                            A. 9558

     1  the need to replace the building was not caused by failure to adequately
     2  maintain the building.
     3    §  49.  Paragraph  d of subdivision 6 of section 3602 of the education
     4  law, as amended by section 14 of part L of chapter 405 of  the  laws  of
     5  1999, is amended to read as follows:
     6    d.  Additional apportionment of building aid for structural inspection
     7  of school buildings. In addition to the foregoing apportionments made to
     8  a school district under the provisions of this subdivision, the  commis-
     9  sioner  is  hereby  authorized  to  apportion  to any school district an
    10  amount in accordance with this subdivision for structural inspections of
    11  school buildings [used for instructional purposes] conducted pursuant to
    12  sections four hundred nine-d and four hundred nine-e of this chapter and
    13  the regulations of the  commissioner  implementing  such  sections.  The
    14  amount of such apportionment shall equal the product of the building aid
    15  ratio defined pursuant to paragraph c of this subdivision and the actual
    16  approved  expenses  incurred  by  the district in the base year for each
    17  school building so inspected by a licensed architect or licensed profes-
    18  sional engineer, provided that the amount of  such  apportionment  shall
    19  not  exceed  the structural inspection aid ceiling, and provided further
    20  that no state aid claim for the inspection of  such  building  has  been
    21  submitted within the five years prior to the submission of a claim.  For
    22  inspections  conducted  in the nineteen hundred ninety-two--ninety-three
    23  school year, the structural inspection aid ceiling shall be ten thousand
    24  dollars. For inspections conducted in the nineteen hundred ninety-three-
    25  -ninety-four school year and  thereafter,  the  inspection  aid  ceiling
    26  shall be ten thousand dollars plus an amount computed by the commission-
    27  er in accordance with regulations adopted for such purpose, on the basis
    28  of  an index number reflecting changes in the costs of labor and materi-
    29  als from July first, nineteen hundred ninety-three.
    30    § 50. Clause (b) of subparagraph 2 of paragraph e of subdivision 6  of
    31  section  3602 of the education law, as amended by section 1 of part F of
    32  chapter 383 of the laws of 2001, is amended to read as follows:
    33    (b)(i) For approved costs relating to the  construction,  acquisition,
    34  reconstruction, rehabilitation or improvement of any school building for
    35  which  a general construction contract was awarded on or after the first
    36  day of July, two thousand two and prior to the first  day  of  February,
    37  two  thousand  six,  the commissioner shall establish an assumed amorti-
    38  zation for a period of thirty years commencing on the date of receipt by
    39  the commissioner of a certification by the district  that  such  general
    40  construction  contract  has  been  awarded  by  the  school construction
    41  authority of the city of New York, or by another body or official desig-
    42  nated by law, relating to the construction, acquisition, reconstruction,
    43  rehabilitation or improvement of any school  building  within  the  city
    44  school district of the city of New York. Such assumed amortization shall
    45  provide for equal semiannual payments of principal and interest based on
    46  an  interest  rate  established by the commissioner for such purpose for
    47  the school year during which such certification was received. Such esti-
    48  mated average interest rate and such actual average interest rate  shall
    49  be  expressed  as a decimal to five places rounded to the nearest eighth
    50  of one-one hundredth.
    51    (ii) For approved costs relating  to  the  construction,  acquisition,
    52  reconstruction, rehabilitation or improvement of any school building for
    53  which  a general construction contract was awarded on or after the first
    54  day of February, two thousand six, the commissioner shall  establish  an
    55  assumed  amortization  for  a period of thirty years commencing eighteen
    56  months after the date of receipt by the commissioner of a  certification
        S. 6458                            42                            A. 9558

     1  by the district that such general construction contract has been awarded
     2  by  the  school  construction  authority  of the city of New York, or by
     3  another  body  or  official  designated  by   law,   relating   to   the
     4  construction, acquisition, reconstruction, rehabilitation or improvement
     5  of  any  school  building within the city school district of the city of
     6  New York. Such assumed amortization shall provide for  equal  semiannual
     7  payments of principal and interest based on an interest rate established
     8  by  the  commissioner  for such purpose for the school year during which
     9  such certification was received. Such estimated  average  interest  rate
    10  and such actual average interest rate shall be expressed as a decimal to
    11  five places rounded to the nearest eighth of one-one hundredth.
    12    (iii) For any assumed unpaid principal or the equivalent amount in the
    13  case  of  a  lease-purchase agreement or its equivalent, remaining as of
    14  the first day of July, two thousand two pursuant to subparagraph one  of
    15  this  paragraph,  the commissioner shall establish a new assumed amorti-
    16  zation commencing on such date for the unexpired term  of  the  original
    17  assumed  amortization  as  of such date. Such assumed amortization shall
    18  provide for equal semiannual payments of principal and interest based on
    19  the interest rate applied to the original amortization as established by
    20  the commissioner pursuant to subparagraph one of this paragraph.
    21    § 51. Clause (a) of subparagraph 3 of paragraph e of subdivision 6  of
    22  section 3602 of the education law, as amended by section 16 of part C of
    23  chapter 57 of the laws of 2004, is amended to read as follows:
    24    (a)  For  the  purposes of calculating the apportionments payable to a
    25  school district other than the city school district of the city  of  New
    26  York  pursuant  to  this  subdivision  for  any  debt service related to
    27  projects approved by the commissioner on or after the later of the first
    28  day of December, two thousand one or thirty days  after  the  date  upon
    29  which this subparagraph shall have become a law, or for any debt service
    30  related  to  projects  approved  by  the commissioner prior to such date
    31  where a bond, capital note or bond anticipation note is first issued  on
    32  or  after  such date to fund such project or for lease-purchase or other
    33  annual payments under a lease-purchase agreement or an equivalent agree-
    34  ment entered into on or after the later of the first  day  of  December,
    35  two  thousand one or thirty days after the date upon which this subpara-
    36  graph shall have become a law that are eligible for aid under the  open-
    37  ing  paragraph  of  this subdivision, current year approved expenditures
    38  for debt service shall mean debt  service  or  lease-purchase  or  other
    39  annual payments under a lease-purchase agreement or an equivalent agree-
    40  ment  that would be incurred during the current year based on an assumed
    41  amortization to be established by  the  commissioner  pursuant  to  this
    42  subparagraph of the approved project costs to be financed related to any
    43  such approved project, for a period of:
    44    (i) thirty years if the project is for the construction or acquisition
    45  of a new school building,
    46    (ii)  twenty  years if the project is for the construction of an addi-
    47  tion to a school building or for the reconstruction,  rehabilitation  or
    48  improvement  of a school building for which a period of probable useful-
    49  ness of twenty or more years is assigned pursuant to the  local  finance
    50  law, and
    51    (iii) fifteen years if the project is for the reconstruction, rehabil-
    52  itation or improvement of a school building for which a period of proba-
    53  ble  usefulness  of  less  than twenty years is assigned pursuant to the
    54  local finance law.
    55    Provided, however, that, notwithstanding any provision of law  to  the
    56  contrary,  for  aid payable in the two thousand three--two thousand four
        S. 6458                            43                            A. 9558

     1  school year, for any project which  is  eligible  for  an  apportionment
     2  pursuant  to  this  subparagraph,  but  which did not yet have a certif-
     3  ication that a general construction contract had been awarded  for  such
     4  project  by  the  district  on file with the commissioner as of February
     5  fifteenth, two thousand three, such debt service  or  lease-purchase  or
     6  other  annual payments under a lease-purchase agreement or an equivalent
     7  agreement that would be incurred during the current  year  based  on  an
     8  assumed  amortization  to be established by the commissioner pursuant to
     9  this subparagraph of the approved project costs to be financed shall not
    10  be current year approved expenditures for debt  service,  but  shall  be
    11  deemed to be debt service on new bonds and capital notes aidable in July
    12  following the current year pursuant to clause (b) of subparagraph one of
    13  paragraph f of this subdivision.
    14    Provided,  however,  that, notwithstanding any provision of law to the
    15  contrary, for aid payable in the two thousand  four--two  thousand  five
    16  school  year,  for  any  project  which is eligible for an apportionment
    17  pursuant to this subparagraph, but which did  not  yet  have  a  certif-
    18  ication  that  a general construction contract had been awarded for such
    19  project by or on behalf of the district on file with the commissioner as
    20  of February fifteenth of the base year, such debt service or  lease-pur-
    21  chase  or  other  annual payments under a lease-purchase agreement or an
    22  equivalent agreement that would be  incurred  during  the  current  year
    23  based  on  an assumed amortization to be established by the commissioner
    24  pursuant to this subparagraph  of  the  approved  project  costs  to  be
    25  financed  shall  not  be  current  year  approved  expenditures for debt
    26  service, but shall be deemed to be debt service on new bonds and capital
    27  notes aidable in July following the current year pursuant to clause  (b)
    28  of subparagraph one of paragraph f of this subdivision.
    29    Provided,  however,  that, notwithstanding any provision of law to the
    30  contrary, for aid payable in the two thousand  six--two  thousand  seven
    31  school  year  and  thereafter,  for any project which is eligible for an
    32  apportionment pursuant to this subparagraph, but which did not yet  have
    33  a  certification  that  a general construction contract had been awarded
    34  for such project by or on behalf  of  the  district  on  file  with  the
    35  commissioner  as  of  the  date  upon  which an electronic data file was
    36  created for the purposes of compliance with paragraph b  of  subdivision
    37  twenty-one  of  section  three  hundred five of this chapter on November
    38  fifteenth of the base year or such alternative date as may be  requested
    39  pursuant  to such paragraph b of subdivision twenty-one of section three
    40  hundred five of this chapter, such debt  service  or  lease-purchase  or
    41  other annual payments under a lease- purchase agreement or an equivalent
    42  agreement  that  would  be  incurred during the current year based on an
    43  assumed amortization to be established by the commissioner  pursuant  to
    44  this subparagraph of the approved project costs to be financed shall not
    45  be  current  year  approved  expenditures for debt service, but shall be
    46  deemed to be debt service on new bonds and capital notes aidable in July
    47  following the current year pursuant to clause (b) of subparagraph one of
    48  paragraph f of this subdivision.
    49    § 52. Subdivision 6-e of section 3602 of the education law,  as  added
    50  by section 19 of part C of chapter 58 of the laws of 1998, is amended to
    51  read as follows:
    52    6-e.  Additional  apportionment of building aid for building condition
    53  surveys of school buildings. In addition to the  apportionments  payable
    54  to  a  school  district pursuant to subdivision six of this section, the
    55  commissioner is hereby authorized to apportion to  any  school  district
    56  additional  building  aid  in  accordance  with this subdivision for its
        S. 6458                            44                            A. 9558

     1  approved expenses in the base year for  building  condition  surveys  of
     2  school  buildings  [used  for instructional purposes] that are conducted
     3  pursuant to this subdivision and subdivision four of section  thirty-six
     4  hundred  forty-one  of  this article.   The amount of such apportionment
     5  shall equal the product of the building aid ratio  defined  pursuant  to
     6  paragraph  c  of subdivision six of this section and the actual approved
     7  expenses incurred by the district in  the  base  year  for  each  school
     8  building  so  inspected,  provided that the amount of such apportionment
     9  shall not exceed the building condition survey aid ceiling, and provided
    10  further that no state aid claim for the survey of such building has been
    11  submitted within the five years prior to the submission of a claim.  For
    12  surveys  conducted  in  the  nineteen  hundred ninety-eight--ninety-nine
    13  school year, the building condition aid ceiling shall  be  twenty  cents
    14  gross  per square foot of floor area. For surveys conducted in the nine-
    15  teen hundred ninety-nine--two thousand school year and  thereafter,  the
    16  inspection  aid  ceiling  shall be twenty cents gross per square foot of
    17  floor area, plus an amount computed by the  commissioner  in  accordance
    18  with  regulations  adopted  for  such  purpose, on the basis of an index
    19  number reflecting changes in the costs of labor and materials from  July
    20  first, nineteen hundred ninety-eight.
    21    §  53.  Paragraph  c of subdivision 7 of section 3602 of the education
    22  law, as amended by section 22 of part C of chapter 57  of  the  laws  of
    23  2004, is amended to read as follows:
    24    c.  For the purposes of computing this apportionment for the two thou-
    25  sand five--two thousand six school year and thereafter, approved  trans-
    26  portation  capital,  debt service, and lease expense shall be the amount
    27  computed based upon an assumed amortization determined pursuant to para-
    28  graph e of this subdivision for an  expenditure  incurred  by  a  school
    29  district and approved by the commissioner for those items of transporta-
    30  tion capital, debt service and lease expense allowable under subdivision
    31  two  of  section  thirty-six hundred twenty-three-a of this article for:
    32  (i) the regular aidable transportation of  pupils,  as  such  terms  are
    33  defined in sections thirty-six hundred twenty-one and thirty-six hundred
    34  twenty-two-a  of  this article, (ii) the transportation of children with
    35  disabilities pursuant to article eighty-nine of this chapter, and  (iii)
    36  the  transportation  of  homeless  children  pursuant  to paragraph c of
    37  subdivision four of section thirty-two hundred  nine  of  this  chapter,
    38  provided  that  the total approved cost of such transportation shall not
    39  exceed the amount of the total cost of the most cost-effective  mode  of
    40  transportation.  Approvable  expenses  for  the purchase of school buses
    41  shall be limited to the actual purchase price, or the expense as if  the
    42  bus  were  purchased  under  state  contract,  whichever is less. If the
    43  commissioner determines that no comparable bus was available under state
    44  contract at the time of purchase, the approvable expenses shall  be  the
    45  actual  purchase price or the state wide median price of such bus in the
    46  most recent base year in which such median price was established with an
    47  allowable year to year CPI increase as defined in  subdivision  fourteen
    48  of  section  three hundred five of this chapter; whichever is less. Such
    49  median shall be computed by the commissioner for the  purposes  of  this
    50  subdivision.  [Commencing with aid payable in the nineteen hundred nine-
    51  ty-six--ninety-seven school year, no aid shall be payable in the current
    52  year for costs incurred for the purchase or lease of a school bus in the
    53  base year unless (i) such costs were budgeted by the school district and
    54  so reported to the commissioner by November fifteenth of the  base  year
    55  or  (ii)  such  costs  were  incurred on an emergency basis to replace a
    56  school bus that has been rendered unusable  due  to  accident,  fire  or
        S. 6458                            45                            A. 9558

     1  other  similar  circumstance,  and  such  emergency and the cost of such
     2  replacement were reported to the commissioner within sixty days of  such
     3  replacement;  provided,  however, that nothing herein shall prohibit the
     4  district from claiming aid for such purchase or lease of a school bus in
     5  the  year  following  the  current  school  year  as  if such costs were
     6  approved transportation expense incurred during the current year for the
     7  purposes of paragraph a of this subdivision and to the extent that  such
     8  costs  are  identified  to  the  commissioner  by  November first of the
     9  current year.]
    10    § 54. Paragraph a of subdivision 12-a of section 3602 of the education
    11  law, as amended by section 27 of part H of chapter 83  of  the  laws  of
    12  2002, is amended to read as follows:
    13    a.  School districts may make available full day kindergarten programs
    14  for all children wishing to attend such programs. For  school  year  two
    15  thousand--two thousand one, school districts may make available full day
    16  kindergarten  programs  for  children  wishing  to  attend such programs
    17  pursuant to regulations of the commissioner.  For  aid  payable  in  the
    18  nineteen  hundred  ninety-eight--ninety-nine school year and thereafter,
    19  school districts which had not received  an  apportionment  pursuant  to
    20  this  paragraph  in  any  prior school year, where such districts either
    21  provided any half-day kindergarten programs or [school districts  which]
    22  had  no  kindergarten programs in the nineteen hundred ninety-six--nine-
    23  ty-seven school year and in the base year  shall  be  eligible  for  aid
    24  equal  to the product of the district's selected operating aid per pupil
    25  multiplied by the  positive  difference  resulting  when  the  full  day
    26  kindergarten  enrollment  of children attending programs in the district
    27  in the base year is subtracted from such enrollment in the current year.
    28  For the purposes of this subdivision, selected operating aid  per  pupil
    29  shall  mean  the  greater of the per pupil amount calculated pursuant to
    30  paragraph b or c of subdivision twelve  of  this  section,  before  such
    31  amounts  are  multiplied by the district's total aidable pupil units and
    32  enrollment shall be determined in accordance with the reporting of  such
    33  data pursuant to paragraph n of subdivision one of this section. For aid
    34  payable  in  the  two  thousand  two--two  thousand  three  school year,
    35  districts which made full day kindergarten programs first  available  in
    36  the  two  thousand  one--two  thousand two school year, but for which an
    37  amount attributable to this program was not displayed  on  the  computer
    38  listing  produced by the commissioner in support of the executive budget
    39  request for two thousand one--two thousand two  and  entitled  "BT032-1"
    40  under  the  heading "FULL DAY K", would be eligible to receive an amount
    41  equal to the product of the district's selected operating aid per  pupil
    42  calculated  as if operating aid had been calculated pursuant to subdivi-
    43  sion twelve of this section in the current year multiplied by the  posi-
    44  tive  difference  resulting when the full day kindergarten enrollment of
    45  children attending programs in the district in the  year  prior  to  the
    46  base year is subtracted from such enrollment in the base year.
    47    §  55.  Paragraph e of subdivision 24 of section 3602 of the education
    48  law, as amended by section 9 of part L of chapter  57  of  the  laws  of
    49  2005, is amended to read as follows:
    50    e.  Employment preparation education apportionment. In addition to any
    51  other aid payable under this section, the apportionment pursuant to this
    52  subdivision shall be the product obtained when the  employment  prepara-
    53  tion  education  hours  are multiplied by the aid per contact hour which
    54  shall equal the product of the employment preparation program aid  ceil-
    55  ing  and  the employment preparation education aid ratio computed to two
    56  decimals, rounded, as calculated based on data on file with the  commis-
        S. 6458                            46                            A. 9558

     1  sioner on May fifteenth of the base year. Notwithstanding the provisions
     2  of  section  thirty-six hundred nine-a of this part, the payment of such
     3  apportionment shall be based upon reports required by  the  commissioner
     4  for the periods ending December thirty-first, and June thirtieth of each
     5  school year; payments for the first reporting period shall be made after
     6  April  first,  based on claims on file by March first, provided that the
     7  total of all such payments shall not exceed twenty-five percent  of  the
     8  amount  for  such  school  year, with the approved amount of such claims
     9  reduced on a pro rata basis if necessary; the remainder of any  payments
    10  due  for  the  first  period  plus  any payments due for the rest of the
    11  school year shall be paid after October first, based on claims  on  file
    12  by  September  fifteenth, provided that the total of such payments shall
    13  not exceed the total amount of ninety-six  million  one  hundred  eighty
    14  thousand  dollars  ($96,180,000) for such school year, with the approved
    15  amount of such  claims  reduced  on  a  pro  rata  basis  if  necessary,
    16  provided, however, that for the nineteen hundred ninety-five--ninety-six
    17  school  year  such total amount shall not exceed ninety-four million one
    18  hundred eighty thousand dollars ($94,180,000), and provided further that
    19  for the two thousand three--two thousand four  school  year  such  total
    20  amount  shall  not  exceed eighty-four million dollars ($84,000,000) and
    21  further provided that the total of such payment for services provided to
    22  persons who received a high school diploma or a high school  equivalency
    23  diploma  recognized  by New York state shall not exceed the total amount
    24  set aside for such purpose pursuant to paragraph a-one of this  subdivi-
    25  sion  in  any  such school year, with the approved amount of such claims
    26  reduced on a pro rata basis if necessary, and provided further that  for
    27  the  two  thousand four--two thousand five school year such total amount
    28  shall not exceed ninety million dollars ($90,000,000) with the  approved
    29  amount  of  such  claims  reduced  on a pro rata basis if necessary, and
    30  provided further that for the two thousand five--two thousand six school
    31  year such total amount  shall  not  exceed  ninety-six  million  dollars
    32  ($96,000,000),  and  provided further that for the two thousand six--two
    33  thousand seven school year such total amount  shall  not  exceed  ninety
    34  million  dollars  ($90,000,000) with the approved amount of such claims
    35  reduced on a pro rata basis if necessary; and aid paid pursuant to  this
    36  paragraph  shall  not  be  included  in  the computation of the district
    37  expenditure need as defined in such section thirty-six hundred nine-a of
    38  this part. The employment preparation education  apportionment  for  the
    39  city  school district of the city of New York shall be computed only for
    40  the city as a whole.
    41    § 56. Section 3602 of the education law is amended  by  adding  a  new
    42  subdivision 25 to read as follows:
    43    25.  Flex  aid.  a.  Computation  of flex aid. (1) Notwithstanding any
    44  other section of law to the contrary, for aid payable in the  two  thou-
    45  sand  seven--two  thousand  eight school year and thereafter, in lieu of
    46  aids payable pursuant to subdivisions six-d,  twelve,  sixteen,  twenty,
    47  twenty-two,  twenty-three,  twenty-six-a,  thirty-two,  thirty-eight and
    48  thirty-nine of this section, each school district shall be  entitled  to
    49  receive an amount equal to the sum of its tier one flex aid, which shall
    50  be  an  amount equal to the amount set forth for such school district as
    51  "FLEX AID" under the heading "2006-07 Aids" in the school  aid  computer
    52  listing  produced by the commissioner in support of the executive budget
    53  request for the two thousand six--two thousand  seven  school  year  and
    54  entitled  "BT131-6", and its tier two flex aid, which shall be an amount
    55  equal to the product of the total  aidable  pupil  units  for  flex  aid
    56  selected  pursuant  to subparagraph five of paragraph b of this subdivi-
        S. 6458                            47                            A. 9558

     1  sion multiplied by the sum  of  (i)  six  dollars  and  (ii)  fifty-five
     2  dollars  multiplied by the geographic cost of education index-based cost
     3  adjustment defined pursuant to paragraph bb of subdivision one  of  this
     4  section,  multiplied  by  the flex aid ratio, provided, however, that no
     5  district shall receive an amount greater than the product  of  its  tier
     6  one  flex  aid  and  the  sum of one plus the greater of the quotient of
     7  twenty-five thousandths (0.025) divided  by  the  flex  combined  wealth
     8  ratio  and  five  thousandths  (0.005),  and  provided  further  that no
     9  district shall receive an amount less than the product of its  tier  one
    10  flex aid and one and five thousandths (1.005).
    11    (2)  In  addition,  any  district with a flex combined wealth ratio of
    12  less than one and two-tenths and a percent of  eligible  applicants  for
    13  the  free and reduced price lunch program, as computed pursuant to para-
    14  graph p of subdivision one of this section, of more than  fifty  percent
    15  shall  be eligible for an additional apportionment in an amount equal to
    16  the product of  (i)  nine  dollars  multiplied  by  (ii)  the  quotient,
    17  computed  to  four  decimals  without  rounding  of  the  percent of the
    18  district's eligible applicants for the  free  and  reduced  price  lunch
    19  program divided by fifty percent multiplied by (iii) the tier three flex
    20  aid  ratio  multiplied by (iv) the public school district enrollment for
    21  the base year.
    22    (3) Performance improvement incentive award. (i) For the two  thousand
    23  seven--two  thousand eight school year and thereafter, a school district
    24  shall be eligible for an apportionment to recognize and reward  improved
    25  student  performance. The performance improvement standard used to iden-
    26  tify such districts shall use the results of the fourth and eighth grade
    27  English language arts and mathematics tests, the performance of a cohort
    28  of secondary-level students on the Regents English and mathematics exam-
    29  inations and the cohort graduation rate for the district, where applica-
    30  ble. The performance standard shall be based on a  year-to-year  compar-
    31  ison  of  the  difference  between  current  year and base year two-year
    32  rolling averages of the mean scale scores for  each  test  conducted  in
    33  such  district  and, where applicable, on the percentage change from the
    34  base year to the current year in the cohort graduation rate. In order to
    35  be  recognized  as  a  district  demonstrating  improvement  in  student
    36  performance, the district must have:
    37    (A)  tested  more than twenty students in each of the tests applicable
    38  for the grades in such district for each of  the  three  years  used  in
    39  calculating the performance standard,
    40    (B)  demonstrated  an increase of at least ten percent in the two-year
    41  average mean scale scores for each test conducted in such district, and
    42    (C) demonstrated an improvement in  the  year-to-year  change  in  the
    43  cohort graduation rate, where applicable.
    44    (ii)  For  eligible  districts,  the performance improvement incentive
    45  award may be awarded, within amounts appropriated therefor, on the basis
    46  of an allocation plan developed by the commissioner, with  the  approval
    47  of  the  director of the budget, which shall take into account consider-
    48  ations including but not limited to the degree to which student perform-
    49  ance within the district has improved and the number of students  served
    50  by the district.
    51    (4)  Efficiency  improvement incentive award. (i) For the two thousand
    52  seven--two thousand  eight  school  year  and  thereafter,  each  school
    53  district  shall be eligible for an apportionment to recognize and reward
    54  improved fiscal efficiency, in an amount equal to  the  product  of  the
    55  flex aid apportioned to such district in the base year multiplied by two
    56  percent. A school district shall be deemed eligible for an apportionment
        S. 6458                            48                            A. 9558

     1  pursuant  to  this  subdivision if, in the base year, the total spending
     2  for such school district budget complied with the school spending cap as
     3  follows:  the total estimated expenditures for  such  school  district's
     4  budget  did not exceed the total estimated expenditures under the school
     5  district budget for the prior school year by a percentage  that  exceeds
     6  the  lesser  of:  (i) four percent, or (ii) the result obtained when one
     7  hundred twenty percent is multiplied by the percentage increase  in  the
     8  consumer  price  index.   For the two thousand seven--two thousand eight
     9  school year, "the flex aid apportioned to  such  district  in  the  base
    10  year"  shall  mean  the  amount  equal  to the amount set forth for such
    11  school district as "FLEX AID" under the heading "2006-07  Aids"  in  the
    12  school  aid  computer listing produced by the commissioner in support of
    13  the executive budget request for  the  two  thousand  six--two  thousand
    14  seven school year and entitled "BT131-6".
    15    b.  Computation  of pupil units for flex aid. (1) Computation of total
    16  wealth pupil units for flex aid. Total wealth pupil units for  flex  aid
    17  will  be  computed  using  the adjusted average daily attendance for the
    18  year prior to the base year  as  computed  in  this  section,  plus  the
    19  attendance  of  resident  pupils attending public school elsewhere, less
    20  the attendance of nonresident pupils plus  the  attendance  of  resident
    21  pupils  attending full-time in board of cooperative educational services
    22  (not otherwise specifically included), plus the sum of:
    23    (i) the resident weighted pupils with handicapping conditions,
    24    (ii) the product of: (A) twenty-five  percent  and  (B)  the  adjusted
    25  average  daily  attendance  of  resident  pupils in grades seven through
    26  twelve for the year prior to the  base  year,  excluding  attendance  of
    27  pupils  who  receive  a weighting for handicapping conditions except for
    28  those pupils, if any, for whom a  weighting  of  thirteen-hundredths  is
    29  provided  in  clause four of subparagraph b of paragraph one of subdivi-
    30  sion nineteen of this section,
    31    (iii) the product of thirty-three  percent  and  the  limited  English
    32  proficient  count computed pursuant to paragraph o of subdivision one of
    33  this section,
    34    (iv) the product of thirty-three percent and the lunch count  computed
    35  pursuant to paragraph q of subdivision one of this section, and
    36    (v)  the  product  of  thirty-three  percent  and  the  sparsity count
    37  computed pursuant to paragraph r of subdivision  one  of  this  section.
    38  The  attendance  of  nonresident  pupils  attending public school in the
    39  district and resident pupils  attending  such  schools  outside  of  the
    40  district  shall  be  determined by applying to the number of such pupils
    41  registered during the school year in each case the  ratio  of  aggregate
    42  days  attendance to the possible aggregate days attendance of all pupils
    43  in attendance in the district. Native American pupils of  a  reservation
    44  attending  public school, or pupils living on the United States military
    45  reservation at West Point attending public school, shall be deemed to be
    46  resident pupils of the district providing such school, for  purposes  of
    47  this paragraph. Where a school district has entered into a contract with
    48  state  university  pursuant  to subdivision two of section three hundred
    49  fifty-five of this chapter under which the school district makes payment
    50  in the nature of tuition for the education of certain children  residing
    51  in  the  district, such children for whom such tuition payments are made
    52  shall be deemed to be resident pupils of such district for the  purposes
    53  of this paragraph.
    54    (2)  In  determining  the  total  wealth pupil units for flex aid of a
    55  component school district of a central high school district for  comput-
    56  ing  aid  ratio the total wealth pupil units for flex aid of high school
        S. 6458                            49                            A. 9558

     1  pupils residing in such component district  and  attending  the  central
     2  high school shall be included. The total wealth pupil units for flex aid
     3  of  a  central high school district itself shall be the sum of the total
     4  wealth pupil units for flex aid of each component school district.
     5    (3) Notwithstanding the foregoing provisions of this subdivision, when
     6  a  school  district  shall  experience an increase in total wealth pupil
     7  units for flex aid during the current year because  of  the  closing  in
     8  whole, or in part, of a nonpublic school or a campus school, or a school
     9  previously operated by the United States government on the United States
    10  military  reservation  at West Point, the commissioner, in computing any
    11  aid ratio of such district, shall permit  the  use  of  such  additional
    12  total  wealth pupil units for flex aid during the current year, provided
    13  that such additional total wealth pupil units for flex aid  attributable
    14  to  such  closing,  or  part  thereof, shall be in excess of one hundred
    15  students; provided, however, that such district which qualifies  for  an
    16  increase in resident weighted average daily attendance pursuant to para-
    17  graph  f  of  subdivision two of this section, shall use the increase in
    18  total wealth pupil units for flex aid, even if such  increase  in  total
    19  wealth pupil units for flex aid is less than one hundred.
    20    (4) Computation of total aidable pupil units for flex aid. Total aida-
    21  ble pupil units for flex aid shall be the sum of the district's adjusted
    22  average  daily attendance computed pursuant to this section plus the sum
    23  of (i) the attendance of summer session pupils multiplied by twelve  per
    24  centum,  (ii)  the product of: (A) twenty-five percent, (B) the adjusted
    25  average daily attendance in grades seven through  twelve  for  the  year
    26  prior  to  the  base  year, excluding attendance of pupils who receive a
    27  weighting for handicapping conditions except for those pupils,  if  any,
    28  for  whom  a weighting of thirteen-hundredths is provided in clause four
    29  of subparagraph b of paragraph  one  of  subdivision  nineteen  of  this
    30  section,  and (C) the enrollment index computed pursuant to this section
    31  for the base year, (iii) the product of  thirty-three  percent  and  the
    32  limited  English  proficient  count  computed pursuant to paragraph o of
    33  subdivision one of  this  section,  (iv)  the  product  of  thirty-three
    34  percent and the lunch count computed pursuant to paragraph q of subdivi-
    35  sion  one  of  this section, and (v) the product of thirty-three percent
    36  and the sparsity count computed pursuant to paragraph r  of  subdivision
    37  one of this section.
    38    (5)  In such computation school districts may, with the commissioner's
    39  approval, exclude attendance for those days on which  school  attendance
    40  was  adversely affected because of an epidemic or because of a religious
    41  holiday as provided in paragraph b of subdivision two of  this  section.
    42  For  the  purposes of computing flex aid a district may use either total
    43  aidable pupil units for flex aid for the current aid year or the average
    44  of total aidable pupil units for flex aid for the current aid  year  and
    45  the prior aid year, using current aid year definitions for both years.
    46    c.  Computation  of flex aid ratios. (1) "Property wealth ratio" shall
    47  mean the number computed to four decimals without rounding obtained when
    48  actual valuation of a school district divided by the total wealth  pupil
    49  units  for flex aid is divided by the statewide average actual valuation
    50  per total wealth pupil unit for flex aid as computed by the commissioner
    51  in accordance with the provisions of this section. Such statewide  aver-
    52  age actual valuation per total wealth pupil unit shall be established by
    53  the  commissioner using the latest single year actual valuation computed
    54  under this paragraph. Such statewide average shall  be  rounded  to  the
    55  nearest  hundred and shall include the actual valuation and total wealth
    56  pupil units for flex aid of all school districts eligible for aid pursu-
        S. 6458                            50                            A. 9558

     1  ant to this section  except  central  high  school  districts.  For  the
     2  purposes  of  calculating  such  statewide average the data for the city
     3  school district of the city of New York shall be citywide data.
     4    (2) "Income wealth ratio" shall mean the number computed to four deci-
     5  mals  without  rounding  obtained  when  the  adjusted gross income of a
     6  school district for the calendar year two years prior  to  the  calendar
     7  year  in  which  the  base  year began divided by the total wealth pupil
     8  units for flex aid of such district is divided by the statewide adjusted
     9  gross income per total wealth pupil unit for flex  aid.  Such  statewide
    10  average gross income per pupil shall be established by the commissioner.
    11  For the purposes of this paragraph, the income data shall be computed in
    12  accordance  with  the  provisions  of subparagraph two of paragraph k of
    13  subdivision one of this section. Such statewide average shall be rounded
    14  to the nearest hundred and shall include the adjusted gross  income  and
    15  total  wealth  pupil units for flex aid of all school districts eligible
    16  for aid pursuant to this section except central high  school  districts.
    17  For  the purposes of calculating such statewide average the data for the
    18  city school district of the city of New York shall be citywide data. The
    19  adjusted gross income of a central high school district shall equal  the
    20  sum  of  the  adjusted  gross  income  of  each  of its component school
    21  districts.
    22    (3) "Flex combined wealth ratio" shall mean  the  number  computed  to
    23  four  decimals without rounding obtained when fifty percent of the prop-
    24  erty wealth ratio is added to fifty percent of the income wealth ratio.
    25    (4) "Flex aid ratio" shall mean the number computed to  four  decimals
    26  without  rounding  obtained by subtracting from one hundred thirty-seven
    27  percent the product obtained by multiplying one hundred ten  percent  by
    28  the  flex  combined  wealth ratio, provided, however, that such flex aid
    29  ratio shall not exceed ninety percent and shall not be  less  than  five
    30  percent.
    31    (5) "Tier three flex aid ratio" shall mean the number computed to four
    32  decimals  without  rounding obtained by subtracting from one the product
    33  obtained by multiplying sixty-four percent by the flex  combined  wealth
    34  ratio,  provided, however, that such tier three flex aid ratio shall not
    35  be less than ten percent.
    36    § 57. The opening paragraph of section 3609-a of the education law, as
    37  amended by section 14 of part L of chapter 57 of the laws  of  2005,  is
    38  amended to read as follows:
    39    For  aid  payable  in  the two thousand four--two thousand five school
    40  year and thereafter, "moneys apportioned" shall mean the lesser  of  (i)
    41  the  sum  of  one hundred percent of the respective amount set forth for
    42  each school district as payable pursuant to this section in  the  school
    43  aid  computer  listing for the current year produced by the commissioner
    44  in support of the budget which includes the appropriation for the gener-
    45  al support for public schools for the prescribed payments  and  individ-
    46  ualized  payments due prior to April first for the current year plus the
    47  miscellaneous general aid apportionments which shall include: apportion-
    48  ments payable during the current school year pursuant to paragraph g  of
    49  subdivision  two, subdivision five and subdivision thirty-six of section
    50  thirty-six hundred two of this part minus any reductions to current year
    51  aids pursuant to subdivision seven of section thirty-six hundred four of
    52  this part or any deduction from apportionment payable pursuant  to  this
    53  chapter  for  collection  of  a  school  district  basic contribution as
    54  defined in subdivision eight of section forty-four hundred one  of  this
    55  chapter,  less  any  grants  provided  pursuant to subdivision twelve of
    56  section thirty-six hundred forty-one of this article, or (ii) the appor-
        S. 6458                            51                            A. 9558

     1  tionment calculated by the commissioner based on data  on  file  at  the
     2  time  the  payment is processed; provided however, that for the purposes
     3  of any payments to be made for the months of April, May or June  of  the
     4  two  thousand  five--two thousand six school year such calculation shall
     5  be based on the school aid computer listing for the current  year  using
     6  updated data at the time of each payment; provided however, that for the
     7  purposes  of  any  payments  made  pursuant to this section prior to the
     8  first business day of June of the current year, moneys apportioned shall
     9  not include any aids payable pursuant to subdivisions six and  fourteen,
    10  if applicable, of section thirty-six hundred two of this part as current
    11  year  aid for debt service on bond anticipation notes and/or bonds first
    12  issued in the current year or any aids payable as  growth  aid  for  the
    13  current  year  pursuant  to  subdivision  thirteen of section thirty-six
    14  hundred two of this part or any aids payable for  full-day  kindergarten
    15  for  the  current year pursuant to subdivision twelve-a of section thir-
    16  ty-six hundred two of this part.   The definitions of  "base  year"  and
    17  "current  year"  as  set  forth in subdivision one of section thirty-six
    18  hundred two of this part shall apply to this section. For aid payable in
    19  the [two thousand five--two thousand six] two thousand six-two  thousand
    20  seven school  year,  reference to such "school aid computer listing for
    21  the  current  year"  shall  mean  the  printouts   entitled   ["SA0506"]
    22  "BT131-6".
    23    §  58.  Paragraph  b of subdivision 2 of section 3612 of the education
    24  law, as amended by section 36 of part L of chapter 57  of  the  laws  of
    25  2005, is amended to read as follows:
    26    b. Such grants shall be awarded to school districts, within the limits
    27  of funds appropriated therefor, through a competitive process that takes
    28  into  consideration  the  magnitude  of  any shortage of teachers in the
    29  school district, the number of teachers employed in the school  district
    30  who hold temporary licenses to teach in the public schools of the state,
    31  the number of provisionally certified teachers, the number of new teach-
    32  ers needed to assure that all teachers in low-performing schools who are
    33  assigned  to teach mathematics or a science in departmentalized programs
    34  in grades five through twelve are certified to teach  the  subject, the
    35  fiscal  capacity  and geographic sparsity of the district, the number of
    36  new teachers the school district intends to hire in  the  coming  school
    37  year  and  the number of summer in the city student internships proposed
    38  by an eligible school district, if applicable. Grants provided  pursuant
    39  to  this  section shall be used only for the purposes enumerated in this
    40  section.  Notwithstanding any other provision of law to the contrary,  a
    41  city  school  district  in  a city having a population of one million or
    42  more inhabitants receiving a grant pursuant to this section may  use  no
    43  more  than  eighty  percent  of  such  grant  funds for any recruitment,
    44  retention and certification costs associated with  transitional  certif-
    45  ication of teacher candidates for the school years two thousand one--two
    46  thousand  two through [two thousand five--two thousand six] two thousand
    47  six--two thousand seven, including the costs of the  science  and  math-
    48  ematics  teacher  recruitment  tuition reimbursement program pursuant to
    49  subdivision nine of this section. The commissioner shall assure that  of
    50  the amount appropriated for purposes of this section, up to five million
    51  dollars  ($5,000,000)  is  made available annually for the costs of such
    52  science  and  mathematics  teacher  recruitment  tuition   reimbursement
    53  program.
    54    § 59. Subdivision 9 of section 3612 of the education law is renumbered
    55  subdivision 10 and a new subdivision 9 is added to read as follows:
        S. 6458                            52                            A. 9558

     1    9.  Science  and mathematics teacher recruitment tuition reimbursement
     2  program. A tuition reimbursement program  shall  be  made  available  to
     3  teachers pursuant to the provisions of this subdivision, as an incentive
     4  to  attract  qualified  teachers  to teach mathematics or a science in a
     5  low-performing school.
     6    a.  Definition.  The  term  "approved program" shall mean a registered
     7  program for the preparation of teachers at an accredited New York  state
     8  institution  of  higher education that is taken towards meeting require-
     9  ments for permanent or professional certification to teach in the public
    10  schools of the state.
    11    b. Eligibility. A person shall be eligible for a tuition reimbursement
    12  award if he or she meets the following criteria:
    13    (1) he or she has received a transitional certificate to  teach  math-
    14  ematics or a science in grades five through nine or seven through twelve
    15  in the public schools of the state and currently holds either such tran-
    16  sitional  certificate  or  a  provisional, initial, permanent or profes-
    17  sional certificate to teach such subject;
    18    (2) he or she is matriculated in an approved program or has received a
    19  master's degree upon completion of an approved program;
    20    (3) he or she will be employed full-time, commencing with  the  school
    21  year  for  which  the first award is to be made, to teach mathematics or
    22  science within the scope of his or her teaching certificate in a depart-
    23  mentalized program in a public school  identified  as  a  low-performing
    24  school and was not employed in such school in the prior school year; and
    25    (4) he or she agrees to a service obligation of one year of service in
    26  a low-performing school for each annual award received as a condition of
    27  receiving such award.
    28    c.  Application and selection. (1) The board of education shall deter-
    29  mine the form of the application and the application process for  teach-
    30  ers  deemed  eligible  for the award, and shall in its discretion select
    31  the number of eligible applicants who will receive an award pursuant  to
    32  this subdivision.
    33    (2)  If the number of eligible applicants exceeds the number of awards
    34  determined by the board pursuant to  this  subdivision  then  the  board
    35  shall  use  an objective competitive process based on educational quali-
    36  fications to determine which eligible applicants shall receive awards.
    37    d. Payment of awards. (1) Annual awards from state funds provided  for
    38  this purpose shall be paid by the board of education to the award recip-
    39  ient.
    40    (2)  The initial reimbursement award shall be four thousand dollars or
    41  the actual annual tuition cost of the  approved  program,  whichever  is
    42  less,  provided  that a recipient shall be eligible to up to two renewal
    43  reimbursement awards not to exceed four thousand dollars each,  provided
    44  that total of all awards to a recipient may not exceed the total tuition
    45  cost  of  the  approved program, and provided further that such eligible
    46  teacher has provided satisfactory service in the prior  year  as  deter-
    47  mined  by  the  board  of  education  to  be  eligible  for  any renewal
    48  reimbursement awards.
    49    (3) The board of education shall develop and  secure  from  the  award
    50  recipient  a  written  agreement outlining the service obligation.  Such
    51  agreement shall include provisions for the recipient to repay the amount
    52  of any reimbursement awards received  to  the  school  district  if  the
    53  recipient  fails  to  complete  a  year of service in any year where any
    54  initial or renewed awards are granted, and such repaid amounts shall  be
    55  deducted  from  any  grant  amounts  due  to the district from the state
    56  pursuant to this section. Upon a written appeal by an  award  recipient,
        S. 6458                            53                            A. 9558

     1  the  board  of  education,  in  its  discretion, may provide a waiver of
     2  repayment provisions for an award recipient who fails to complete his or
     3  her service requirement for documented reasons of health or other severe
     4  hardship, as determined by the commissioner.
     5    e.  Notification.  The board of education shall inform eligible appli-
     6  cants of their selection for the program by a  date  determined  by  the
     7  board of education. 
     8    §  60.  Paragraph  b of subdivision 4 of section 3641 of the education
     9  law, as amended by section 48 of part C of chapter 58  of  the  laws  of
    10  1998, is amended to read as follows:
    11    b.  Building  condition  surveys.  To  be eligible for aid pursuant to
    12  subdivision six-e of section thirty-six hundred  two  of  this  article,
    13  building condition surveys shall be conducted by a licensed architect or
    14  licensed professional engineer performing under a state contract entered
    15  into  pursuant  to  paragraph  c  of  this subdivision, shall assess the
    16  condition of all major building systems of a school building  [used  for
    17  instructional purposes], and shall be in the form and contain the infor-
    18  mation  prescribed by the commissioner.  For purposes of this paragraph,
    19  "major building systems" shall mean the electrical,  plumbing,  heating,
    20  ventilation  and  air conditioning systems, and the roof and other major
    21  structural elements of a school building.
    22    § 61. Paragraphs a and b of subdivision  5  of  section  3641  of  the
    23  education  law,  as amended by section 48 of part C of chapter 57 of the
    24  laws of 2004, are amended to read as follows:
    25    a. In addition to apportionments otherwise provided by  section  thir-
    26  ty-six  hundred  two of this article, for aid payable in the school year
    27  [two thousand four--two thousand five] two  thousand  six--two  thousand
    28  seven, the amounts specified in paragraph b of this subdivision shall be
    29  paid  for  the  purposes of the development, maintenance or expansion of
    30  magnet schools and magnet school programs  provided,  however  that  any
    31  school  district  in  a city of one million or more inhabitants which an
    32  additional apportionment is provided in the two thousand four--two thou-
    33  sand five school year which  spends  less  in  local  funds  during  the
    34  current  year  than in the base year for magnet schools or magnet school
    35  programs shall have its apportionment reduced in an amount equal to such
    36  deficiency in the current year or in the succeeding school year.  It  is
    37  provided further that no apportionment provided pursuant to this section
    38  shall  be  used for any costs associated with the administration of this
    39  program by the board of education of the city of New York.
    40    b. To the city school district of the city of New York there shall  be
    41  paid  forty-eight  million  one  hundred  seventy-five  thousand dollars
    42  ($48,175,000) including five hundred thousand dollars ($500,000) for the
    43  Andrew Jackson High School; to the Buffalo city school district,  seven-
    44  teen  million twenty-five thousand dollars ($17,025,000); to the Roches-
    45  ter city school district, eleven million dollars ($11,000,000);  to  the
    46  Syracuse  city school district, eleven million dollars ($11,000,000); to
    47  the Yonkers city school district, twenty-nine million five hundred thou-
    48  sand dollars ($29,500,000); to the Newburgh city school  district,  four
    49  million  six  hundred  forty-five  thousand dollars ($4,645,000); to the
    50  Poughkeepsie city school district, [one] two million [nine] four hundred
    51  seventy-five thousand dollars [($1,975,000)] ($2,475,000); to the  Mount
    52  Vernon  city  school  district, two million dollars ($2,000,000); to the
    53  New Rochelle city school district, one million four hundred ten thousand
    54  dollars ($1,410,000); to  the  Schenectady  city  school  district,  one
    55  million eight hundred thousand dollars ($1,800,000); to the Port Chester
    56  city  school  district,  one  million one hundred fifty thousand dollars
        S. 6458                            54                            A. 9558

     1  ($1,150,000); to the White Plains city  school  district,  nine  hundred
     2  thousand  dollars ($900,000); to the Niagara Falls city school district,
     3  six hundred thousand dollars  ($600,000);  to  the  Albany  city  school
     4  district,  two million fifty thousand dollars ($2,050,000); to the Utica
     5  city school district, one million [two] seven hundred  thousand  dollars
     6  [($1,200,000)]  ($1,700,000);  to the Beacon city school district, three
     7  hundred sixty-six thousand dollars ($366,000); to  the  Middletown  city
     8  school  district, four hundred thousand dollars ($400,000); to the Free-
     9  port  union  free  school  district,  four  hundred   thousand   dollars
    10  ($400,000);  to  the  Greenburgh  central school district, three hundred
    11  thousand dollars ($300,000); to the Amsterdam city school district, five
    12  hundred thousand dollars ($500,000); and to the  Peekskill  city  school
    13  district, two hundred thousand dollars ($200,000).
    14    § 61-a. Paragraph a of subdivision 11 of section 3641 of the education
    15  law,  as  added by chapter 33 of the laws of 2002, is amended to read as
    16  follows:
    17    a. In addition to apportionments otherwise provided by  section  thir-
    18  ty-six  hundred  two of this article, for aid payable in the school year
    19  two thousand one--two  thousand  two  and  every  year  thereafter,  the
    20  amounts  specified  in paragraph b of this subdivision shall be paid for
    21  the sole purpose of enhancement  of  the  academic  programs  of  school
    22  districts  that have become subject to removal of the board of education
    23  as a result of failure of one or  more  schools  to  meet  state  school
    24  accountability  standards and serious financial problems that impact the
    25  ability of the school district to support program  improvements  without
    26  endangering  the fiscal stability of the school district's residents and
    27  businesses.  Grant funds awarded pursuant to this subdivision  shall  be
    28  used  exclusively for direct classroom services and expenses incurred by
    29  the school district to support  and  maintain  the  improvement  of  the
    30  academic  performance  of the schools of the school district, in accord-
    31  ance with a plan of expenditure prepared at the direction of the commis-
    32  sioner and approved by the commissioner. For the purposes of this subdi-
    33  vision direct  classroom  services  and  expenses  shall  mean  (i)  the
    34  salaries and associated employee benefits of teachers, teacher aids, and
    35  teacher  assistants  whose  primary  assignment is classroom instruction
    36  and, (ii) expenses associated with the purchase and maintenance of text-
    37  books, computer software, computer hardware, and library materials.
    38    § 62. Section 3641 of the education law is amended  by  adding  a  new
    39  subdivision 14 to read as follows:
    40    14.  Academic achievement awards. In addition to apportionments other-
    41  wise provided by section thirty-six hundred two of this article, for aid
    42  payable in the two thousand six--two  thousand  seven  school  year  and
    43  thereafter,  school  districts  eligible  to  receive  aid for operating
    44  expenses shall be eligible for grants and honors pursuant to this subdi-
    45  vision for public schools of the school district that  achieve  academic
    46  excellence  on  state  assessments  as specified herein. Charter schools
    47  that achieve academic excellence on such state assessments in accordance
    48  with the criteria specified in this subdivision shall also  be  eligible
    49  for grants pursuant to paragraph a of this subdivision. The commissioner
    50  shall notify the governor of the public schools identified as recipients
    51  of  such  grants  by December first of each year, prior to notifying the
    52  affected school districts or charter schools of such identification.
    53    a. Pathfinder awards. Twenty-five Pathfinder awards in the  amount  of
    54  ten thousand dollars each shall be awarded to at least one public school
    55  in each judicial district, and to thirteen at-large public schools that:
    56  (i) showed the greatest improvement over the three-year period ending in
        S. 6458                            55                            A. 9558

     1  the preceding school year in the percentage of students achieving profi-
     2  ciency on the fourth and/or eighth grade English language arts and math-
     3  ematics  assessments;  and  (ii)  have  at  least  sixty  percent of the
     4  students  enrolled  in  the  school in the preceding school year achieve
     5  proficiency on such state assessments. In the  event  of  a  tie,  joint
     6  awards  shall  be  made to each school that qualifies, and the amount of
     7  the grant shall be prorated accordingly.
     8    b. Trailblazer educational excellence and efficiency  awards.  Twenty-
     9  five  Trailblazer  educational  excellence  and efficiency awards in the
    10  amount of ten thousand dollars each shall be awarded  to  at  least  one
    11  public  school  of  a  school district in each judicial district, and to
    12  thirteen at-large public schools of a school district that: (i)  achieve
    13  the  highest  percentage of students achieving proficiency on the fourth
    14  grade English language  arts  and  mathematics  assessments  and/or  the
    15  eighth  grade  English  language arts and mathematics assessments in the
    16  preceding school year; and (ii) had per pupil spending in the  preceding
    17  school  year  that  was  equal  to  or  below the average for the school
    18  districts in that labor force region as defined by the  commissioner  of
    19  labor.  For  purposes of this paragraph, "per pupil spending" shall mean
    20  the quotient of the total general fund expense of the school district in
    21  which the school is located in the school year prior to the  base  year,
    22  divided  by  the number of students enrolled in the school. In the event
    23  of a tie, joint awards shall be made to each school that qualifies,  and
    24  the amount of the grant shall be prorated accordingly.
    25    §  63.  The  education  law is amended by adding a new section 4311 to
    26  read as follows:
    27    § 4311. Oversight of residential programs. The office of mental retar-
    28  dation and developmental disabilities shall conduct periodic inspections
    29  of all residential programs located in the school. In the case of  seri-
    30  ous  violations,  including  but  not  limited to a finding of immediate
    31  jeopardy to individuals' health or safety, the department  shall  submit
    32  its response to such report or findings to the governor and the director
    33  of  the  budget  with a plan for corrective action within one week after
    34  being made aware of such findings.
    35    § 64. Subdivision 6 of section 4402 of the education law,  as  amended
    36  by section 22 of part L of chapter 57 of the laws of 2005, is amended to
    37  read as follows:
    38    6.  Notwithstanding any other law, rule or regulation to the contrary,
    39  the board of education of a city school district with  a  population  of
    40  one  hundred twenty-five thousand or more inhabitants shall be permitted
    41  to establish  maximum  class  sizes  for  special  classes  for  certain
    42  students  with  disabilities  in  accordance with the provisions of this
    43  subdivision. For the purpose of obtaining relief from any adverse fiscal
    44  impact from under-utilization of special education resources due to  low
    45  student  attendance  in  special  education  classes  at  the middle and
    46  secondary level as determined by the commissioner, such boards of educa-
    47  tion shall, during the school years nineteen hundred  ninety-five--nine-
    48  ty-six  through  June  thirtieth,  two  thousand [six] seven of the [two
    49  thousand five--two thousand six] two thousand  six--two  thousand  seven
    50  school  year,  be  authorized to increase class sizes in special classes
    51  containing students with disabilities whose age ranges are equivalent to
    52  those of students in middle and secondary  schools  as  defined  by  the
    53  commissioner for purposes of this section by up to but not to exceed one
    54  and  two  tenths  times  the  applicable maximum class size specified in
    55  regulations of the commissioner rounded up to the nearest whole  number,
    56  provided  that  in  a  city  school  district having a population of one
        S. 6458                            56                            A. 9558

     1  million or more, classes that have a maximum class size of  fifteen  may
     2  be increased by no more than one student and provided that the projected
     3  average  class size shall not exceed the maximum specified in the appli-
     4  cable  regulation,  provided  that such authorization shall terminate on
     5  June thirtieth, two thousand. Such authorization shall be  granted  upon
     6  filing  of  a  notice by such a board of education with the commissioner
     7  stating the board's intention to increase such class sizes and a certif-
     8  ication that the board will conduct a study of  attendance  problems  at
     9  the  secondary  level  and  will  implement  a corrective action plan to
    10  increase the rate of attendance of students in such classes to at  least
    11  the  rate  for students attending regular education classes in secondary
    12  schools of the district. Such corrective action plan shall be  submitted
    13  for  approval  by  the  commissioner by a date during the school year in
    14  which such board increases class sizes  as  provided  pursuant  to  this
    15  subdivision  to  be prescribed by the commissioner. Upon at least thirty
    16  days notice to the board of education, after conclusion  of  the  school
    17  year  in  which such board increases class sizes as provided pursuant to
    18  this subdivision, the commissioner shall be authorized to terminate such
    19  authorization upon a finding that the board has  failed  to  develop  or
    20  implement an approved corrective action plan.
    21    §  64-a.  Subdivision 6 of section 4408 of the education law, as added
    22  by chapter 82 of the laws of 1995, is amended to read as follows:
    23    6. Notwithstanding any other provision of law  to  the  contrary,  for
    24  aids  payable  pursuant  to  this section for the two thousand four--two
    25  thousand five and earlier school yearsno payments shall be made by  the
    26  commissioner  pursuant  to this section on or after July first, nineteen
    27  hundred ninety-six based on a claim submitted  later  than  three  years
    28  after  the  end of the school year in which services were rendered, and,
    29  for aids payable pursuant to this section for the two thousand five--two
    30  thousand six school year, no payment shall be made by  the  commissioner
    31  pursuant  to this section on or after July first, two thousand six based
    32  on a claim submitted later than two years after the end  of  the  school
    33  year  in  which services were rendered, and for aids payable pursuant to
    34  this section for the two thousand six--two thousand  seven  school  year
    35  and thereafter, no payment shall be made by the commissioner pursuant to
    36  this  section  on or after July first, two thousand six based on a claim
    37  submitted later than one year after the end of the school year in  which
    38  services  were rendered provided however that no payment shall be barred
    39  or reduced where such payment is required as a result of a  court  order
    40  or judgment or a final audit.
    41    §  65.  Paragraph a of subdivision 11 of section 4410 of the education
    42  law, as amended by chapter 474 of the laws of 1996, is amended  to  read
    43  as follows:
    44    a.  The  approved  costs  for  a preschool child who receives services
    45  pursuant to this section, other than evaluation  costs  incurred  on  or
    46  after  July  first, two thousand six where the approved evaluator is not
    47  the school district of residence of the child and the evaluation is  not
    48  conducted  directly  by school district employees shall be a charge upon
    49  the municipality wherein such child resides.  Evaluation costs  incurred
    50  on  or  after  July  first,  two thousand six shall be a charge upon the
    51  school district of residence of the child unless the approved  evaluator
    52  is  the  school district of residence of the child and the evaluation is
    53  conducted directly by school district employees and not by contract with
    54  other individuals or entities. All approved costs shall be paid  in  the
    55  first  instance and at least quarterly by the appropriate governing body
    56  or  officer  of  the  municipality  or  school  district upon  vouchers
        S. 6458                            57                            A. 9558

     1  presented  and  audited  in  the same manner as the case of other claims
     2  against the municipality. Notwithstanding any inconsistent provisions of
     3  this section, upon notification by the commissioner, a  municipality  or
     4  school  district may  withhold  payments  due any provider for services
     5  rendered to preschool children in a program for which  the  commissioner
     6  has  been  unable  to establish a tuition rate due to the failure of the
     7  provider to file complete and accurate  reports  for  such  purpose,  as
     8  required by the commissioner.
     9    §  66.  Paragraph b of subdivision 10 of section 4410 of the education
    10  law, as amended by chapter 705 of the laws of 1992, is amended  to  read
    11  as follows:
    12    b.  Reimbursement  for  evaluations  conducted  by approved evaluators
    13  shall be provided pursuant to  regulations  of  the  commissioner  after
    14  consultation  with  the advisory committee established pursuant to para-
    15  graph a of subdivision twelve of this section and shall  be  subject  to
    16  approval  by the director of the budget; provided that, in the two thou-
    17  sand six--two thousand seven  school  year  and  thereafter,  evaluation
    18  costs  shall  be reimbursed through a separate evaluation rate and state
    19  reimbursement of such evaluation costs shall be  limited  in  accordance
    20  with  subparagraph  (vi)  of  paragraph  b of subdivision eleven of this
    21  section.
    22    § 67. Paragraph b of subdivision 11 of section 4410 of  the  education
    23  law is amended by adding a new subparagraph (vi) to read as follows:
    24    (vi) Notwithstanding any other provision of law, rule or regulation to
    25  the contrary, commencing with reimbursement of municipalities for evalu-
    26  ation  costs  incurred  on  or after July first, two thousand six, there
    27  shall be no state reimbursement provided for evaluation costs unless the
    28  approved evaluator is the school district of residence of the child  and
    29  the  evaluation  is  conducted directly by school district employees and
    30  not by contract with other individuals or entities.
    31    § 68. Subdivision 1 of section 101 of the general  municipal  law,  as
    32  amended  by  chapter  572  of  the  laws  of 1964, is amended to read as
    33  follows:
    34    1. Every officer, board or agency of a political subdivision or of any
    35  district therein, other than a school district or a board of cooperative
    36  educational services or a city contracting on behalf of  a  city  school
    37  district, charged with the duty of preparing specifications or awarding
    38  or entering  into  contracts  for  the  erection,  construction,  recon-
    39  struction  or alteration of buildings, when the entire cost of such work
    40  shall exceed fifty thousand dollars, shall prepare  separate  specifica-
    41  tions for the following three subdivisions of the work to be performed:
    42    a. Plumbing and gas fitting;
    43    b.  Steam heating, hot water heating, ventilating and air conditioning
    44  apparatus; and
    45    c. Electric wiring and standard illuminating fixtures.
    46    § 69.  Paragraph (b) of subdivision 2 of section 1676  of  the  public
    47  authorities  law  is  amended  by adding a new undesignated paragraph to
    48  read as follows:
    49    An education corporation  established  to  operate  a  charter  school
    50  pursuant  to article fifty-six of the education law for the financing or
    51  refinancing of an eligible charter school construction project.
    52    § 70. Section 1676 of the public authorities law is amended by  adding
    53  a new subdivision 45 to read as follows:
    54    45. "Eligible charter school construction project" means a project for
    55  the  design,  planning, construction, acquisition, reconstruction, reno-
    56  vation, development, improvement, expansion,  furnishing,  equipping  or
        S. 6458                            58                            A. 9558

     1  otherwise  providing  for  a  school  building  used by a charter school
     2  primarily for instruction that is approved by  the  charter  entity,  as
     3  defined  in  subdivision three of section twenty-eight hundred fifty-one
     4  of the education law, that entered a charter agreement with such charter
     5  school.
     6    §  71.  Subdivision 1 of section 1680 of the public authorities law is
     7  amended by adding a new undesignated paragraph to read as follows:
     8    An education corporation  established  to  operate  a  charter  school
     9  pursuant  to article fifty-six of the education law for the financing or
    10  refinancing of an eligible charter school construction project.
    11    § 72. Section 1680 of the public authorities law is amended by  adding
    12  a new subdivision 41 to read as follows:
    13    41.  a.  The  dormitory authority is empowered and authorized to enter
    14  into a lease, sublease or other agreement with the board of trustees  of
    15  any  charter  school  pursuant  to  which  the  dormitory  authority may
    16  acquire, finance, refinance, design, construct,  reconstruct,  renovate,
    17  develop,  improve,  expand,  furnish,  equip or otherwise provide for an
    18  instructional facility. Such lease,  sublease  or  other  agreement  may
    19  provide for annual or other payments to the dormitory authority by or on
    20  behalf  of  the  charter school. Such lease, sublease or other agreement
    21  may contain such other terms and the parties may agree  upon  conditions
    22  as  thereto, including, but not limited to, the establishment of reserve
    23  funds and indemnities. A lease, sublease or other agreement entered into
    24  by a charter  school  with  the  dormitory  authority  pursuant  to  the
    25  provisions  of  this  section  shall  not be deemed to be an installment
    26  purchase contract, contract for public work or purchase contract  within
    27  the  meaning of article five-A of the general municipal law or any other
    28  law.
    29    b. Notwithstanding any provision of paragraph (b) of subdivision three
    30  of section twenty-eight hundred fifty-three of the education law to  the
    31  contrary,  the board of trustees of a charter school shall have the full
    32  power and authority to assign and pledge to the dormitory authority  any
    33  and  all public funds to be apportioned or otherwise made payable by the
    34  United States, any agency thereof, the state, any agency thereof,  or  a
    35  school  district to the charter school. All state and local officers are
    36  hereby authorized and required to pay all such  funds  so  assigned  and
    37  pledged  to the dormitory authority or, upon the direction of the dormi-
    38  tory authority, to any trustee of any dormitory authority bond  or  note
    39  issued,  pursuant  to  a  certificate filed with any such state or local
    40  officer by the dormitory authority pursuant to the  provisions  of  this
    41  paragraph;  provided,  however,  that nothing in this paragraph shall be
    42  construed to require a school district to make payments for  any  period
    43  in which no students are enrolled in or attending the charter school.
    44    c.  Such  lease,  sublease, or other agreement shall not constitute or
    45  create indebtedness of the state or of  any  school  district  or  other
    46  political  subdivision  for  purposes  of  article seven or eight of the
    47  state constitution or section 20.00 of the local finance law.
    48    § 73. Paragraph a of subdivision 2 and subdivision 5 of  section  1734
    49  of  the  public  authorities law, as added by chapter 738 of the laws of
    50  1988, are amended to read as follows:
    51    a.  Except  as  otherwise  provided  in  this  section,  all  purchase
    52  contracts  for  supplies,  materials or equipment involving an estimated
    53  expenditure in excess of ten thousand  dollars  and  all  contracts  for
    54  public  work involving an estimated expenditure in excess of fifty thou-
    55  sand dollars shall be awarded by the authority to the lowest responsible
    56  bidder after obtaining sealed bids in the manner hereinafter set  forth.
        S. 6458                            59                            A. 9558

     1  For  purposes  hereof, contracts for public work shall exclude contracts
     2  for personal, engineering and architectural, or  professional  services.
     3  Nothing  in  this  section shall prohibit the authority from negotiating
     4  with the low bidder on all matters pertaining to the bid provided howev-
     5  er  that  a contract shall not be awarded for an amount greater than the
     6  original low responsive and responsible bid.
     7    5. Notwithstanding the foregoing,  the  authority  may  by  resolution
     8  approved by a vote of its members declare [(i)] that competitive bidding
     9  [for non-construction contracts] is impractical or inappropriate because
    10  of  the  existence of any of the circumstances hereinafter set forth [or
    11  (ii) that competitive bidding for construction contracts is  impractical
    12  or inappropriate because of the existence of the circumstances set forth
    13  in  paragraph  a  of  this  subdivision].  Thereafter  the authority may
    14  proceed to award contracts without complying with  the  requirements  of
    15  subdivision two or three of this section. In each case where the author-
    16  ity  declares competitive bidding impractical or inappropriate, it shall
    17  state the reason therefor in writing and summarize any negotiations that
    18  have been conducted and shall be made available upon request. Except for
    19  contracts awarded pursuant to paragraphs a, b and c of this subdivision,
    20  the authority shall not award any contract pursuant to this  subdivision
    21  earlier  than  thirty days from the date on which the authority declares
    22  that competitive bidding is impractical  or  inappropriate.  Competitive
    23  bidding may only be declared impractical or inappropriate where:
    24    a.  the  existence of an emergency involving danger to life, safety or
    25  property requires immediate action and cannot await competitive  bidding
    26  or  the  item to be purchased is essential to efficient operation or the
    27  adequate provision of service by the city board or the authority and  as
    28  a  consequence  of  unforeseen  circumstance  such purchase cannot await
    29  competitive bidding;
    30    b. the authority receives no responsive bids or only a single  respon-
    31  sive bid in response to an invitation for competitive bids;
    32    c. the item is available through an existing contract between a vendor
    33  and  (i)  another  public  authority  provided that such other authority
    34  utilized a process of competitive bidding or a  process  of  competitive
    35  requests  for proposals to award such contracts, or (ii) the city board,
    36  or (iii) the state of New York, or (iv) the city of New  York,  provided
    37  that in any case when under this paragraph the authority determines that
    38  obtaining  such  item  thereby  would be in the public interest and sets
    39  forth the reason for such determination. The authority shall accept sole
    40  responsibility for any payment due the vendor as a result of the author-
    41  ity's order; or
    42    d. the authority determines that it is in the public interest to award
    43  contracts pursuant to a process for competitive requests  for  proposals
    44  as  hereinafter  set  forth. For purposes of this section, a process for
    45  competitive requests for proposals shall mean  a  method  of  soliciting
    46  proposals and awarding a contract on the basis of a formal evaluation of
    47  the  characteristics,  such  as  quality,  cost,  delivery  schedule and
    48  financing of such proposals against stated  selection  criteria.  Public
    49  notice  of  the requests for proposals shall be given in the same manner
    50  as provided in subdivision three of this section and shall  include  the
    51  selection  criteria.  In the event the authority makes a material change
    52  in the selection criteria from those previously stated in the notice, it
    53  will inform all proposers of such change and permit proposers to  modify
    54  their proposals.
    55    (i) The authority may award a contract pursuant to this paragraph only
    56  after a resolution approved by a vote of its members at a public meeting
        S. 6458                            60                            A. 9558

     1  of the authority with such resolution (A) disclosing the other proposers
     2  and  the  substance  of their proposals, (B) summarizing the negotiation
     3  process including the opportunities, if any, available to  proposers  to
     4  present  and  modify their proposals, and (C) setting forth the criteria
     5  upon which the selection was made.
     6    (ii) Nothing in this paragraph shall require or preclude  (A)  negoti-
     7  ations  with  any  proposers  following  the receipt of responses to the
     8  request for proposals or (B) the rejection of any or  all  proposals  at
     9  any time. Upon the rejection of all proposals, the authority may solicit
    10  new proposals or bids in any manner prescribed in this section.
    11    e.  Beginning  in  two  thousand  seven and every year thereafter, the
    12  authority shall, within one hundred twenty days of the end of the city's
    13  fiscal year, submit to the governor,  the  temporary  president  of  the
    14  senate,  the  speaker of the assembly, the minority leader of the senate
    15  and the minority leader of the  assembly,  a  report  on  the  contracts
    16  awarded  pursuant  to  this subdivision including information, as avail-
    17  able, that assesses the cost and schedule benefits of such procurements.
    18    § 74. Section 1740 of the public authorities law is REPEALED.
    19    § 75. Subdivision 3 of section 1230 of the real property tax  law,  as
    20  added by chapter 316 of the laws of 1992, is amended to read as follows:
    21    3.  Special  equalization rates shall be established for the following
    22  school districts:
    23    Amityville union free school district
    24    Brentwood school district
    25    Central Islip school district
    26    Freeport union free school district
    27    Hempstead union free school district
    28    Roosevelt union free school district
    29    Tuckahoe union free school district
    30    Uniondale union free school district
    31    Westbury union free school district
    32    Wyandanch school district
    33    § 76. Section 11 of chapter 795 of the  laws  of  1967,  amending  the
    34  education  law, the public authorities law and the real property tax law
    35  relating to authorizing boards of cooperative  educational  services  to
    36  own and construct buildings, is REPEALED.
    37    §  77.  Subdivision b of section 2 of chapter 756 of the laws of 1992,
    38  relating to funding a program for work force education conducted by  the
    39  consortium  for worker education in New York city, as amended by section
    40  23 of part L of chapter 57 of the laws of 2005, is amended  to  read  as
    41  follows:
    42    b.  Reimbursement for programs approved in accordance with subdivision
    43  a of this section for the 1992-93 school  year  shall  not  exceed  61.4
    44  percent  of the lesser of such approvable costs per contact hour or five
    45  dollars and sixty cents per contact hour, reimbursement for the  1993-94
    46  school year shall not exceed 65.1 percent of the lesser of such approva-
    47  ble  costs  per contact hour or five dollars and fifty cents per contact
    48  hour, reimbursement for the 1994-95 school  year  shall  not  exceed  58
    49  percent  of the lesser of such approvable costs per contact hour or five
    50  dollars and seventy-five cents per contact hour, reimbursement  for  the
    51  1995-96  school year shall not exceed 61.2 percent of the lesser of such
    52  approvable costs per contact hour or five dollars and eighty  cents  per
    53  contact hour, reimbursement for the 1996-97 school year shall not exceed
    54  61.7  percent of the lesser of such approvable costs per contact hour or
    55  five dollars and ninety cents per contact hour,  reimbursement  for  the
    56  1997-98  school year shall not exceed 63.2 percent of the lesser of such
        S. 6458                            61                            A. 9558

     1  approvable costs per contact hour or  six  dollars  and  ten  cents  per
     2  contact hour, reimbursement for the 1998-99 school year shall not exceed
     3  64.4  percent of the lesser of such approvable costs per contact hour or
     4  six  dollars  and  five  cents  per  contact hour, reimbursement for the
     5  1999-2000 school year shall not exceed 64.4 percent  of  the  lesser  of
     6  such  approvable  costs  per contact hour or six dollars and twenty-five
     7  cents per contact hour, reimbursement  for  the  2000-2001  school  year
     8  shall not exceed 65.1 percent of the lesser of such approvable costs per
     9  contact hour or six dollars and sixty cents per contact hour, reimburse-
    10  ment  for  the  2001-02 school year shall not exceed 64.5 percent of the
    11  lesser of such approvable costs per contact  hour  or  six  dollars  and
    12  ninety cents per contact hour, reimbursement for the 2002-03 school year
    13  shall not exceed 64.4 percent of the lesser of such approvable costs per
    14  contact  hour  or  seven  dollars  and  forty  cents  per  contact hour,
    15  reimbursement for the 2003-04 school year shall not exceed 64.0  percent
    16  of the lesser of such approvable costs per contact hour or seven dollars
    17  and  sixty-five  cents  per  contact  hour  [and], reimbursement for the
    18  2004-05 school year shall not exceed 63.2 percent of the lesser of  such
    19  approvable  costs  per  contact hour or eight dollars and five cents per
    20  contact hour [and],reimbursement for the 2005-06 school year shall  not
    21  exceed  64.4  percent of the lesser of such approvable costs per contact
    22  hour or eight dollars and fifty cents per contact hour and reimbursement
    23  for the 2006-07 school year shall not exceed 64.7 percent of the  lesser
    24  of  such  approvable  costs per contact hour or nine dollars and twenty-
    25  five cents per contact  hour where  a  contact  hour  represents  sixty
    26  minutes  of instruction services provided to an eligible adult. Notwith-
    27  standing any other provision of law to the contrary, for  the  1992-1993
    28  school year the apportionment calculated for the city school district of
    29  the  city  of New York pursuant to subdivision 24 of section 3602 of the
    30  education law shall be computed as if such contact hours provided by the
    31  consortium for worker education, not  to  exceed  six  hundred  thousand
    32  hours (600,000), were eligible for aid in accordance with the provisions
    33  of  such  subdivision  24 of section 3602 of the education law, whereas,
    34  for the 1993-94 school year such contact hours  shall  not  exceed  five
    35  hundred  seventy-six  thousand one hundred eighty-seven hours (576,187);
    36  whereas, for the 1994-95 school year such contact hours shall not exceed
    37  six hundred nineteen thousand five hundred thirty-one  hours  (619,531);
    38  whereas, for the 1995-96 school year such contact hours shall not exceed
    39  five   hundred   eighty-one  thousand  one  hundred  thirty-eight  hours
    40  (581,138); whereas, for the 1996-97 school year such contact hours shall
    41  not exceed one million ninety-eight  thousand  nine  hundred  one  hours
    42  (1,098,901);  whereas,  for  the  1997-98 school year such contact hours
    43  shall not exceed one million  five  hundred  fifty-eight  thousand  four
    44  hundred  forty-one  (1,558,441)  hours;  whereas, for the 1998-99 school
    45  year such contact hours shall not exceed one million nine hundred  twen-
    46  ty-eight  thousand  twenty (1,928,020) hours; whereas, for the 1999-2000
    47  school year such contact hours shall not exceed one million nine hundred
    48  ninety thousand forty-nine (1,990,049) hours; whereas, for the 2000-2001
    49  school year such contact hours shall not exceed one million nine hundred
    50  eighty-one thousand three hundred fifty-one (1,981,351) hours;  whereas,
    51  for  the  2001-02  school  year  such contact hours shall not exceed two
    52  million  two  hundred  forty-seven  thousand  one   hundred   ninety-one
    53  (2,247,191)  hours;  whereas,  for  the 2002-03 school year such contact
    54  hours shall not exceed two million one hundred  thousand  eight  hundred
    55  forty  (2,100,840)  hours;  whereas  for  the  2003-04  school year such
    56  contact hours shall not exceed one million eight hundred forty  thousand
        S. 6458                            62                            A. 9558

     1  four  hundred  ninety  (1,840,490) hours; whereas for the 2004-05 school
     2  year such contact hours shall not exceed two million two hundred  sixty-
     3  three thousand seven hundred seventy-nine (2,263,779) hours; whereas for
     4  the  2005-06 school year such contact hours shall not exceed two million
     5  one hundred two thousand three hundred  seventy-six  (2,102,376)  hours;
     6  whereas  for the 2006-07 school year such contact hours shall not exceed
     7  one million nine hundred twenty-three thousand  seventy-six  (1,923,076)
     8  hours.
     9    §  78. Section 4 of chapter 756 of the laws of 1992, relating to fund-
    10  ing a program for work force education conducted by the  consortium  for
    11  worker  education  in New York city, is amended by adding a new subdivi-
    12  sion l to read as follows:
    13    l. The provisions of  this  subdivision  shall  not  apply  after  the
    14  completion  of  payments  for the 2006-2007 school year. Notwithstanding
    15  any inconsistent provisions of law, the commissioner of education  shall
    16  withhold  a  portion  of employment preparation education aid due to the
    17  city school district of the city of New York to support a portion of the
    18  costs of the work force education program. Such moneys shall be credited
    19  to the elementary and secondary education fund-local assistance  account
    20  and  shall  not  exceed  eleven  million  five  hundred thousand dollars
    21  ($11,500,000).
    22    § 79. Section 6 of chapter 756 of the laws of 1992, relating to  fund-
    23  ing  a  program for work force education conducted by the consortium for
    24  worker education in New York city, as amended by section 25 of part L of
    25  chapter 57 of the laws of 2005, is amended to read as follows:
    26    § 6. This act shall take effect July 1,  1992,  and  shall  be  deemed
    27  repealed on June 30, [2006] 2007.
    28    §  80. Subdivision 1 of section 167 of chapter 169 of the laws of 1994
    29  relating to certain provisions related to the 1994-95 state  operations,
    30  aid to localities, capital projects and debt service budgets, as amended
    31  by section 26 of part L of chapter 57 of the laws of 2005, is amended to
    32  read as follows:
    33    1.  Sections  one  through seventy of this act shall be deemed to have
    34  been in full force and effect as of April  1,  1994  provided,  however,
    35  that  sections  one,  two,  twenty-four,  twenty-five  and  twenty-seven
    36  through seventy of this act shall expire and be deemed repealed on March
    37  31, 2000; provided, however, that section twenty of this act shall apply
    38  only to hearings commenced prior to  September  1,  1994,  and  provided
    39  further  that  section twenty-six of this act shall expire and be deemed
    40  repealed on March 31, 1997; and  provided  further  that  sections  four
    41  through fourteen, sixteen, and eighteen, nineteen and twenty-one through
    42  twenty-one-a  of  this  act shall expire and be deemed repealed on March
    43  31, 1997; and provided further that sections three, fifteen,  seventeen,
    44  twenty,  twenty-two  and  twenty-three  of  this act shall expire and be
    45  deemed repealed on March 31, [2007] 2008.
    46    § 81. Subdivisions 22 and 24 of section 140 of chapter 82 of the  laws
    47  of  1995,  amending the education law and certain other laws relating to
    48  state aid to school districts and the appropriation  of  funds  for  the
    49  support  of government, as amended by section 27 of part L of chapter 57
    50  of the laws of 2005, are amended to read as follows:
    51    (22) sections one hundred twelve, one hundred  thirteen,  one  hundred
    52  fourteen,  one hundred fifteen and one hundred sixteen of this act shall
    53  take effect on July 1, 1995; provided, however, that section one hundred
    54  thirteen of this act shall remain in full force and effect until July 1,
    55  [2006] 2007 at which time it shall be deemed repealed;
        S. 6458                            63                            A. 9558

     1    (24) sections one hundred eighteen through one hundred thirty of  this
     2  act  shall  be deemed to have been in full force and effect on and after
     3  July 1, 1995; provided further, however, that the amendments made pursu-
     4  ant to section one hundred nineteen of this act shall be  deemed  to  be
     5  repealed on and after July 1, [2006] 2007;
     6    §  82.  Section  7  of  chapter  472 of the laws of 1998, amending the
     7  education law relating to the lease of school buses by school districts,
     8  as amended by section 28 of part L of chapter 57 of the laws of 2005, is
     9  amended to read as follows:
    10    § 7. This act shall take effect September 1, 1998,  and  shall  expire
    11  and be deemed repealed September 1, [2006] 2007.
    12    § 83. Subdivision 11 of section 94 of part C of chapter 57 of the laws
    13  of  2004,  amending  the labor law, the general business law and various
    14  other laws relating to implementation of the state fiscal plan  for  the
    15  2004-2005 state fiscal year, is REPEALED.
    16    §  84.  (a)  There is hereby established a temporary inter-agency task
    17  force  on  transition  from  early  intervention  to  special  education
    18  consisting of the following members:
    19    (1) the commissioners of the departments of education and health;
    20    (2)  the  chief  executive  officer or his or her designated represen-
    21  tative of the council on children and families, the commission on quali-
    22  ty of care and advocacy for persons with disabilities, and the office of
    23  mental retardation and developmental disabilities; and
    24    (3) the director of the budget or  his  or  her  designated  represen-
    25  tative.
    26    (b)  The  task  force shall be jointly chaired by the commissioners of
    27  education and health. The members of the task force may elect such other
    28  officers as they may deem necessary.
    29    (c) The task force shall solicit input from and consult with  parents,
    30  county  officials,  service providers, particularly those providers with
    31  experience  in  serving  children  receiving  both  early   intervention
    32  services  and preschool special education services, and other interested
    33  parties.
    34    (d) To effectuate the purposes of this section, any department,  divi-
    35  sion,  board,  bureau, commission or agency of the state or of any poli-
    36  tical subdivision thereof shall, at the request of the  chairs,  provide
    37  to  the  task  force such facilities, assistance and data as will enable
    38  the task force properly to carry out its powers and duties and those  of
    39  the chairs.
    40    (e)  Members of the task force shall receive no compensation for their
    41  services as members, but shall  be  compensated  for  their  actual  and
    42  necessary  expenses  by  warrant of the comptroller and voucher of their
    43  department, agency, office or council.
    44    (f) The task force shall:
    45    (1) study and evaluate  the  appropriate  relationship  between  early
    46  intervention  programs  provided pursuant to title II-A of article 25 of
    47  the public health law and preschool special education programs  provided
    48  pursuant to section 4410 of the education law;
    49    (2)  study  and  evaluate  the  appropriate timing and process for the
    50  transition of children from the early intervention system into preschool
    51  special education programs;
    52    (3) study and analyze the costs or potential savings and  programmatic
    53  benefits  of  allowing parents to opt to have their children continue to
    54  receive services from  early  intervention  programs,  until  the  child
    55  becomes  eligible for kindergarten as authorized by the individuals with
    56  disabilities education improvement act of 2004;
        S. 6458                            64                            A. 9558

     1    (4) study and analyze the costs or potential savings and  programmatic
     2  benefits  of the alternative approach of extending eligibility for early
     3  intervention to the end of the school year in which the child turns  age
     4  three;
     5    (5)  study  and  evaluate  the  appropriateness  of providing parental
     6  choice in the decision to place a child in preschool  special  education
     7  programs or in early intervention programs;
     8    (6) prepare and analyze the costs and programmatic benefits of transi-
     9  tion  policies for the different types of environments in which services
    10  are provided including, but not limited to,  center-based  programs  and
    11  itinerant services; and
    12    (7) report on or before September 15, 2006 to the governor, the tempo-
    13  rary  president of the senate, the speaker of the assembly, the minority
    14  leaders of the senate and assembly and the director of the budget on the
    15  task  force's  conclusions  and  recommendations  under  paragraphs  (1)
    16  through (6) of this subdivision.
    17    §  85.  Special apportionment for salary expenses.  a. Notwithstanding
    18  any other provision of law, upon  application  to  the  commissioner  of
    19  education,  not  sooner  than  the first day of the second full business
    20  week of June, 2007 and not later than the last day  of  the  third  full
    21  business  week  of  June, 2007, a school district eligible for an appor-
    22  tionment pursuant to section 3602 of the education law shall be eligible
    23  to receive an apportionment pursuant to this  section,  for  the  school
    24  year  ending June 30, 2007, for salary expenses incurred between April 1
    25  and June 30, 2007, and such apportionment shall not exceed  the  deficit
    26  reduction  assessment  of  1990-91  as determined by the commissioner of
    27  education, pursuant to paragraph f of subdivision 1 of section  3602  of
    28  the  education law, as in effect through June 30, 1993, plus one hundred
    29  eighty-six percent of such amount for a city school district in  a  city
    30  with  a  population  in  excess  of one million inhabitants and plus two
    31  hundred nine percent of such amount for a city school district in a city
    32  with a population of more than one hundred ninety-five thousand inhabit-
    33  ants and less than two hundred nineteen thousand  inhabitants  according
    34  to the latest federal census, and shall not exceed such salary expenses.
    35  Such  application shall be made by a school district, after the board of
    36  education or trustees have adopted a resolution to do so and in the case
    37  of a city school district in a city with a population in excess  of  one
    38  hundred twenty-five thousand inhabitants, with the approval of the mayor
    39  of such city.
    40    b.  The  claim  for  an  apportionment to be paid to a school district
    41  pursuant to subdivision a of this section  shall  be  submitted  to  the
    42  commissioner  of  education  on  a form prescribed for such purpose, and
    43  shall be payable upon determination by such commissioner that  the  form
    44  has been submitted as prescribed. Such approved amounts shall be payable
    45  on the same day on or before September, 2007, as funds provided pursuant
    46  to subparagraph 4 of paragraph b of subdivision 4 of section 92-c of the
    47  state  finance law, on the audit and warrant of the state comptroller on
    48  vouchers certified or approved by the commissioner of education  in  the
    49  manner  prescribed by law from moneys in the state lottery fund and from
    50  the general fund to the extent that the amount paid to a school district
    51  pursuant to this section exceeds the amount, if  any,  due  such  school
    52  district  pursuant  to subparagraph 2 of paragraph a of subdivision 1 of
    53  section 3609-a of the education law in the 2007-2008 school year.
    54    c. Notwithstanding the provisions of section 3609-a of  the  education
    55  law, an amount equal to the amount paid to a school district pursuant to
    56  subdivisions  a  and  b of this section shall first be deducted from the
        S. 6458                            65                            A. 9558

     1  following payments due the school district during the  2007-2008  school
     2  year pursuant to subparagraphs 1, 2, 3, 4 and 5 of paragraph a of subdi-
     3  vision  1 of section 3609-a of the education law in the following order:
     4  the  lottery  apportionment  payable  pursuant to subparagraph 2 of such
     5  paragraph followed by  the  fixed  fall  payments  payable  pursuant  to
     6  subparagraph  4  of  such  paragraph and then followed by the district's
     7  payments to the teachers' retirement system pursuant to  subparagraph  1
     8  of such paragraph, and any remainder to be deducted from the individual-
     9  ized  payments due the district pursuant to paragraph b of such subdivi-
    10  sion shall be deducted on a chronological basis starting with the earli-
    11  est payment due the district.
    12    § 86. Special apportionment for public pension accruals. a.   Notwith-
    13  standing any other provision of law, upon application to the commission-
    14  er  of education, not later than June 30, 2007, a school district eligi-
    15  ble for an apportionment pursuant to section 3602 of the  education  law
    16  shall  be eligible to receive an apportionment pursuant to this section,
    17  for the school year ending June 30, 2007, and such  apportionment  shall
    18  not  exceed  the  additional  accruals  required  to  be  made by school
    19  districts in the 2004-05 or 2005-06 school years associated with changes
    20  in accounting methodologies for such  public  pension  liabilities.  The
    21  amount of such additional accrual shall be certified to the commissioner
    22  of  education by the president of the board of education or the trustees
    23  or, in the case of a city school district in a city with a population in
    24  excess of one hundred twenty-five thousand  inhabitants,  the  mayor  of
    25  such  city.  Such  application shall be made by a school district, after
    26  the board of education or trustees have adopted a resolution  to  do  so
    27  and in the case of a city school district in a city with a population in
    28  excess  of  one  hundred  twenty-five  thousand  inhabitants,  with  the
    29  approval of the mayor of such city.
    30    b. The claim for an apportionment to be  paid  to  a  school  district
    31  pursuant  to  subdivision  a  of  this section shall be submitted to the
    32  commissioner of education on a form prescribed  for  such  purpose,  and
    33  shall  be  payable upon determination by such commissioner that the form
    34  has been submitted as prescribed. Such approved amounts shall be payable
    35  on the same day in September of the school year following  the  year  in
    36  which  application was made as funds provided pursuant to subparagraph 4
    37  of paragraph b of subdivision 4 of section 92-c  of  the  state  finance
    38  law,  on  the  audit  and  warrant  of the state comptroller on vouchers
    39  certified or approved by the commissioner of  education  in  the  manner
    40  prescribed  by  law  from  moneys in the state lottery fund and from the
    41  general fund to the extent that the amount paid  to  a  school  district
    42  pursuant  to  this  section  exceeds the amount, if any, due such school
    43  district pursuant to subparagraph 2 of paragraph a of subdivision  1  of
    44  section  3609-a  of  the  education law in the school year following the
    45  year in which application was made.
    46    c. Notwithstanding the provisions of section 3609-a of  the  education
    47  law, an amount equal to the amount paid to a school district pursuant to
    48  subdivisions  a  and  b of this section shall first be deducted from the
    49  following payments due  the  school  district  during  the  school  year
    50  following  the  year  in which application was made pursuant to subpara-
    51  graphs 1, 2, 3, 4 and 5 of paragraph  a  of  subdivision  1  of  section
    52  3609-a  of  the education law in the following order: the lottery appor-
    53  tionment payable pursuant to subparagraph 2 of such  paragraph  followed
    54  by  the  fixed  fall payments payable pursuant to subparagraph 4 of such
    55  paragraph and then followed by the district's payments to the  teachers'
    56  retirement  system pursuant to subparagraph 1 of such paragraph, and any
        S. 6458                            66                            A. 9558

     1  remainder to be  deducted  from  the  individualized  payments  due  the
     2  district  pursuant  to paragraph b of such subdivision shall be deducted
     3  on a chronological basis starting with  the  earliest  payment  due  the
     4  district.
     5    § 87. Notwithstanding any provisions of law to the contrary, the allo-
     6  cation of aid to public libraries for 2006-07 shall continue to fund all
     7  recipients  at  the  levels they were funded in the 2005-06 state fiscal
     8  year.
     9    § 88. Expenditures of the state education department.  Notwithstanding
    10  any  other  law,  rule  or  regulation  to the contrary, 2006-2007 state
    11  fiscal year state operations appropriations made from the  general  fund
    12  and/or  special  revenue,  other funds to the state education department
    13  shall be available for the payment of prior years' liabilities  in  such
    14  fund  or  funds  for fringe benefits, indirect costs, telecommunications
    15  expenses and expenses for other centralized services. Payments for prior
    16  years' liabilities in such fund or funds for expenses other  than  those
    17  indicated  above  may  not  exceed  a  total  of  three  million dollars
    18  ($3,000,000).
    19    § 89. a. Notwithstanding any other law,  rule  or  regulation  to  the
    20  contrary,  any moneys appropriated to the state education department may
    21  be suballocated to other state departments or agencies,  as  needed,  to
    22  accomplish the intent of the specific appropriations contained therein.
    23    b.  Notwithstanding any other law, rule or regulation to the contrary,
    24  moneys appropriated to the state education department from  the  general
    25  fund/aid  to  localities,  local  assistance  account-001,  shall be for
    26  payment of financial assistance, as  scheduled,  net  of  disallowances,
    27  refunds, reimbursement and credits.
    28    c.  Notwithstanding any other law, rule or regulation to the contrary,
    29  all moneys appropriated to the state education  department  for  aid  to
    30  localities shall be available for payment of aid heretofore or hereafter
    31  to  accrue  and may be suballocated to other departments and agencies to
    32  accomplish the intent of the specific appropriations contained therein.
    33    d. Notwithstanding any other law, rule or regulation to the  contrary,
    34  moneys  appropriated  to  the  state  education  department  for general
    35  support for public schools may be interchanged with any  other  item  of
    36  appropriation  for general support for public schools within the general
    37  fund local assistance account elementary, middle, secondary and continu-
    38  ing education program.
    39    § 90. Short title.  1. This section shall be cited  as  "The  city  of
    40  Syracuse  and  the board of education of the city school district of the
    41  city of Syracuse cooperative school reconstruction act"  and  is  hereby
    42  established as follows.
    43    2. Definitions. As used or referred to in this section:
    44    (a) "City" shall mean the city of Syracuse.
    45    (b)  "City school district" shall mean the city school district of the
    46  city of Syracuse acting by and through the board  of  education  of  the
    47  city school district of the city of Syracuse.
    48    (c)  "Commissioner"  shall  mean  the commissioner of education of the
    49  state of New York.
    50    (d) "Common council" shall mean the common  council  of  the  city  of
    51  Syracuse.
    52    (e) "Comptroller" shall mean the comptroller of the state of New York.
    53    (f) "JSC board" shall mean the joint schools construction board of the
    54  city and the city school district as set forth in an agreement, dated as
    55  of  April 1, 2004, between the city school district and the city as such
        S. 6458                            67                            A. 9558

     1  agreement may be from time to time amended or  supplemented,  acting  as
     2  agent for the city, school district, or both.
     3    (g)  "Person"  shall mean a municipality or other governmental body, a
     4  public corporation or an authority, a  private  corporation,  a  limited
     5  liability company or partnership, or an individual.
     6    (h) "Project" shall mean work at an existing school building site that
     7  involves  the  design,  reconstruction, or rehabilitation of an existing
     8  school building for its continued use as a school  of  the  city  school
     9  district,  which  may include an addition to an existing school building
    10  for such continued use at a cost, for such addition, of no more than six
    11  million dollars, and which also may  include  (1)  the  construction  or
    12  reconstruction  of  athletic fields, playgrounds, and other recreational
    13  facilities for such existing school building, and/or (2) the acquisition
    14  and installation of all equipment necessary and attendant to and for the
    15  use of such existing school building.
    16    (i) "Program manager" shall mean  an  independent  program  management
    17  firm  hired  by the JSC board to assist it in: (1) developing and imple-
    18  menting procedures for the projects undertaken and contracted for by the
    19  JSC board; (2) reviewing plans  and  specifications  for  projects;  (3)
    20  developing  and  implementing policies and procedures to utilize employ-
    21  ment  resources  to  provide  sufficient  skilled  employees  for   such
    22  projects,  including  developing  and implementing training programs, if
    23  required; and (4) managing such projects.
    24    3. No more than seven projects, up to a  total  cost  of  one  hundred
    25  seventy-four  million dollars, shall be authorized and undertaken pursu-
    26  ant to this section and in  accordance  with  other  provisions  of  law
    27  governing  school  capital  construction, unless otherwise authorized by
    28  law.
    29    4. Before formal selection of the projects occurs, the JSC board shall
    30  develop a comprehensive plan recommending and outlining the projects  it
    31  proposes  to  be  potentially  undertaken pursuant to this section. Such
    32  plan shall include: (a) an estimate  of  total  costs  to  be  financed,
    33  proposed  financing plan, proposed method of financing, terms and condi-
    34  tions of the financing, estimated financing costs, and, if city  general
    35  obligation bonds or notes are not proposed as the method of financing, a
    36  comparison  of  financing  costs  between  such  bonds  or notes and the
    37  proposed method of financing. The plan should also address what specific
    38  options would be used to ensure that sufficient resources exist to cover
    39  the local share of any such project cost on an annual basis; (b)  infor-
    40  mation  concerning the potential persons to be involved in the financing
    41  and such person's  role  and  responsibilities;  (c)  estimates  on  the
    42  design, reconstruction and rehabilitation costs by project, any adminis-
    43  trative  costs  for potential projects, and an outline of the time-frame
    44  expected for completion  of  each  potential  project;  (d)  a  detailed
    45  description  of  the request for proposals process and an outline of the
    46  criteria to be used  for  selection  of  the  program  manager  and  all
    47  contractors;  (e)  any proposed amendments to the city school district's
    48  five-year capital facilities plan submitted in accordance with  subdivi-
    49  sion  6  of  section  3602  of the education law, the regulations of the
    50  commissioner and the provisions of this section;  and  (f)  a  diversity
    51  plan,  in  compliance  with  paragraph  (d) of subdivision eight of this
    52  section, to develop diversity  goals,  including  appropriate  community
    53  input  and  public  discussion, and develop strategies that would create
    54  and coordinate any efforts to ensure a more diverse  workforce  for  the
    55  projects.  The  diversity plan should address accountability for attain-
        S. 6458                            68                            A. 9558

     1  ment of the diversity goals, what forms of monitoring would be used, and
     2  how such information would be publicly communicated.
     3    Prior  to  the  development  of  the comprehensive plan, the JSC board
     4  shall hold as many public hearings as may be necessary to ensure  suffi-
     5  cient  public  input  and allow for significant public discussion on the
     6  school building needs in such city, with at least one hearing to be held
     7  in each neighborhood potentially impacted by a proposed project.
     8    The JSC board shall submit the components of such  comprehensive  plan
     9  outlined  in paragraph (a) of this subdivision to the comptroller, along
    10  with any other information requested by the comptroller, for his or  her
    11  review and approval.
    12    4-a. To be eligible for selection as a project to be undertaken pursu-
    13  ant  to  this section, such project shall be included by the city school
    14  district in its five-year capital facilities plan required  pursuant  to
    15  subdivision  6  of section 3602 of the education law and the regulations
    16  of the commissioner. Such plan and any portions of such plan relating to
    17  such projects, including any amendments thereto, shall have the contents
    18  required in the regulations of the commissioner and shall  be  submitted
    19  to the commissioner for approval.
    20    5.  Upon  approval  by the comptroller pursuant to subdivision four of
    21  this section and  approval  by  the  commissioner  of  the  city  school
    22  district's  five-year  capital  facilities  plan including such projects
    23  pursuant to subdivision four-a of this section, the city school district
    24  may select projects to  be  undertaken  pursuant  to  this  section,  as
    25  provided  for in such approved comprehensive plan. After the city school
    26  district has selected a new project and  plans  and  specifications  for
    27  such  project  have  been  prepared  and  approved  by  the  city school
    28  district, which are consistent with the approved comprehensive plan, the
    29  city school district shall deliver such plans and specifications to  the
    30  city,  for approval by such city, acting through the common council, and
    31  after the common council has approved such plans and specifications, the
    32  city shall deliver them to the commissioner for  his  or  her  approval.
    33  After  approval  by the commissioner, the plans and specifications shall
    34  be returned to the city school district and  such  district  shall  then
    35  deliver  them to the JSC board. All such specifications shall detail the
    36  number of students the completed project is intended to serve, the  site
    37  description, the types of subjects to be taught, the types of activities
    38  for  school, recreational, social, safety, or other purposes intended to
    39  be incorporated in the school building or on its  site  and  such  other
    40  information  as  the city school district, the city, the common council,
    41  and the commissioner shall deem necessary or advisable.
    42    6. (a) Pursuant to the authority granted to it by an agreement and any
    43  amendment or supplemental agreement thereto, between the  city  and  the
    44  city  school  district  creating the JSC board with reference to the JSC
    45  board and any amendments to those sections, the JSC board, upon  receipt
    46  of  such plans and specifications for a project from the city, may enter
    47  into contracts on behalf of the city or the  city  school  district,  or
    48  both, for such project.
    49    (b)  Notwithstanding  the provisions of any other general, special, or
    50  local law to the contrary, relating to the length, duration,  and  terms
    51  of  contracts  that the city or the city school district may enter into,
    52  the JSC board, on behalf of the city and the city  school  district,  is
    53  hereby  authorized  and  empowered  to  enter into contracts relating to
    54  projects undertaken pursuant to this section with any person, upon  such
    55  terms  and  conditions and for such consideration and for such terms and
    56  duration, not to exceed thirty years, as may be agreed upon by  the  JSC
        S. 6458                            69                            A. 9558

     1  board  and  such  person,  whereby  such  person is granted the right to
     2  design (pursuant to the plans and specifications delivered to it by  the
     3  city), reconstruct, rehabilitate, finance or manage one or more projects
     4  in  accordance  with  the  design,  plans,  and  specifications for such
     5  projects approved by the city school district, the commissioner and  the
     6  city,  as  set  forth  in  subdivision  five  of  this section. All such
     7  contracts shall comply with the provisions of subdivision eight of  this
     8  section.
     9    (c)  In  the  event  the JSC board shall cease to exist for any reason
    10  whatsoever during the life of such contracts  as  it  has  entered  into
    11  pursuant  to this section, such contracts shall remain in full force and
    12  effect and the city and the city school district shall stand jointly  in
    13  the  place  and  stead  of such JSC board with respect to all rights and
    14  obligations under such contracts and with respect to all powers  granted
    15  to  the  JSC  board by this section; provided, however, that such powers
    16  are exercised by the city and  the  city  school  district  jointly  and
    17  pursuant to their respective jurisdictions and the general laws applica-
    18  ble thereto, except as modified by this section.
    19    7.  (a)  Notwithstanding  the  provisions  of any general, special, or
    20  local law to the contrary, a contract entered into between the JSC board
    21  and any person pursuant to this section may be awarded  either  pursuant
    22  to  public bidding in compliance with section 103 of the general munici-
    23  pal law or, in order to  foster  major  investment  in  existing  school
    24  buildings  and to deliver quality products and services that are benefi-
    25  cial to the city and the city school district and the public they serve,
    26  pursuant to the following provisions of this section for the award of  a
    27  contract  based  on  evaluation  of proposals submitted in response to a
    28  request for proposals prepared by or for the JSC board.
    29    (b) Prior to the JSC board developing the requests for  proposals,  it
    30  shall  consult  with  the  comptroller  and the commissioner in creating
    31  guidelines to be used by the JSC board in the preparation of  individual
    32  requests  for  proposals.  Such  requests  for  proposals  shall then be
    33  subject to review and approval by the comptroller in  consultation  with
    34  the commissioner.
    35    (c)  Prior to the issuance of a request for proposals pursuant to this
    36  section, the JSC board shall publish notice  of  such  issuance  in  the
    37  official newspaper of the city, if any, and in at least one newspaper of
    38  general  circulation.  Concurrent with the publication of such notice, a
    39  draft request for proposals shall be filed with  the  JSC  board.  After
    40  allowing  a  thirty  day  comment  period  and an additional ten days to
    41  review such comments, the JSC board may publish the  final  request  for
    42  proposals  and  concurrent with such publication shall publish notice of
    43  such issuance in the manner specified in this paragraph. Concurrent with
    44  the publication of the final request for proposals, a  set  of  comments
    45  filed  in  relation  to  the  draft  request  for proposals and findings
    46  related to the substantive elements of  such  comments  shall  be  filed
    47  along  with  the  request  for  proposals  with the JSC board and in the
    48  public library or libraries in proximity to the proposed project.
    49    (d) The JSC board shall require that each  proposal  to  be  submitted
    50  shall include information relating to: (1) the background and experience
    51  of the person including any history of labor violations, and when appli-
    52  cable,  the  identity and experience of the person's general contractor,
    53  heating and plumbing contractor, electrical contractor, and design firm;
    54  (2) the ability of the person to secure adequate financing, if  applica-
    55  ble, including the identification of the firm, if any, that will be used
    56  for  financing  the project; and (3) identification and specification of
        S. 6458                            70                            A. 9558

     1  all elements of cost which would become a charge to the JSC  board,  the
     2  city  school  district  or  city,  in  whatever  form, in return for the
     3  fulfillment by the person of all tasks and responsibilities  established
     4  by  the  request  for  the  proposal for the full lifetime of a proposed
     5  contract, including, as appropriate,  but  not  limited  to  the  costs,
     6  direct  or  indirect, relating to the project and such other information
     7  as the JSC board may determine to have a material bearing on its ability
     8  to evaluate any proposal.
     9    (e) Proposals received in response to a request for proposals shall be
    10  evaluated by the JSC board, taking into account  maximization  of  state
    11  building  aid,  as  to  net  cost  and  in  a manner consistent with the
    12  provisions set forth in the request for proposals, and may be  evaluated
    13  on  the  basis of additional factors when applicable, including, but not
    14  limited to, quality and  durability  of  materials,  energy  efficiency,
    15  facility design incorporating systems and approaches which provide maxi-
    16  mum  facility  value at the lowest possible cost for the reconstruction,
    17  rehabilitation, and equipping of  such  projects,  and  maximization  of
    18  state  building  aid.  In  addition, evaluation of proposals received in
    19  response to a request for proposals for the position of program  manager
    20  shall  also  include consideration of the criteria set forth in subdivi-
    21  sion nine of this section.
    22    (f) The JSC board may make a contract award to any responsible  person
    23  selected  based  on  a  determination by the JSC board that the selected
    24  proposal is most responsive to the request for proposals and may negoti-
    25  ate with any person; provided, however, that if an award is made to  any
    26  person  whose  total  proposal does not provide the lowest net cost, the
    27  JSC board shall adopt a resolution after a public hearing which includes
    28  particularized findings relevant to factors  evaluated  indicating  that
    29  the  JSC board's requirements are met by such award and that such action
    30  is in the public interest.
    31    8. Contracts. Notwithstanding the provisions of any general,  special,
    32  or local law or judicial decision to the contrary:
    33    (a) Any contract awarded or entered into by the JSC board for projects
    34  undertaken  pursuant to this section shall not be subject to section 101
    35  of the general municipal law.
    36    (b) Whenever the JSC board enters into a contract for a project under-
    37  taken pursuant to this section, it shall be deemed to be a public  works
    38  project  for  the  purposes  of  article 8 of the labor law, and all the
    39  provisions of article 8 of the labor law shall be applicable to all  the
    40  work involved with such project.
    41    (c)  Every  contract entered into by the JSC board for a project shall
    42  contain a provision that the design of such project shall be subject  to
    43  the  review and approval of the city school district and that the design
    44  and construction standards of such  project  shall  be  subject  to  the
    45  review  and  approval  of  the  commissioner.  In  addition,  every such
    46  contract shall contain a provision that the contractor shall  furnish  a
    47  labor  and  material bond guaranteeing prompt payment of moneys that are
    48  due to all persons  furnishing  labor  and  materials  pursuant  to  the
    49  requirements  of any contracts for a project undertaken pursuant to this
    50  section and a performance bond  for  the  faithful  performance  of  the
    51  project,  which  shall conform to the provisions of section 103-f of the
    52  general municipal law, and that a copy of such performance  and  payment
    53  bonds shall be kept by the city and shall be open to public inspection.
    54    (d)  For the purposes of article 15-A of the executive law, any person
    55  entering into a contract for a project authorized pursuant to  this  act
    56  shall  be  deemed a state agency as that term is defined in such article
        S. 6458                            71                            A. 9558

     1  and such contracts shall be deemed state contracts within the meaning of
     2  that term as set forth in such article.
     3    9. (a) All contracts entered into by the JSC board for projects under-
     4  taken  pursuant  to  this  section  shall  be  managed by an independent
     5  program manager. Selection of the program manager shall be  pursuant  to
     6  the  competitive  process  established  in  subdivision  seven  of  this
     7  section. The program manager shall have experience in planning,  design-
     8  ing,  and  constructing new and/or reconstructing existing school build-
     9  ings, public facilities, commercial  facilities,  and/or  infrastructure
    10  facilities, and in the negotiation and management of labor contracts and
    11  agreements,  training programs, educational programs, and physical tech-
    12  nological requirements for educational  programs.  The  program  manager
    13  shall  manage  all  projects undertaken pursuant to this section, review
    14  project schedules, review payment schedules, prepare cost estimates  and
    15  assess  the safety programs of contractors and all training programs, if
    16  required. The program manager shall implement procedures  for  verifica-
    17  tion  by  it that all work for which payment has been requested has been
    18  satisfactorily completed.
    19    (b) The program manager, and its affiliates or subsidiaries,  if  any,
    20  shall  be  prohibited from awarding contracts or being awarded contracts
    21  for or performing any work  on  projects  undertaken  pursuant  to  this
    22  section.
    23    10.  Notwithstanding  any  other  provision  of law, building aid that
    24  would otherwise be payable for the school district portion  of  expendi-
    25  tures  for  capital outlays and debt service for each project undertaken
    26  pursuant to the provisions of this section in accordance  with  subdivi-
    27  sion 6 of section 3602 of the education law, shall be paid to the city.
    28    11. Notwithstanding any general, special, or local law or ordinance to
    29  the  contrary,  contracts  entered  into  by  the JSC board for projects
    30  undertaken pursuant to this section: (1) may be funded  by  certificates
    31  of participation issued by the city pursuant to this section; (2) may be
    32  installment  purchased  contracts;  and  (3)  shall  be  subject  to the
    33  provisions of section 109-b of the general  municipal  law,  except  for
    34  paragraph  (a)  of  subdivision 3 of such section, subdivision 5 of such
    35  section, and paragraph (c) of subdivision 6 of such section, and  except
    36  to the extent section 109-b of the general municipal law is inconsistent
    37  with  the  provisions  of this section. All provisions with reference to
    38  installment  purchase  contracts  or   certificates   of   participation
    39  contained  in  section  109-b  of  the general municipal law, except any
    40  prohibition against using such installment purchase contracts or certif-
    41  icates of participation for the purposes  set  forth  in  this  section,
    42  shall apply to installment purchase contracts or certificates of partic-
    43  ipation  entered  into  or  issued  pursuant  to  the  authority of this
    44  section.
    45    12. (a) Notwithstanding any other provision of any  general,  special,
    46  or  local  law or provision of this section to the contrary, any project
    47  undertaken pursuant to this section shall be operated and maintained  by
    48  the board of education of the city school district in the same manner as
    49  existing  school buildings owned by the city are operated and maintained
    50  by such board.
    51    (b) Notwithstanding any other provision of any  general,  special,  or
    52  local  law  to  the  contrary,  any  project  undertaken pursuant to the
    53  provisions of this section shall be exempt  from  all  taxes  (including
    54  sales and use taxes), special assessments, and special ad valorem levies
    55  and from the payment of any and all charges and rents for sewer systems,
        S. 6458                            72                            A. 9558

     1  both  while  such project is being constructed and during its use by the
     2  city school district for school purposes.
     3    13.  Nothing  in  this  section shall be construed to exempt a project
     4  undertaken pursuant to this section from the review and approval  proce-
     5  dures applied to such projects by the state department of education when
     6  undertaken by the city school district pursuant to the education law.
     7    14.  (a)  Notwithstanding any limitations contained in article 18-A of
     8  the general municipal law,  including  subdivisions  4,  12  and  13  of
     9  section  854  and  section  926  of the general municipal law, a project
    10  undertaken pursuant to this section shall  be  a  "project"  within  the
    11  definition  and  for the purposes of subdivision 4 of section 854 of the
    12  general municipal law, which may be financed by  the  city  of  Syracuse
    13  industrial  development  agency  or  any  successor  agency  thereto. In
    14  connection with the  city  of  Syracuse  industrial  development  agency
    15  financing  the costs of any project undertaken pursuant to this section,
    16  the city and the city school district may grant a leasehold  or  license
    17  interest  in  the  project  and  school  building site constituting such
    18  project to the city  of  Syracuse  industrial  development  agency.  All
    19  contracts  involving any such projects shall be awarded by the JSC board
    20  pursuant to the competitive process outlined  in  subdivision  seven  of
    21  this  section  and shall comply with the provisions of subdivision eight
    22  of this section.   A project undertaken pursuant  to  this  act  may  be
    23  financed  through a special program agreement with the state of New York
    24  municipal bond bank agency pursuant to the provisions of section  2435-a
    25  of  the  public  authorities law. It shall be the duty of the JSC board,
    26  the city school district and the city to compare the financing available
    27  for such projects through the city of  Syracuse  industrial  development
    28  agency  with financing available through the state of New York municipal
    29  bond bank agency, and to employ the financing mechanism that will result
    30  in the lowest cost to the taxpayers of the city and the state. It  shall
    31  be the duty of the JSC board, the city school district, the city and the
    32  city  of  Syracuse industrial development agency to share with the state
    33  of New  York  municipal  bond  bank  agency  any  information  in  their
    34  possession that is required by the state of New York municipal bond bank
    35  agency  to  determine the cost of financing such projects and to compute
    36  the interest rate that would have been applicable to a bond issuance  by
    37  the  state  of  New  York  municipal  bond bank agency in the event that
    38  financing is obtained through the city of Syracuse  industrial  develop-
    39  ment  agency. Any failure to provide such information within thirty days
    40  of receipt of a request from the state of New York municipal  bond  bank
    41  agency  shall  be  deemed to be a failure of the city school district to
    42  submit the data needed to compute the apportionment  of  state  building
    43  aid,  and  the commissioner shall withhold such apportionment until such
    44  information  is  fully  submitted.  Upon  request  of  the  city  school
    45  district,  the  director  of  the  state of New York municipal bond bank
    46  agency shall submit such reports as the commissioner may require on  the
    47  financing of such projects and/or the interest rate that would have been
    48  applicable to such projects if they had been financed through such agen-
    49  cy.
    50    (b)  In  the event that the city or city school district shall fail to
    51  make a payment in such amount and by such date as is provided to be made
    52  by such city or city school district under agreements entered into  with
    53  the  city  of  Syracuse  industrial  development agency or any successor
    54  agency thereto pursuant to paragraph (a) of this subdivision, such agen-
    55  cy shall so certify to the state comptroller. Such certificate shall  be
    56  in such form as the agency deems desirable, but shall specify the amount
        S. 6458                            73                            A. 9558

     1  by  which such payment shall have been deficient. The state comptroller,
     2  upon receipt of such certificate from the agency,  shall  withhold  such
     3  amount  from  such  city or city school district any state and/or school
     4  aid  payable  to  such city or city school district to the extent of the
     5  amount so stated in such certificate as not having been made, and  shall
     6  immediately pay over to the agency the amount so withheld. Any amount so
     7  paid  to the agency from such state and/or school aid shall not obligate
     8  the state to make, nor entitle the city or the city school  district  to
     9  receive,  any  additional  amounts  of  state and/or school aid. Nothing
    10  contained in this section shall be deemed  to  prevent  the  state  from
    11  modifying,  reducing  or  eliminating  any  program or programs of state
    12  and/or school aid; nor shall the state be obligated by the terms  hereof
    13  to  maintain  state and/or school aid at any particular level or amount.
    14  In the event that the city or city school district shall fail to make  a
    15  payment  in  such  amount  and by such date as is provided to be made by
    16  such city or city school district under agreements entered into with the
    17  state of New York municipal bond bank agency pursuant to  paragraph  (a)
    18  of  this  subdivision  and section 2435-a of the public authorities law,
    19  such agency shall so certify to the state comptroller pursuant to subdi-
    20  vision 4 of section 2436 of the public authorities  law  and  the  state
    21  comptroller  shall  be authorized to withhold state aid pursuant to such
    22  section 2436 and pay it over to such agency.
    23    § 91. Clause (a) of subparagraph 5 of paragraph e of subdivision 6  of
    24  section  3602 of the education law is amended by adding a new item (iii)
    25  to read as follows:
    26    (iii) Notwithstanding the provisions of item (i) of this clause, where
    27  such city has entered into an agreement  with  the  state  of  New  York
    28  municipal  bond bank agency pursuant to subdivision one of section twen-
    29  ty-four hundred thirty-five-a of the public authorities  law  and  para-
    30  graph  (a) of subdivision fourteen of the city of Syracuse and the board
    31  of education of the city school district of the city of Syracuse cooper-
    32  ative school reconstruction act, or an agreement with the city of  Syra-
    33  cuse  industrial  development agency for projects authorized pursuant to
    34  the city of Syracuse and the board  of  education  of  the  city  school
    35  district  of the city of Syracuse cooperative school reconstruction act,
    36  to finance debt related to school rehabilitation or reconstruction  that
    37  is  subject  to subparagraph three of this paragraph, the lesser of: (A)
    38  the net interest cost, as defined by the commissioner, applicable to the
    39  obligations issued by the state of New York municipal bond  bank  agency
    40  or  the city of Syracuse industrial development agency for such purpose;
    41  or (B) such net interest cost, as  defined  by  the  commissioner,  that
    42  would  have  been  applicable  to  bonds issued by the state of New York
    43  municipal bond bank agency if the project  had  been  authorized  to  be
    44  financed  and had been financed through such entity, as certified to the
    45  commissioner by the executive director of the state of New York  munici-
    46  pal  bond  bank  agency, shall be the interest rate established for such
    47  city applicable to such debt.
    48    § 92. The opening paragraph of subdivision 6 of section  3602  of  the
    49  education law, as separately amended by chapter 59 and section 7 of part
    50  A2 of chapter 62 of the laws of 2003, is amended to read as follows:
    51    Apportionment for capital outlays and debt service for school building
    52  purposes.    Any  apportionment  to  a  school district pursuant to this
    53  subdivision shall be based upon  base  year  approved  expenditures  for
    54  capital  outlays incurred prior to July first, two thousand one from its
    55  general fund, capital fund or reserved funds and current  year  approved
    56  expenditures for debt service, including debt service for refunding bond
        S. 6458                            74                            A. 9558

     1  issues  eligible  for  an  apportionment pursuant to paragraph g of this
     2  subdivision and lease or other annual payments  to  the  New  York  city
     3  educational  construction fund created by article ten of this chapter or
     4  the  city  of  Yonkers  educational construction fund created by article
     5  ten-B of this chapter which have been pledged to secure the  payment  of
     6  bonds,  notes  or  other  obligations  issued by the fund to finance the
     7  construction, acquisition, reconstruction, rehabilitation or improvement
     8  of the school portion of combined occupancy structures, or for lease  or
     9  other  annual  payments  to  the New York state urban development corpo-
    10  ration created by chapter one hundred seventy-four of the laws of  nine-
    11  teen  hundred  sixty-eight,  pursuant  to  agreement between such school
    12  district and such corporation relating to the construction, acquisition,
    13  reconstruction, rehabilitation or improvement of any school building, or
    14  for annual payments to the dormitory authority pursuant  to  any  lease,
    15  sublease  or  other  agreement  relating  to the financing, refinancing,
    16  acquisition,  design,  construction,   reconstruction,   rehabilitation,
    17  improvement,  furnishing  and  equipping  of,  or  otherwise provide for
    18  school district capital facilities or school district capital  equipment
    19  made  under  the  provisions  of  section  sixteen hundred eighty of the
    20  public authorities law, or for annual payments pursuant  to  any  lease,
    21  sublease  or  other  agreement  relating  to the financing, refinancing,
    22  acquisition,  design,  construction,   reconstruction,   rehabilitation,
    23  improvement,  furnishing  and  equipping  of, or otherwise providing for
    24  educational facilities of a city school district under the provisions of
    25  section sixteen of chapter six hundred five of the laws of two thousand,
    26  for annual payments pursuant to any lease, sublease or  other  agreement
    27  relating to the financing, refinancing, design, reconstruction, rehabil-
    28  itation,  improvement, furnishing and equipping of, or otherwise provid-
    29  ing for projects authorized pursuant to the city  of  Syracuse  and  the
    30  board  of  education of the city school district of the city of Syracuse
    31  cooperative school reconstruction act, or for lease,  lease-purchase  or
    32  other  annual payments to another school district or person, partnership
    33  or corporation pursuant to an agreement made  under  the  provisions  of
    34  section  four  hundred three-b, subdivision eight of section twenty-five
    35  hundred three, or subdivision six of section twenty-five hundred  fifty-
    36  four  of this chapter, provided that the apportionment for such lease or
    37  other annual payments under  the  provisions  of  section  four  hundred
    38  three-b,  subdivision  eight  of  section  twenty-five hundred three, or
    39  subdivision six of section twenty-five hundred fifty-four of this  chap-
    40  ter,  other  than payments under a lease-purchase agreement or an equiv-
    41  alent agreement, shall  be  based  upon  approved  expenditures  in  the
    42  current  year.  Approved  expenditures for capital outlays from a school
    43  district's general  fund,  capital  fund  or  reserved  funds  that  are
    44  incurred  on  or after July first, two thousand two, and are not aidable
    45  pursuant to subdivision six-f of this section, shall be aidable as  debt
    46  service under an assumed amortization established pursuant to paragraphs
    47  e  and  j  of  this  subdivision. In any such case approved expenditures
    48  shall be only for new construction, reconstruction, purchase of existing
    49  structures, for site purchase and  improvement,  for  new  garages,  for
    50  original  equipment,  furnishings,  machinery,  or  apparatus,  and  for
    51  professional fees and other costs incidental  to  such  construction  or
    52  reconstruction,  or  purchase  of  existing structures. In the case of a
    53  lease or lease-purchase  agreement  entered  pursuant  to  section  four
    54  hundred  three-b, subdivision eight of section twenty-five hundred three
    55  or subdivision six of section twenty-five  hundred  fifty-four  of  this
    56  chapter,  approved  expenditures  for the lease or other annual payments
        S. 6458                            75                            A. 9558

     1  shall not include the costs of heat, electricity, water or other  utili-
     2  ties or the costs of operation or maintenance of the leased facility. An
     3  apportionment  shall  be  available  pursuant  to  this  subdivision for
     4  construction,  reconstruction, rehabilitation or improvement in a build-
     5  ing, or portion thereof, being leased by a school district only  if  the
     6  lease  is for a term of at least ten years subsequent to the date of the
     7  general construction contract  for  such  construction,  reconstruction,
     8  rehabilitation or improvement. Each school district shall prepare a five
     9  year  capital  facilities plan, pursuant to regulations developed by the
    10  commissioner for such purpose, provided that  in  the  case  of  a  city
    11  school district in a city having a population of one million inhabitants
    12  or  more,  such  facilities  plan  shall  comply  with the provisions of
    13  section twenty-five hundred ninety-p of this chapter and  this  subdivi-
    14  sion.  Such plan shall include, but not be limited to, a building inven-
    15  tory, and estimated expense of facility  needs,  for  new  construction,
    16  additions,  alterations,  reconstruction, major repairs, energy consump-
    17  tion and maintenance by school building, as appropriate. Such five  year
    18  plan  shall  include a priority ranking of projects and shall be amended
    19  if necessary to reflect subsequent  on-site  evaluations  of  facilities
    20  conducted by state supported contractors.
    21    § 93. On January 15, 2007 and annually thereafter, until completion of
    22  the  seven projects authorized pursuant to this act, the JSC board shall
    23  issue a report to the governor, the comptroller, the  commissioner,  the
    24  temporary  president  of  the  senate,  the speaker of the assembly, the
    25  city, the common council and the city school district  on  the  progress
    26  and  status  of  the  projects  undertaken  by  the  JSC board. Provided
    27  further, that if any such entities request information on  the  progress
    28  and status of the projects prior to such report, it shall be provided to
    29  such entities by the JSC board.
    30    In  addition, on or before June 30, 2014 or upon the completion of the
    31  seven projects authorized pursuant to this act,  whichever  shall  first
    32  occur,  the  JSC board shall issue a report to the city, the city school
    33  district, the governor, the commissioner, the comptroller, the temporary
    34  president of the senate, the minority leader of the senate, the  speaker
    35  of the assembly, the minority leader of the assembly, the state board of
    36  regents,  and  the  chairs  and ranking minority members of the New York
    37  state senate and assembly committees on education, the finance committee
    38  of the New York state senate, and the ways and means  committee  of  the
    39  New  York  state  assembly  and  the division of the budget. Such report
    40  shall identify the fiscal and pedagogical results of the projects under-
    41  taken pursuant to this act, along with recommendations for  its  contin-
    42  uance, amendments, or discontinuance.
    43    §  94. Insofar as the provisions of this act are inconsistent with the
    44  provisions of any other law, general, special, or local, or of the  city
    45  charter  or an ordinance or resolution of the city, or any rule or regu-
    46  lation, the provisions of this act shall be controlling,  provided  that
    47  nothing  contained  in this act shall be held to supplement or otherwise
    48  expand the powers or duties of the city  or  the  city  school  district
    49  except as specified herein.
    50    § 95. Subdivision 12 of section 2432 of the public authorities law, as
    51  added by chapter 166 of the laws of 1991, is amended to read as follows:
    52    (12)  "Special  Program Municipality". Any city having a population of
    53  less than one million but more than three hundred  fifty  thousand;  and
    54  any city having a population of less than two hundred fifty thousand but
    55  more  than  two  hundred  thousand,  determined according to the federal
    56  decennial census of nineteen hundred  eighty.    Such  term  shall  also
        S. 6458                            76                            A. 9558

     1  include the city of Syracuse solely for the purpose of the city of Syra-
     2  cuse  and the board of education of the city school district of the city
     3  of Syracuse cooperative school reconstruction act.
     4    §  96.  Subdivision 1 of section 2435-a of the public authorities law,
     5  as amended by chapter 59 of the laws of 2003,  is  amended  to  read  as
     6  follows:
     7    (1)  In  order  to fulfill the purposes of this title and to provide a
     8  means by which the special program municipalities may (a) receive moneys
     9  to refund certain property taxes determined to be  in  excess  of  state
    10  constitutional  tax  limits  or to reimburse the special program munici-
    11  palities for the prior refunding of such taxes or (b) receive moneys  to
    12  be  applied to the cost of settling litigation involving the city school
    13  districts of special program municipalities and the teachers' unions  in
    14  such  special  program  municipalities,  or  (c)  receive moneys for the
    15  financing of public improvements to be applied to the cost of the recon-
    16  struction, rehabilitation  or  renovation  of  an  educational  facility
    17  pursuant  to  the  provisions  of  subdivision (b) of section sixteen of
    18  chapter six hundred five of the laws of two  thousand,  or  (d)  receive
    19  moneys  for  the  financing  of public improvements to be applied to the
    20  cost of a project for design,  reconstruction  or  rehabilitation  of  a
    21  school  building  pursuant  to the provisions of subdivision fourteen of
    22  the city of Syracuse and the board  of  education  of  the  city  school
    23  district  of the city of Syracuse cooperative school reconstruction act,
    24  and notwithstanding any general or special  law  to  the  contrary,  the
    25  agency  and  each  special program municipality are hereby authorized to
    26  enter into one or more special program agreements, which special program
    27  agreements shall, consistent with the provisions of this title,  contain
    28  such terms, provisions and conditions as, in the judgment of the agency,
    29  shall  be  necessary  or desirable. Each special program agreement shall
    30  specify the amount to  be  made  available  to  the  respective  special
    31  program  municipality  from  the proceeds of an issue of special program
    32  bonds and shall require such special program  municipality,  subject  to
    33  appropriation  by  the  appropriate  legislative  body  of  such special
    34  program municipality, to make payments to the agency in the amounts  and
    35  at  the  times  determined  by the agency to be necessary to provide for
    36  payment of such issue of special program  bonds  and  such  other  fees,
    37  charges,  costs  and  other  amounts as the agency shall in its judgment
    38  determine to be necessary or desirable.
    39    § 97. Subdivision 4 of section 2436 of the public authorities law,  as
    40  amended  by  chapter  59  of  the  laws  of  2003, is amended to read as
    41  follows:
    42    4. In the event that a special program municipality shall fail to make
    43  a payment in such amount (as calculated in accordance with  the  special
    44  program  agreement  to  which such municipality shall be a party) and by
    45  such date as is provided to be made by such municipality in its  special
    46  program  agreement,  the  chairman of the agency shall so certify to the
    47  comptroller. Such certificate shall be in such form as the agency  deems
    48  desirable, but shall specify the amount by which such payment shall have
    49  been  deficient.  The comptroller, upon receipt of such certificate from
    50  the agency, shall withhold from such special  program  municipality  any
    51  state  aid  payable  to such municipality to the extent of the amount so
    52  stated in such certificate as not having been made, and shall immediate-
    53  ly pay over to the agency the amount  so  withheld;  provided,  however,
    54  that  in  the  case  of a special program agreement entered into for the
    55  purpose described in paragraph (b) or (c) or (d) of subdivision  one  of
    56  section twenty-four hundred thirty-five-a of this title, the comptroller
        S. 6458                            77                            A. 9558

     1  shall  be  authorized  to withhold from the special program municipality
     2  such school aid as is payable to the city school district of the special
     3  program municipality, to the extent of the  amount  so  stated  in  such
     4  certificate  as  not having been made, and shall immediately pay over to
     5  the agency the amount so withheld. Any amount so paid to the agency from
     6  such state and/or school aid shall not obligate the state to  make,  nor
     7  entitle  the  special  program  municipality  to receive, any additional
     8  amounts of state and/or school aid. Nothing contained therein  shall  be
     9  deemed  to prevent the state from modifying, reducing or eliminating any
    10  program or programs of state and/or school aid; nor shall the  state  be
    11  obligated by the terms hereof to maintain state and/or school aid at any
    12  particular level or amount.
    13    §  98. Subdivision 1 of section 2438 of the public authorities law, as
    14  amended by chapter 59 of the  laws  of  2003,  is  amended  to  read  as
    15  follows:
    16    (1) The agency shall not issue bonds and notes in an aggregate princi-
    17  pal  amount  at  any one time outstanding exceeding one billion dollars,
    18  excluding tax lien collateralized  securities,  special  school  purpose
    19  bonds,  special  school  deficit  program  bonds,  special program bonds
    20  issued to finance the reconstruction, rehabilitation or renovation of an
    21  educational facility pursuant to the provisions of  subdivision  (b)  of
    22  section sixteen of chapter six hundred five of the laws of two thousand,
    23  special  program  bonds  issued  to  finance  the  cost of a project for
    24  design, reconstruction or rehabilitation of a school  building  pursuant
    25  to  the  provisions  of subdivision fourteen of the city of Syracuse and
    26  the board of education of the city school district of the city of  Syra-
    27  cuse cooperative school reconstruction actand bonds and notes issued to
    28  refund outstanding bonds and notes.
    29    § 99. Severability. The provisions of this act shall be severable, and
    30  if  the  application  of  any  clause, sentence, paragraph, subdivision,
    31  section or part of this act to  any  person  or  circumstance  shall  be
    32  adjudged  by  any  court  of  competent jurisdiction to be invalid, such
    33  judgment shall not necessarily affect, impair or invalidate the applica-
    34  tion of any such clause, sentence, paragraph, subdivision, section, part
    35  of this act or remainder thereof, as the  case  may  be,  to  any  other
    36  person  or  circumstance,  but shall be confined in its operation to the
    37  clause,  sentence,  paragraph,  subdivision,  section  or  part  thereof
    38  directly  involved  in the controversy in which such judgment shall have
    39  been rendered.
    40    § 100. This act shall take effect immediately and shall be  deemed  to
    41  have been in full force and effect on and after April 1, 2006, and shall
    42  apply to contracts entered into on behalf of school districts and boards
    43  of  cooperative  educational  services on and after such date; provided,
    44  however, that:
    45    1. sections one, nine, ten, eighteen, thirty-one, thirty-two,  thirty-
    46  three,   thirty-four,  forty-five,  forty-six,  forty-eight,  fifty-one,
    47  fifty-three, fifty-five, fifty-seven, sixty-one, sixty-two,  sixty-four,
    48  sixty-five,  sixty-seven,  sixty-eight,  seventy-six,  seventy-seven and
    49  seventy-eight of this act shall be deemed to have been in full force and
    50  effect on and after July 1, 2006, and shall apply to  contracts  entered
    51  into on behalf of school districts and boards of cooperative educational
    52  services on and after such date;
    53    2.  section seventeen of this act shall be deemed to have been in full
    54  force and effect on and after January 15, 2006;
    55    3. sections nineteen and forty-seven of this act shall  be  deemed  to
    56  have been in full force and effect on and after February 1, 2006;
        S. 6458                            78                            A. 9558

     1    4.  sections  forty-nine, fifty-two, sixty, eighty-five and eighty-six
     2  of this act shall be deemed to have been in full force and effect on and
     3  after July 1, 2005;
     4    5. section fifty-four of this act shall be deemed to have been in full
     5  force and effect on and after July 1, 1998;
     6    6.  sections sixty-nine, seventy, seventy-one, and seventy-two of this
     7  act shall be deemed to have been in full force and effect on the nineti-
     8  eth day after it shall have become a law;
     9    7. section seventy-nine of this act shall be deemed to  have  been  in
    10  full  force  and effect on and after the effective date of section 85 of
    11  part H of chapter 83 of the laws of 2002;
    12    8. section eighty  of this act shall be deemed to have  been  in  full
    13  force and effect on and after the effective date of section 101 of chap-
    14  ter 436 of the laws of 1997;
    15    9. section eighty-one of this act shall be deemed to have been in full
    16  force  and  effect as of the effective date of section 140 of chapter 82
    17  of the laws of 1995;
    18    10. section eighty-two of this act shall be deemed  to  have  been  in
    19  full force and effect on and after September 1, 2005;
    20    11.  section  eighty-three of this act shall be deemed to have been in
    21  full force and effect on and after January 1, 2005;
    22    12. section eighty-eight of this act shall be deemed to have  been  in
    23  full force and effect on and after April 1, 2004;
    24    13.  section  eighty-nine  of this act shall be deemed to have been in
    25  full force and effect on and after April 1, 2004 and be deemed  repealed
    26  on March 31, 2007;
    27    14.  the amendments to sections 1804, 1906, 2005, 2007 and 2022 of the
    28  education law made by sections  fifteen,  sixteen,  twenty-one,  twenty-
    29  three  and  twenty-eight  of this act respectively, shall take effect on
    30  the same date and in the same manner as sections  1,  2,  3,  5  and  7,
    31  respectively, of part M of chapter 57 of the laws of 2005, takes effect;
    32  and
    33    15.  the  amendments to subdivision 6 of section 4402 of the education
    34  law made by section sixty-four of this act shall not affect  the  repeal
    35  of such subdivision and shall be deemed repealed therewith.
          REPEAL  NOTES.--Subdivisions  1  and 2 of section 458 of the education
        law, as proposed to be repealed by  this  act,  related  to  contracting
        requirements for school districts.
          Subdivisions  1 and 2 of section 482 of the education law, as proposed
        to be repealed by this act,  relates  to  contracting  requirements  for
        school districts and boards of cooperative educational services.
          Subdivision  3 of section 2006 of the education law, as proposed to be
        repealed by this act, relates  to  special  meetings  in  common  school
        districts.
          Section 1740 of the public authorities law, as proposed to be repealed
        by  this act, relates to use of outside design, drafting, and inspection
        services by the New York City school construction authority.
          Section 11 of chapter 795 of the laws  of  1967,  as  proposed  to  be
        repealed  by  this act, relates to contracting requirements of boards of
        cooperative educational services.

    36                                   PART I

    37    Section 1. The state finance law is amended by adding  a  new  section
    38  97-ffff to read as follows:
        S. 6458                            79                            A. 9558

     1    §  97-ffff. Tenured teacher hearing account. 1. There is hereby estab-
     2  lished in the joint custody of the state comptroller and the commission-
     3  er of   taxation and finance an account  of  the  miscellaneous  special
     4  revenue fund to be known as the "tenured teacher hearing account".
     5    2.  Notwithstanding any other law, rule or regulation to the contrary,
     6  the state comptroller is hereby authorized and directed to  receive  for
     7  deposit  to  the  credit  of the tenured teacher hearing account charge-
     8  backs to school districts, boards of cooperative  educational  services,
     9  and  county vocational education and extension boards or other employing
    10  boards in accordance with paragraph d of subdivision  three  of  section
    11  three  thousand  twenty-a  of the education law for the costs of tenured
    12  teacher hearings.
    13    3. Moneys of this account, following appropriation by the legislature,
    14  shall be available to the state education department  for  services  and
    15  expenses  incurred for administration of tenured teacher hearings pursu-
    16  ant to section three thousand twenty-a of the education law.
    17    § 2. Subparagraph (i) of paragraph  c  of  subdivision  3  of  section
    18  3020-a  of  the  education law, as amended by chapter 691 of the laws of
    19  1994, is amended to read as follows:
    20    (i) The commissioner [of education] shall have the power to  establish
    21  necessary  rules  and  procedures for the conduct of hearings under this
    22  section.  Such rules shall not require compliance with  technical  rules
    23  of  evidence.    Hearings  shall  be  conducted  by  the hearing officer
    24  selected pursuant to paragraph b of this subdivision with full and  fair
    25  disclosure  of  the nature of the case and evidence against the employee
    26  by the employing board and shall be public or private at the  discretion
    27  of  the  employee.  The  employee shall have a reasonable opportunity to
    28  defend himself or herself and an opportunity to testify in  his  or  her
    29  own  behalf.  The  employee shall not be required to testify. Each party
    30  shall  have  the  right  to  be  represented  by  counsel,  to  subpoena
    31  witnesses,  and to cross-examine witnesses. All testimony taken shall be
    32  under oath,which the hearing officer is hereby authorized  to  adminis-
    33  ter. A competent stenographer, designated by the commissioner [of educa-
    34  tion]  and  compensated  by the [state education] department, shall keep
    35  and transcribe a record of the proceedings at each such hearing. A  copy
    36  of  the  transcript  of  the  hearings shall, upon request, be furnished
    37  without charge to the employee [and the board of education] involved and
    38  shall be furnished to the employing board.
    39    § 3. Subdivision 3 of section 3020-a of the education law  is  amended
    40  by adding a new paragraph d to read as follows:
    41    d.  Chargeback  for  hearing  costs.  (i)  Notwithstanding  any  other
    42  provision of law to the contrary, commencing with expenses  paid  on  or
    43  after  April  first, two thousand six, the actual hearing costs incurred
    44  by the department for the conduct  of  each  hearing  pursuant  to  this
    45  section, including, but not limited to, the compensation and expenses of
    46  hearing  officers  and  stenographers and the costs of transcription and
    47  the copying of transcripts for the school district  or  employing  board
    48  and  the  employee,  plus  a  share  of the related administrative costs
    49  incurred by the department to implement this section, to  be  determined
    50  pursuant  to  a  cost  allocation plan developed by the commissioner and
    51  approved by the director of the budget,  shall  be  a  charge  upon  the
    52  school  district  or employing board that initiated the hearing, and the
    53  commissioner shall recover such amount in an appropriate manner, includ-
    54  ing as a chargeback against state aid due the school district or employ-
    55  ing board.
        S. 6458                            80                            A. 9558

     1    (ii) The commissioner shall certify the amount of the  chargeback  due
     2  from  the  school  district or employing board to the state comptroller,
     3  and the state comptroller shall withhold such amount from any moneys due
     4  such school district or employing board and shall credit such amount  to
     5  the tenured teacher hearing account.
     6    §  4.  This  act  shall take effect immediately and shall be deemed to
     7  have been in full force and effect on and after April 1, 2006.

     8                                   PART J

     9    Section 1. The tax law is amended by adding a new section 178 to  read
    10  as follows:
    11    § 178. STAR Plus rebate. 1. The commissioner shall pay to the owner or
    12  owners  of  a  parcel  who  have applied for and received the school tax
    13  relief (STAR) exemption authorized by the real property tax law, and who
    14  are also the owner or owners of such parcel  on  August  fifteenth  each
    15  year,  a  STAR  Plus  rebate  in the amount of four hundred dollars. The
    16  commissioner shall issue such rebate checks by  October  fifteenth  each
    17  year.  However,  no rebates shall be issued pursuant to this subdivision
    18  to residents of a school district that is not  in  compliance  with  the
    19  school  spending  cap  as  set forth in subdivision seven of section two
    20  thousand twenty-two of the education law. In addition, no rebates  shall
    21  be  issued  to  property owners in any city in this state having a popu-
    22  lation of one million or more.
    23    2. On or before August fifteenth each year, the executive director  of
    24  the  office  of  real  property  services, or his or her designee, shall
    25  provide to the commissioner a report  in  a  mutually  agreeable  format
    26  concerning  those parcels which have been granted the STAR exemption, as
    27  authorized by subdivision fourteen of section four  hundred  twenty-five
    28  of the real property tax law.
    29    3.  The  commissioner in consultation with the office of real property
    30  services is authorized to develop procedures necessary  to  provide  for
    31  the  issuance  of STAR Plus rebate checks to qualifying property owners,
    32  and those qualifying property owners that did not receive them  initial-
    33  ly.  If  the  commissioner  is  not satisfied that the property owner is
    34  qualified for the STAR Plus rebate, the  commissioner  shall  not  issue
    35  such  rebate;  provided  however,  that the commissioner may rely on the
    36  information provided pursuant to subdivision fourteen  of  section  four
    37  hundred  twenty-five  of  the real property tax law. If a property owner
    38  does not receive a rebate check, to which such owner is otherwise quali-
    39  fied, and does not request such rebate check from  the  commissioner  by
    40  December  thirty-first  of  the  year to which such rebate relates, such
    41  property owner shall not be entitled to the STAR Plus rebate.
    42    § 2. Section 425 of the real property tax law is amended by  adding  a
    43  new subdivision 14 to read as follows:
    44    14.  STAR  Plus  rebate  program. (a) On or before August fifteenth of
    45  each year, the  executive  director  of  the  office  of  real  property
    46  services,  or  his or her designee, shall provide to the commissioner of
    47  taxation and finance a report in a mutually agreeable format  concerning
    48  those  parcels  which have been granted the STAR exemption authorized by
    49  this section on final assessment rolls filed  in  the  current  calendar
    50  year;  provided,  that  such  report  shall be limited to parcels within
    51  those school districts that are in compliance with the  school  district
    52  spending  cap  specified  in  subdivision  seven of section two thousand
    53  twenty-two of the education law, as reported to the office of real prop-
    54  erty services by the commissioner of education on or before  July  thir-
        S. 6458                            81                            A. 9558

     1  ty-first  of such year; and provided further, that the information to be
     2  provided on such report shall be obtained from the final assessment roll
     3  data files filed with  the  state  board  pursuant  to  section  fifteen
     4  hundred  ninety  of  this chapter on or before July thirty-first of such
     5  year. Such report shall set forth the names and mailing addresses of the
     6  owners of such parcels as shown on such assessment roll data files,  the
     7  identification  numbers of such parcels as shown on such assessment roll
     8  data files, and such other information in the possession of  the  office
     9  of  real  property  services as the commissioner of taxation and finance
    10  may deem necessary for the effective administration of this program.  It
    11  shall be the responsibility of the assessor or assessors of each assess-
    12  ing  unit  to ensure that the names and mailing addresses of such owners
    13  are accurately recorded on such rolls and files to the best  of  his  or
    14  her  ability, based upon the information contained in his or her office.
    15  Nothing contained in this subdivision shall be construed as affecting in
    16  any way the validity or enforceability of a real property  tax,  or  the
    17  applicability  of  interest  or  penalties with respect thereto, when an
    18  owner's name or mailing address has not been accurately recorded.
    19    (b) Notwithstanding the provisions of paragraph (a) of  this  subdivi-
    20  sion,  where  an assessing unit contains one or more co-operative apart-
    21  ment units or mobile homes which are receiving the STAR exemption pursu-
    22  ant to paragraph (k) or (l) of  subdivision  two  of  this  section,  or
    23  contains  one  or more properties which are receiving the STAR exemption
    24  in relation to a prior year assessment roll pursuant to paragraph (d) of
    25  subdivision six of this section, or contains one or  more  parcels  with
    26  respect  to  which  a STAR exemption was duly added or removed after the
    27  filing of the final assessment roll pursuant to the provisions of  title
    28  three  of  article  five  of  this  chapter, the office of real property
    29  services may require the assessor to file with it,  on  or  before  July
    30  thirty-first  of that year, or such later date as such office may speci-
    31  fy, a supplemental report relating to such property  or  properties,  so
    32  that information pertaining to the tenant-shareholders or owners thereof
    33  may be included in the report to be made to the commissioner of taxation
    34  and  finance  pursuant to this paragraph.  When any information required
    35  by this paragraph is received by the office of  real  property  services
    36  after  July  thirty-first of that year, such information shall be trans-
    37  mitted as soon as reasonably practicable to the commissioner of taxation
    38  and finance for use in issuing STAR Plus rebates pursuant to section one
    39  hundred seventy-eight of the tax law.
    40    § 3. Section 2022 of the education law is  amended  by  adding  a  new
    41  subdivision 7 to read as follows:
    42    7. a. No later than July first of each year, the chief fiscal officer,
    43  as  defined  pursuant  to  section  2.00  of the local finance law, of a
    44  school district or in the case of a school district which is subject  to
    45  article  fifty-two  of  the  education law, other than a school district
    46  located in a city with a population of one million or  more,  the  chief
    47  fiscal  officer  of  the  city, shall submit to the commissioner in such
    48  form as he or she shall require, a certification of compliance  or  non-
    49  compliance  with  the  school spending cap. For purposes of this certif-
    50  ication, the school spending cap shall be defined as the following:  the
    51  total estimated expenditures for such school district's budget shall not
    52  exceed the total estimated expenditures under the school district budget
    53  for  the  prior  school year by a percentage that exceeds the lesser of:
    54  (i) four percent, or (ii) the result obtained when  one  hundred  twenty
    55  percent  is  multiplied by the percentage increase in the consumer price
    56  index.
        S. 6458                            82                            A. 9558

     1    b. No later than July thirty-first  of  each  year,  the  commissioner
     2  shall  compile  and make available electronically to the commissioner of
     3  taxation and finance and the executive director of the  office  of  real
     4  property  services  a  list  of the school districts that have certified
     5  their  compliance  with  the  school  spending cap. For purposes of this
     6  subdivision, "percentage increase in the  consumer  price  index"  shall
     7  mean  the  percentage that represents the product of one hundred and the
     8  quotient of: (i) the average of  the  national  consumer  price  indexes
     9  determined by the United States department of labor for the twelve-month
    10  period preceding January first of the calendar year in which the current
    11  school  year  commences minus the average of the national consumer price
    12  indexes determined by the United States  department  of  labor  for  the
    13  twelve-month  period  preceding  January  first  of the calendar year in
    14  which the prior school year commences, divided by (ii)  the  average  of
    15  the  national  consumer  price  indexes  determined by the United States
    16  department of labor for the twelve-month period preceding January  first
    17  of  the calendar year in which the prior school year commences, with the
    18  result expressed as a decimal to two  places.  The  following  types  of
    19  expenditures shall be disregarded in determining total spending: (a) the
    20  types  of  expenditures  set forth in paragraph b of subdivision four of
    21  section two thousand twenty-three of this  article,  whether  or  not  a
    22  contingency  budget has been adopted; (b) expenditures resulting from an
    23  actual increase in enrollment over  the  projected  enrollment  used  to
    24  develop the school district budget; (c) expenditures from appropriations
    25  for  gifts or federal grants-in-aid that are added after adoption of the
    26  school district budget for the current school year; and (d) expenditures
    27  required due to a judgment that has been entered by a  court  that  such
    28  district  does not provide a sound basic education. For school districts
    29  that are certified by the chief fiscal officer, as defined  pursuant  to
    30  section  2.00  of the local finance law, of a school district, or in the
    31  case of an eligible school district which is subject to  article  fifty-
    32  two  of  this chapter, the chief fiscal officer of the city, as being in
    33  compliance with the spending cap, the certification shall be accompanied
    34  by financial data  that  demonstrates  such  compliance,  and  shall  be
    35  prepared  in  such  form  as  the commissioner shall require. For school
    36  districts that are certified by the chief  fiscal  officer,  as  defined
    37  pursuant to section 2.00 of the local finance law, of a school district,
    38  or  in the case of an eligible school district which is subject to arti-
    39  cle fifty-two of this chapter, the chief fiscal officer of the city,  as
    40  not being in compliance, no further financial data shall be required for
    41  the purposes of this section.
    42    § 4. This act shall take effect immediately.

    43                                   PART K

    44    Section  1.  The  arts and cultural affairs law is amended by adding a
    45  new title P to read as follows:

    46                                   TITLE P
    47                   NEW YORK STATE CULTURAL EDUCATION TRUST
    48                                 ARTICLE 40
    49                   NEW YORK STATE CULTURAL EDUCATION TRUST
    50  Section 40.01. New York state cultural education trust; creation;  board
    51                  of directors; governance.
    52          40.03. Powers and duties of the board.
    53          40.05. Reports.
        S. 6458                            83                            A. 9558

     1          40.07. Assistance of other agencies.

     2    § 40.01. New  York  state cultural education trust; creation; board of
     3  directors; governance.  1. The New York state cultural  education  trust
     4  is  hereby  established  under  the  jurisdiction of the state education
     5  department.
     6    2. Powers and duties of the trust shall  be  exercised  by  the  trust
     7  board  consisting  of  ten  members  appointed  as follows: five members
     8  appointed by the governor, two of  whom  shall  be  from  the  arts  and
     9  cultural affairs community, one member appointed by the temporary presi-
    10  dent of the senate, one member appointed by the speaker of the assembly,
    11  one  member  appointed  by the minority leader of the senate, one member
    12  appointed by the  minority  leader  of  the  assembly,  and  one  member
    13  appointed by the board of regents.
    14    3.  The  first  chair of the board shall be designated by the governor
    15  for three years. Thereafter, the trust board shall elect its own  chair,
    16  each for three years.
    17    4.  Initial  appointments  to  the board shall be for staggered terms.
    18  Three of the governor's appointments shall be for three  years,  two  of
    19  the governor's appointments and the appointments of the temporary presi-
    20  dent  of  the  senate  and  the speaker of the assembly shall be for two
    21  years, and the appointments of the minority leader of the senate and the
    22  minority leader of the assembly and the board of regents  shall  be  for
    23  one year. All subsequent appointments shall be for three years.
    24    5.  Members  may  be  reappointed  and  may serve two consecutive full
    25  terms, in addition to the terms of the  initial  appointments,  but  not
    26  more  than eight consecutive years. Each member shall continue in office
    27  until such member's successor has been  appointed  and  qualifies.  Such
    28  continuation  in  office  shall  not be counted in determining whether a
    29  member has served eight consecutive years. In the  event  of  a  vacancy
    30  occurring in the office of any member, other than by the expiration of a
    31  member's term, such vacancy shall be filled for the balance of the unex-
    32  pired  term,  if applicable, in the same manner as the original appoint-
    33  ment.
    34    6. Board members shall serve  without  compensation  for  their  work.
    35  Travel and meeting expenses may be compensated for members of the board.
    36    7.  The  deputy  commissioner  for  cultural  education and the deputy
    37  commissioner for operations and management services of the state  educa-
    38  tion  department  shall  serve  as  the  executive officers of the trust
    39  board.
    40    8. A majority of the whole number of  members  then  in  office  shall
    41  constitute  a quorum for the transaction of any business or the exercise
    42  of any power of the trust board. The trust board shall have the power to
    43  act by a majority of members present at any meeting at which a quorum is
    44  in attendance.
    45    9. Notwithstanding any inconsistent provision of any general,  special
    46  or  local  law,  ordinance, resolution or charter, no officer, member or
    47  employee of the state, or of  any  public  corporation,  shall  have  to
    48  forfeit  his  or her office or employment or any benefits provided under
    49  the retirement and social security law or under  any  public  retirement
    50  system  maintained  by the state or any of its subdivisions by reason of
    51  his or her becoming a member or chair of the trust board, nor shall  the
    52  service  on  such  board be deemed incompatible or in conflict with such
    53  office or employment.
    54    § 40.03. Powers and duties of the board. The board shall:
        S. 6458                            84                            A. 9558

     1    1. Promote the public missions, operations, purposes and functions  of
     2  the state museum, library and archives;
     3    2.  Promote  greater  public  awareness,  and  accessibility  to,  the
     4  collections of the state museum, library and archives;
     5    3. Provide the commissioner of education and the regents  with  recom-
     6  mendations  to  direct  the  investment  of  funds to enhance the public
     7  display of the collections and exhibits of the state museum, library and
     8  archives and to provide a new storage facility for such collections. The
     9  board shall ensure that such funds are used in the most efficient manner
    10  to discharge the trust's duties; and
    11    4. Prepare, and recommend to the commissioner of education, a plan  to
    12  enhance  the exhibits of the state museum to ensure that the visitors to
    13  the museum have an appreciation for the rich history of New  York  state
    14  as  told through the display of rare, historic and meaningful artifacts,
    15  specimens and documents in the state's possession, and through  the  use
    16  of interactive technology.
    17    § 40.05. Reports.    Not  later  than  February first of each year the
    18  board shall report to the regents, the governor and the  legislature  on
    19  the trust's priorities, accomplishments and finances.
    20    § 40.07. Assistance  of  other agencies.   The trust board may request
    21  and shall receive from any state agency or political subdivision of  the
    22  state,  and  the  same  are  authorized  to provide, such assistance and
    23  information as will enable it to carry out its duties pursuant  to  this
    24  title.
    25    §  2. The state finance law is amended by adding a new section 99-o to
    26  read as follows:
    27    § 99-o. Cultural education trust account. 1. There  is  hereby  estab-
    28  lished in the joint custody of the state comptroller and the commission-
    29  er  of  taxation  and  finance  an  account of the miscellaneous capital
    30  projects fund to be known as the cultural education trust account.
    31    2. Notwithstanding any other law, rule or regulation to the  contrary,
    32  the comptroller is authorized and directed to receive for deposit to the
    33  credit  of  the  cultural  education  trust account transfers from other
    34  state funds and accounts pursuant to law as well  as  revenue  resulting
    35  from  fees  and/or donations which may include any form of equity, fixed
    36  income securities, insurance or any other asset convertible  into  cash,
    37  and earnings thereon.
    38    3. Moneys of the cultural education trust account, following appropri-
    39  ation  by  the  legislature,  shall  be available to support the capital
    40  improvement projects consistent with the provisions of title  P  of  the
    41  arts  and  cultural  affairs  law. Expenditures of this account shall be
    42  made in accordance with a plan approved by the director of  the  budget.
    43  Any  such  moneys  in  such  account may, in the discretion of the comp-
    44  troller, be invested in obligations in which the comptroller is  author-
    45  ized  to  invest pursuant to section ninety-eight-a of this article. Any
    46  income or interest from  such  investment  shall  be  credited  to  such
    47  account.
    48    4.  All payments of moneys from the account shall be made on the audit
    49  and warrant of the comptroller.
    50    § 3. This act shall take effect April 1, 2006 and appointments to  the
    51  New  York  state  cultural  education  trust shall be made no later than
    52  three months following an appropriation made by the legislature for  the
    53  purpose of the trust.

    54                                   PART L
        S. 6458                            85                            A. 9558

     1    Section  1.  Paragraph c of subdivision 4 of section 661 of the educa-
     2  tion law, as amended by chapter 309 of the laws of 1996, is  amended  to
     3  read as follows:
     4    c.  [For  students  who  first receive aid pursuant to this chapter in
     5  academic year nineteen hundred ninety-six--nineteen hundred ninety-seven
     6  or thereafter, must] Must have a certificate of graduation from a school
     7  providing secondary education, or  the  recognized  equivalent  of  such
     8  certificate;  or  have  achieved  a  passing score, as determined by the
     9  United States secretary of education, on a federally  approved  examina-
    10  tion  which demonstrates that the student can benefit from the education
    11  being offered.  Students who first receive aid pursuant to this  article
    12  in academic year two thousand six--two thousand seven or thereafter, who
    13  do not have a certificate of graduation from a recognized school provid-
    14  ing  secondary  education within the United States shall receive written
    15  or electronic notification from the corporation of the amount of student
    16  financial aid he or she will receive under the provisions of this  arti-
    17  cle, provided that the corporation shall not issue payment thereof until
    18  the  student completes twenty-four college credits, or its equivalent as
    19  determined by the corporation, from such institution. Upon completion at
    20  such institution of twenty-four college credits, or  its  equivalent  as
    21  determined  by  the  corporation, the corporation shall issue payment to
    22  the institution on behalf of students in the  amount  of  the  deferment
    23  against  tuition charges provided by the institution and interest not to
    24  exceed the amount that would accrue on a loan received under Title IV of
    25  the Higher Education Act of 1965.
    26    § 2. Paragraphs b and c of subdivision 6 of section 661 of the  educa-
    27  tion law, paragraph b as amended and paragraph c as added by chapter 637
    28  of  the  laws  of  1985  and subparagraph 1 of paragraph c as amended by
    29  chapter 212 of the laws of 1988, are amended to read as follows:
    30    b. Any student who is in default in the repayment of any student loan,
    31  made under the Federal Family Education Loan Program or the  William  D.
    32  Ford Direct Loan Program and who has not regained eligibility for feder-
    33  al  student aid programs, or any student who is in default in the repay-
    34  ment of any other student loan the payment of which has been  guaranteed
    35  by  the  corporation  pursuant  to the provisions of section six hundred
    36  eighty of this article, or any student who has failed to comply with the
    37  terms of any service condition imposed by an academic performance  award
    38  made  pursuant to this article or any student who has failed to repay an
    39  award made under this article as required by paragraph a of  subdivision
    40  four  of  section  six  hundred  sixty-five of this article shall not be
    41  eligible for any general award, academic performance  award  or  student
    42  loan  so  long  as  such  default  status  or failure to comply or repay
    43  continues, except as provided in paragraph c of this subdivision.
    44    c. A student who has defaulted on  [a  guaranteed  student  loan]  any
    45  student loan made under the Federal Family Education Loan Program or the
    46  William D. Ford Direct Loan Program and who has not regained eligibility
    47  for  federal  student  aid programs, or any student who is in default in
    48  the repayment of any other student loanor has failed to make  a  refund
    49  of  an  award  may  notwithstanding be considered eligible for a further
    50  guaranteed student loan or an award or both, if
    51    [(1) (i) the student, except for the default, shall  be  eligible  for
    52  the  guaranteed  student  loan  or  the  award; and (ii) the student has
    53  entered into a plan of  repayment  of  the  amount  outstanding  on  the
    54  defaulted  loan  or refund satisfactory to the corporation, and has made
    55  satisfactory payments thereunder for a period of six months prior to the
    56  application to the corporation for the guaranteed student  loan  or  the
        S. 6458                            86                            A. 9558

     1  award; and (iii) in the case of a default in the payment of a guaranteed
     2  student  loan,  the  student has demonstrated to the satisfaction of the
     3  president, that at the time the default occurred the student  was  enti-
     4  tled to a deferment or could have been granted forbearance of payment on
     5  the loan by the lender if a request for forbearance had been made;
     6    (2)  application  for  the further loan or award as authorized by this
     7  paragraph shall be on such forms and supported by such documentation  as
     8  shall  be prescribed by the president. The determination on the applica-
     9  tion by the president may be made without a hearing and shall be  deemed
    10  final administrative action;
    11    (3)  anything  to  the contrary herein notwithstanding the corporation
    12  may offset any award to which the student shall be  entitled  against  a
    13  refund  due  for  a  previous award, as provided under the provisions of
    14  subdivision four of section six hundred sixty-five of this article]  the
    15  student  is  eligible  for  the guaranteed student loan or award and the
    16  student has cured the default status pursuant to federal law, as promul-
    17  gated in regulation by the corporation.
    18    § 3. Subdivision 7 of section 661 of the education law,  as  added  by
    19  chapter 114 of the laws of 1990, is amended to read as follows:
    20    7.  Awards  of  student  financial aid. Whenever the corporation gives
    21  written or electronic notification to a student of the amount of student
    22  financial aid such student will receive under  the  provisions  of  this
    23  article,  such  written  or electronic notification shall be accepted by
    24  the institution as a deferment against tuition charges pending the issu-
    25  ance of such moneys by the corporation, unless: (a) the institution  has
    26  more current or accurate information on file indicating the student will
    27  receive  a  different amount from that calculated by the corporation, in
    28  which event the institution's calculated amount shall be accepted  as  a
    29  deferment against tuition charges pending the issuance of such moneys by
    30  the  corporation  including the deferment of tuition charges pursuant to
    31  paragraph c of subdivision four of this section, or
    32    (b) the institution is waiting for corrections of financial aid  forms
    33  or  income  verification  which  the  student  has not yet completed, or
    34  supplied, in which case deferment will not take place until such time as
    35  the student has completed his or her responsibilities.
    36    § 4. Subdivision 2 of section 665 of the education law is  amended  by
    37  adding a new paragraph c to read as follows:
    38    c.  A  student shall qualify for accelerated study upon the completion
    39  of thirty credit hours, or its equivalent, from such institution in  the
    40  preceding  two semesters, or the equivalent, prior to the term of appli-
    41  cation.
    42    § 5. Paragraph a of subdivision 3 of section 665 of the education law,
    43  as amended by chapter 195 of the laws of 1980, is  amended  to  read  as
    44  follows:
    45    a.  Each  institution of post-secondary education shall certify to the
    46  corporation, on forms provided by the president,that  each  student  in
    47  attendance  at  that  institution who has applied for a general award or
    48  academic performance award under this article is eligible for such award
    49  in accordance with all criteria established for such  award  by  statute
    50  and  regulation.  Such certification shall be made [on forms provided by
    51  the president] no earlier than forty-five days after the  start  of  the
    52  academic  semester, quarter, or other term of attendance andwithin such
    53  time as required by the president and shall state as of the date of such
    54  certification that[, as of the date established by  the  institution  in
    55  accordance with its refund policy and the regulations of the commission-
    56  er,] the student (i) has incurred a full tuition liability for that term
        S. 6458                            87                            A. 9558

     1  of attendance, (ii) [was no longer eligible for a refund upon withdrawal
     2  from  study,  (iii)] was in full-time attendance and [(iv)] (iii) satis-
     3  fied all other eligibility requirements for such award. If  any  student
     4  does  not  satisfy  the necessary eligibility requirements on that date,
     5  [it shall be the responsibility of the institution to so state, to spec-
     6  ify whether such student was eligible prior to that date and the  amount
     7  of tuition liability incurred] an award shall not be granted.
     8    §  6. Subdivision 6 of section 665 of the education law, as amended by
     9  chapter 195 of the laws of 1980 and paragraph a as designated and  para-
    10  graph b as added by chapter 1047 of the laws of 1981, is amended to read
    11  as follows:
    12    6.  Loss  of good academic standing. [a.] If the recipient of an award
    13  fails to maintain good academic standing as defined by the  commissioner
    14  pursuant  to  article  thirteen  of this chapter, which definition shall
    15  include direction to institutions to establish standards  of  reasonable
    16  progress  toward  completion  of  the  program  in  which  a  student is
    17  enrolled, the president shall suspend further payments under  the  award
    18  until and unless the student shall establish, to the satisfaction of the
    19  commissioner,  promise of successful completion of the program for which
    20  the award is made, and the president may revoke the award if the recipi-
    21  ent is not reinstated in good academic standing within a reasonable time
    22  to be set by the commissioner.
    23    [b. Notwithstanding any law,  rule  or  regulation  to  the  contrary,
    24  department  of  education  regulation 145-2.2 filed April twenty-eighth,
    25  nineteen hundred eighty, shall apply  only  to  students  receiving  aid
    26  under  this  article  for  the  first  time  during school year nineteen
    27  hundred eighty-one--nineteen hundred eighty-two  or  thereafter,  except
    28  that  such  regulation  shall  not apply to students receiving aid under
    29  section six hundred sixty-seven-a of this chapter.]
    30    For  purposes  of  this  subdivision,  "reasonable   progress   toward
    31  completion  of  the  program"  shall  mean a student must complete, at a
    32  minimum, the  following  requirements  at  the  time  of  certification,
    33  provided nothing shall prevent a college from developing stricter stand-
    34  ards to measure reasonable progress:
    35    (i) For students first receiving aid in two thousand six--two thousand
    36  seven and enrolled in four-year or five-year undergraduate programs:
    37  Before Being  1st 2nd 3rd 4th 5th 6th 7th 8th 9th 10th
    38  Certified
    39  for This
    40  Payment

    41  A Student Must0   6   15  21  33  45  60  75  90  105
    42  Have Accrued at
    43  Least This
    44  Many Credits

    45  With At Least 0   1.3 1.5 1.7 2.0 2.0 2.0 2.0 2.0 2.0
    46  This Grade
    47  Point Average
    48    (ii)  For  students first receiving aid in two thousand six--two thou-
    49  sand seven and enrolled in two-year undergraduate programs:

    50  Before Being  1   2   3   4   5   6
    51  Certified
    52  for This
    53  Payment
        S. 6458                            88                            A. 9558

     1  A Student     0   6   12  18  30  45
     2  Must Have
     3  Accrued at
     4  Least This
     5  Many Credits

     6  With At Least 0   1.3 1.5 1.7 2.0 2.0
     7  This Grade Point
     8  Average
     9    §  7.  Subdivision  1 of section 667 of the education law, as added by
    10  chapter 83 of the laws of 1995, is amended to read as follows:
    11    1. Recipient qualifications.   Tuition assistance program  awards  are
    12  available for all students who are enrolled in approved programs and who
    13  demonstrate  the  ability  to  complete such courses, in accordance with
    14  standards established by the commissioner provided, however, that [no]:
    15    a. No award shall be made unless  tuition  (exclusive  of  educational
    16  fees) and, if applicable, the college fee levied by the state university
    17  of  New  York  pursuant  to the April first, nineteen hundred sixty-four
    18  financing agreements with the New York state dormitory authority charged
    19  for the program in which the student is  enrolled  total  at  least  two
    20  hundred  dollars a year, and [provided further that, no award can exceed
    21  ninety percent of the amount of tuition charged.]
    22    b. No award made pursuant to this section shall exceed eighty  percent
    23  of  the amount of the computed award if the student is registered for at
    24  least twelve credit hours but fewer than fifteen credit  hours,  or  its
    25  equivalent, during the current semester, or its equivalent, or completed
    26  fewer than fifteen credits hours, or its equivalent, during the previous
    27  semester,  or  its equivalent, except for students enrolled in a program
    28  of study subject  to  the  provisions  of  sections  sixty-four  hundred
    29  fifty-one or sixty-four hundred fifty-two of this chapter.
    30    §  8.  This  act  shall take effect immediately and shall be deemed to
    31  have been in full force and effect on and after April 1, 2006 and  shall
    32  apply to the academic years starting July 1, 2006 and thereafter.

    33                                   PART M

    34    Section  1.  Subparagraph  (iv)  of  paragraph (b) of subdivision 2 of
    35  section 425 of the real property tax law, as added by section 1 of  part
    36  B of chapter 389 of the laws of 1997, is amended to read as follows:
    37    (iv) For the two thousand one--two thousand two school year and there-
    38  after,  the  base  figure  shall  be fifty thousand dollars for eligible
    39  senior citizens, subject to the cost-of-living adjustment prescribed  by
    40  paragraph  (e-1)  of  this  subdivision, and thirty thousand dollars for
    41  other eligible persons.
    42    § 2. Subdivision 2 of section 425 of the  real  property  tax  law  is
    43  amended by adding a new paragraph (e-1) to read as follows:
    44    (e-1)  Cost of living adjustment. For the two thousand six - two thou-
    45  sand seven school year, the base figure for eligible senior citizens set
    46  forth in subparagraph (iv) of paragraph (b) of this subdivision shall be
    47  increased by thirteen and six-tenths percent;  provided,  however,  that
    48  whenever  a greater exemption would result from applying such percentage
    49  to the result obtained in paragraph (d) or (e) of this subdivision rath-
    50  er than to the base figure, such percentage shall be so applied to  such
    51  result  rather than to the base figure. For each subsequent school year,
    52  such base figure for eligible senior  citizens  shall  equal  the  prior
    53  year's  base figure multiplied by the inflation factor described in this
        S. 6458                            89                            A. 9558

     1  paragraph; provided, however, that whenever a  greater  exemption  would
     2  result  from  applying  such  inflation factor to the result obtained in
     3  paragraph (d) or (e) of this subdivision rather than to the base figure,
     4  such  percentage  shall  be so applied to such result rather than to the
     5  base figure.  The inflation factor to be used for this purpose shall  be
     6  the  percentage  increase  in  the  consumer  price index for urban wage
     7  earners and clerical workers (CPI-W)  published  by  the  United  States
     8  department  of  labor, bureau of labor statistics, for the third quarter
     9  of the calendar year preceding the applicable school year,  as  compared
    10  to the third quarter of the prior calendar year.
    11    § 3. Paragraph (f) of subdivision 2 of section 425 of the real proper-
    12  ty  tax  law, as added by section 1 of part B of chapter 389 of the laws
    13  of 1997, is amended to read as follows:
    14    (f) Rounding. The result obtained in paragraph (d) [or], (e) or  (e-1)
    15  of  this  subdivision,  whichever is applicable, shall be rounded to the
    16  nearest multiple of ten dollars,  and  shall  thereupon  be  the  exempt
    17  amount  for  the assessing unit for the levy of school district taxes on
    18  the corresponding assessment roll.
    19    § 4. This act shall take effect immediately and  shall  be  deemed  to
    20  have  been  in full force and effect on or after April 1, 2006 and shall
    21  apply to the administration of the school tax  relief  (STAR)  exemption
    22  authorized  by  section  425 of the real property tax law beginning with
    23  the 2006-07 school year.

    24                                   PART N

    25    Section 1. Subdivision 5 of section 481 of the general  business  law,
    26  as  amended by section 5 of part A of chapter 57 of the laws of 2005, is
    27  amended to read as follows:
    28    5. "Commissioner" means the commissioner of labor of the state of  New
    29  York,  except  that  any  reference  to the commissioner with respect to
    30  radioactive material, as defined in this article,  or  radiation  equip-
    31  ment,  as  defined  in this article, shall be a reference to the commis-
    32  sioner of health of the state of New York.
    33    § 2. Section 482 of the general business law, as  amended  by  chapter
    34  342  of  the  laws of 1977, subdivision 3 as added by chapter 569 of the
    35  laws of 1982, is amended to read as follows:
    36    § 482. Licensing and registration. 1. No individual shall use  lasers,
    37  operate  a crane or act as a blaster without holding a valid certificate
    38  of competence issued by the commissioner of labor.
    39    2. No person shall possess or use any radioactive material  without  a
    40  valid  license issued by the commissioner of health.  Every installation
    41  and mobile source consisting of radiation equipment shall be  registered
    42  with the commissioner of health.
    43    3. No employer, contractor or agent thereof shall knowingly permit any
    44  individual  to  use  lasers, operate a crane or act as a blaster without
    45  holding a valid certificate of competence issued by the commissioner  of
    46  labor.
    47    §  3.  Subdivision  1  of  section 483 of the general business law, as
    48  added by chapter 754 of the laws of 1975, is amended to read as follows:
    49    1. a.The commissioner of laboris hereby authorized and  directed  to
    50  prescribe  such rules and regulations as may be necessary and proper for
    51  the administration and enforcement  of  this  article  with  respect  to
    52  lasers, crane operators and blasters.
    53    b.  Pursuant  to  section two hundred twenty-five of the public health
    54  law, the public health council, subject to the approval of  the  commis-
        S. 6458                            90                            A. 9558

     1  sioner  of  health,  is hereby authorized and directed to prescribe such
     2  rules and regulations as may be necessary and proper  for  the  adminis-
     3  tration  and  enforcement  of  this  article with respect to radioactive
     4  material and radiation equipment.
     5    §  4.  Subdivision  1  of  section 484 of the general business law, as
     6  added by chapter 754 of the laws of 1975, is amended to read as follows:
     7    1. a.For the purpose of administering and enforcing the provisions of
     8  this article with respect to lasers, cranes and  blasters, the  commis-
     9  sioner  of laborshall have and may use all of the powers conferred upon
    10  him or her by the labor law, in addition to the powers conferred herein.
    11    b. For the purpose of administering and enforcing  the  provisions  of
    12  this  article  with respect to radioactive material and radiation equip-
    13  ment the commissioner of health shall have and may use all of the powers
    14  conferred upon him or her by the public health law, in addition  to  the
    15  powers conferred in this article.
    16    §  5.  Subdivision  1  of  section 485 of the general business law, as
    17  amended by chapter 342 of the laws  of  1977,  is  amended  to  read  as
    18  follows:
    19    1.  [This]  Except as otherwise provided in this article, this article
    20  shall not apply to the use or possession of lasers, radioactive material
    21  or radiation equipment which are subject to the  regulatory  powers  and
    22  jurisdiction  of the state department of health or the health department
    23  of the city of New York.
    24    § 6. Transfer of employees, records, and pending actions and continua-
    25  tion of rules. Upon the transfer of functions  from  the  department  of
    26  labor  to  the  department  of  health, provisions shall be made for the
    27  transfer to the department of health of those employees who are  engaged
    28  in  carrying  out  the  functions  transferred  pursuant  to this act in
    29  accordance with the provisions of section 70 of the civil  service  law.
    30  Such employees shall be transferred without further examination or qual-
    31  ification  and  shall  retain their respective civil service classifica-
    32  tions and status. Furthermore, all records relevant to  the  transferred
    33  functions shall be delivered from the department of labor to the depart-
    34  ment  of  health,  and  all rules, regulations and acts in effect at the
    35  time of the transfer, will remain in effect until duly modified or abro-
    36  gated by the commissioner of health.  Any existing contracts,  licenses,
    37  documents,  regulations,  or  pending  actions that relate to the trans-
    38  ferred program, shall be deemed to refer to the  department  of  health,
    39  rather than the department of labor.
    40    § 7. Transfer of appropriations. Subject to the approval of the direc-
    41  tor  of the budget, all appropriations heretofore made to the department
    42  of labor for the purposes and functions transferred by this act  to  the
    43  extent  remaining unexpended or unencumbered, whether allocated or unal-
    44  located and whether obligated or unobligated, are hereby made  available
    45  for  use  and  expenditure  by  the  department  of  health for the same
    46  purposes for which originally  appropriated  and  shall  be  payable  on
    47  vouchers  certified or approved by the commissioner of the department of
    48  health as the case may be on  audit  and  warrant  of  the  comptroller.
    49  Payments  for liabilities for expenses for personal service, maintenance
    50  and operation heretofore incurred by and for liabilities incurred and to
    51  be incurred in completing the affairs of the department  of  labor  with
    52  respect  to  the  powers, duties and functions transferred herein, shall
    53  also be made on vouchers or certificates approved by the commissioner of
    54  the department of health on audit and warrant of the comptroller.
    55    § 8. Transfer of functions. The  commissioner  of  the  department  of
    56  health  and  the commissioner of the department of labor shall implement
        S. 6458                            91                            A. 9558

     1  the orderly transfer of functions and responsibilities pursuant to  this
     2  act as soon as practicable. The commissioner of the department of health
     3  is  authorized to enter into temporary agreements with the department of
     4  labor  as  may be deemed necessary, to continue certain arrangements for
     5  the administration of the transferred functions, pending full  implemen-
     6  tation of the transfer, so as to prevent the disruption of the program.
     7    §  9. Interchange authority. Notwithstanding the provisions of any law
     8  to the contrary, the director of the budget is authorized to transfer to
     9  the department of health funds otherwise appropriated to the  department
    10  of  labor  for  the  direct support or the administration of the program
    11  transferred pursuant to this act.
    12    § 10. This act shall take effect July 1, 2006.

    13                                   PART O

    14    Section 1. Subdivision 3 of section 903 of the labor law,  as  amended
    15  by chapter 190 of the laws of 1990, is amended to read as follows:
    16    3.  The  renewal fee for an asbestos handling license shall be [three]
    17  five hundred dollars, which shall accompany each license renewal  appli-
    18  cation.
    19    §  2.  Subdivision  5  of  section 903 of the labor law, as amended by
    20  section 9 of part A of chapter 57 of the laws of  2004,  is  amended  to
    21  read as follows:
    22    5.  The  fee for an asbestos handling certificate shall be assessed in
    23  accordance with the  following  and  shall  accompany  each  certificate
    24  application.
    25                                                            Application
    26     Schedule: Asbestos Handling Certificate Category          Fee

    27     Management Planner                                       $150
    28     Project Designer                                          150
    29     Project Monitor                                          150
    30     Inspector                                                 100
    31     Air [Monitor] Sampling Technician                         75
    32     Supervisor                                                 75
    33     Asbestos Handler (Worker)                                 50
    34     Operation and Maintenance                                  50
    35     Restricted Handler (Allied Trades)                        50

    36    § 3. This act shall take effect immediately.

    37                                   PART P

    38    Section  1. Subparagraphs (i) and (ii) of paragraph (a) of subdivision
    39  11 of section 390 of the social services law, as amended by chapter  416
    40  of the laws of 2000, are amended to read as follows:
    41    (i) The office of children and family services shall adopt regulations
    42  establishing civil penalties of no more than [five hundred] one thousand
    43  dollars  per  day  to be assessed against child day care centers, school
    44  age child care programs, group family day care homes or family day  care
    45  homes  for  violations  of this section, sections three hundred ninety-a
    46  [and],three hundred ninety-b, three hundred ninety-c (as added by chap-
    47  ter four hundred sixty of the laws of two  thousand)  or  three  hundred
    48  ninety-d of this title,and any regulations promulgated thereunder. The
    49  regulations establishing civil penalties shall  specify  the  violations
    50  subject to penalty.
        S. 6458                            92                            A. 9558

     1    (ii)  The  office  of  children  and family services shall adopt regu-
     2  lations establishing civil penalties of no more than [five hundred]  one
     3  thousand dollars per day to be assessed against child day care providers
     4  who  operate child day care centers or group family day care homes with-
     5  out  a  license  or  who operate family day care homes, school-age child
     6  care programs, or child day care centers required to be registered with-
     7  out obtaining such registration.
     8    § 2. Subdivision 2 of section 460-a of  the  social  services  law  is
     9  REPEALED and subdivisions 3 and 4 are renumbered subdivisions 2 and 3.
    10    §  3.  Paragraph (d) of section 201 of the business corporation law is
    11  REPEALED and a new paragraph (d) is added to read as follows:
    12    (d) A corporation whose statement of  purposes  specifically  includes
    13  the  establishment or operation of a child day care center, as that term
    14  is defined in section three hundred ninety of the social  services  law,
    15  shall provide a certified copy of the certificate of incorporation, each
    16  amendment  thereto,  and  any  certificate  of  merger, consolidation or
    17  dissolution involving such corporation to the  office  of  children  and
    18  family services within thirty days after the filing of such certificate,
    19  amendment,  merger,  consolidation or dissolution with the department of
    20  state. This requirement shall also  apply  to  any  foreign  corporation
    21  filing an application for authority under article thirteen of this chap-
    22  ter,  any  amendments  thereto, and any surrender of authority or termi-
    23  nation of authority in this state of such corporation.
    24    § 4. Section 405 of the business corporation law is REPEALED.
    25    § 5. Paragraph (b) of section 404 of  the  not-for-profit  corporation
    26  law,  as  amended  by  chapter 139 of the laws of 1993 and relettered by
    27  chapter 431 of the laws of 1993, is amended to read as follows:
    28    (b) (1)Every certificate of incorporation which  includes  among  its
    29  purposes  the  care  of  destitute,  delinquent, abandoned, neglected or
    30  dependent children; [the establishment or operation of a day care center
    31  for children; the establishment or operation  of  day  care  development
    32  programs  which are funded pursuant to section three hundred ninety-a of
    33  the social services law;] the establishment or operation  of  any  [aged
    34  care  accommodation,  or]  adult  care facility, or the establishment or
    35  operation of a residential program for victims of domestic  violence  as
    36  defined  in subdivision four of section four hundred fifty-nine-a of the
    37  social services law, or the placing-out or boarding-out of children or a
    38  home or shelter for unmarried mothers, excepting  the  establishment  or
    39  maintenance  of a hospital or facility providing health-related services
    40  as those terms are defined in article twenty-eight of the public  health
    41  law  and  a  facility  for which an operating certificate is required by
    42  articles sixteen, nineteen, [twenty-three] twenty-two and thirty-one  of
    43  the  mental  hygiene  law;  or the solicitation of contributions for any
    44  such purpose or purposes, shall have endorsed thereon or annexed thereto
    45  the approval of the commissioner of [social] the office of children  and
    46  family services or with respect to any adult care facility, the commis-
    47  sioner of health.
    48    (2) A corporation whose statement of  purposes  specifically  includes
    49  the  establishment or operation of a child day care center, as that term
    50  is defined in section three hundred ninety of the social  services  law,
    51  shall provide a certified copy of the certificate of incorporation, each
    52  amendment  thereto,  and  any  certificate  of  merger, consolidation or
    53  dissolution involving such corporation to the  office  of  children  and
    54  family services within thirty days after the filing of such certificate,
    55  amendment,  merger,  consolidation or dissolution with the department of
    56  state. This requirement shall also  apply  to  any  foreign  corporation
        S. 6458                            93                            A. 9558

     1  filing  an application for authority under section thirteen hundred four
     2  of this chapter, any amendments thereto, and any surrender of  authority
     3  or termination of authority in this state of such corporation.
     4    §  6.  Section 804 of the not-for-profit corporation law is amended by
     5  adding a new paragraph (e) to read as follows:
     6    (e) Notwithstanding any law to the contrary, a certificate  of  amend-
     7  ment  of a corporation whose statement of purposes specifically includes
     8  the establishment or operation of a child day care center, as that  term
     9  is  defined  in section three hundred ninety of the social services law,
    10  shall provide a certified copy of such  certificate  to  the  office  of
    11  children and family services within thirty days after the filing of such
    12  certificate with the department of state.
    13    §  7.  Section 909 of the not-for-profit corporation law is amended to
    14  read as follows:
    15  § 909. Consent to filing.
    16    If the purposes of any constituent or consolidated  corporation  would
    17  require  the  approval or consent of any governmental body or officer or
    18  any other person or body under section 404 (Approvals and  consents)  no
    19  certificate  of  merger or consolidation shall be filed pursuant to this
    20  article unless such approval or consent is endorsed thereon  or  annexed
    21  thereto. A corporation whose statement of purposes specifically includes
    22  the  establishment or operation of a child day care center, as that term
    23  is defined in section three hundred ninety of the social  services  law,
    24  shall  provide  a certified copy of any certificate of merger or consol-
    25  idation involving such corporation to the office of children and  family
    26  services  within  thirty days after the filing of such merger or consol-
    27  idation with the department of state.
    28    § 8. Subparagraph 1 of paragraph (b) of section 1003 of  the  not-for-
    29  profit  corporation  law, as amended by chapter 726 of the laws of 2005,
    30  is amended to read as follows:
    31    (1) By a governmental body or officer, if such approval is required. A
    32  corporation whose statement of purposes specifically includes the estab-
    33  lishment or operation of a child  day  care  center,  as  that  term  is
    34  defined  in  section  three  hundred  ninety of the social services law,
    35  shall provide a certified copy of any certificate of dissolution involv-
    36  ing such corporation to the office of children and family services with-
    37  in thirty days after the filing of such dissolution with the  department
    38  of state.
    39    §  9.  Subparagraph 9 of paragraph (a) of section 1304 of the not-for-
    40  profit corporation law, as added by chapter 961 of the laws of 1972  and
    41  as  renumbered by chapter 590 of the laws of 1982, is amended to read as
    42  follows:
    43    (9) Any provision required by any  governmental  body  or  officer  or
    44  other  person  or body as a condition for giving the consent or approval
    45  required for the filing of such application for authority, provided such
    46  provision is not inconsistent with this chapter or any other statute  of
    47  this state. A corporation whose statement of purposes to be conducted in
    48  this  state  specifically  includes  the establishment or operation of a
    49  child day care center, as that term is defined in section three  hundred
    50  ninety of the social services law, shall provide a certified copy of any
    51  application  for  authority  and  any  amendment  thereto involving such
    52  corporation to the office of children and family services within  thirty
    53  days  after the filing of such application or amendment with the depart-
    54  ment of state.
    55    § 10. Subdivision 3 of section 97-www of the  state  finance  law,  as
    56  added by chapter 416 of the laws of 2000, is amended to read as follows:
        S. 6458                            94                            A. 9558

     1    3.  Moneys  of  the  quality child care and protection fund, following
     2  appropriation by the legislature and allocation by the director  of  the
     3  budget,  shall  be  made  available to the commissioner of the office of
     4  children and family services to provide grants to child day care provid-
     5  ers for health and safety purposes [and], for training of child day care
     6  provider  staff and other activities to increase the availability and/or
     7  quality of child care programs.
     8    § 11. A corporation in existence as of the effective date of this  act
     9  whose  purposes  include  the  establishment  or operation of a day care
    10  center for children, as that term is used in  the  business  corporation
    11  law  or  not-for-profit corporation law, shall not be required to obtain
    12  the approval of the office of children and family services in  order  to
    13  file  a  certificate of amendment to the certificate of incorporation of
    14  such corporation where the amendment is for the purpose of amending  the
    15  authority  to  establish  or  operate  a  day  care center for children,
    16  notwithstanding any provisions to the contrary that may be  included  in
    17  the  certificate  of  incorporation  or certificate of amendment of such
    18  corporation, unless the certificate of  amendment  would  also  amend  a
    19  purpose mentioned in section 460-a of the social services law or section
    20  404 of the not-for-profit corporation law, or section 405-a of the busi-
    21  ness  corporation  law;  provided  a  corporation in existence as of the
    22  effective date of this act whose purposes include the  establishment  or
    23  operation of a day care center for children, as that term is used in the
    24  business  corporation  law  or the not-for-profit corporation law, shall
    25  not be required to obtain the approval of the  office  of  children  and
    26  family  services in order to file a certificate of merger, consolidation
    27  or dissolution, notwithstanding any provisions to the contrary that  may
    28  be included in the certificate of incorporation or certificate of amend-
    29  ment  of  such  corporation, unless the purposes of the corporation also
    30  include a purpose mentioned in section 460-a of the social services law,
    31  section 404 of the not-for-profit corporation law or  section  405-a  of
    32  the business corporation law; a foreign corporation with authority to do
    33  business  in  the state of New York as of the effective date of this act
    34  whose purposes to be conducted in New York include the establishment  or
    35  operation of a day care center for children, as that term is used in the
    36  business  corporation  law  or the not-for-profit corporation law, shall
    37  not be required to obtain the approval of the  office  of  children  and
    38  family  services  in order to amend such authority, where such amendment
    39  is for the purpose of amending the authority to establish or  operate  a
    40  day  care  center  for  children,  notwithstanding any provisions to the
    41  contrary that may be included  in  such  corporation's  application  for
    42  authority,  unless the amendment would also amend a purpose mentioned in
    43  section 460-a of the social services law or section 404 of the  not-for-
    44  profit  corporation  law,  or  section 405-a of the business corporation
    45  law.
    46    § 12. This act shall take effect immediately; provided, however,  that
    47  section  eight of this act shall take effect on the same date and in the
    48  same manner as section 7 of chapter 726  of  the  laws  of  2005,  takes
    49  effect.

    50                                   PART Q

    51    Section 1. Subdivision 1 and paragraph (c) of subdivision 6 of section
    52  341  of  the social services law, as amended by section 148 of part B of
    53  chapter 436 of the laws of 1997, are amended to read as follows:
        S. 6458                            95                            A. 9558

     1    1. (a)Consistent with federal law and regulations and this title,  if
     2  a  participant  has failed or refused to comply with the requirements of
     3  this title, the social services district shall issue a notice indicating
     4  that such failure or refusal has taken place, the effect of such noncom-
     5  pliance  on  the participant's public assistance and child care benefits
     6  and of the right of such participant to  conciliation  conducted  by  an
     7  independent  entity  or individual with no direct responsibility for the
     8  noncompliant individual's case to resolve the reasons for  such  failure
     9  or  refusal.  The notice shall also indicate that the noncompliant indi-
    10  vidual may provide evidence at  the  conciliation  conference  that  may
    11  warrant an exemption from work requirements including domestic violence,
    12  physical  health  or mental health limitations that prevented compliance
    13  with work activities, and that if the district determines the noncompli-
    14  ance was with good cause, no action shall be taken to reduce the  house-
    15  hold's  assistance.  The notice shall also indicate that services may be
    16  available to help the individual overcome  barriers  to  employment  and
    17  shall  explain  the  benefits  of  compliance  with program requirements
    18  including the availability of  guaranteed  child  care  benefits.  These
    19  factors  shall  also be discussed with the individual during the concil-
    20  iation conference.
    21    (b)The notice shall indicate that the  participant  has  [seven]  ten
    22  days to request conciliation with the district regarding such failure or
    23  refusal  [in  the  case  of a safety net participant and ten days in the
    24  case of a family assistance participant]. Provided however, that  for  a
    25  member  of  a  household  with dependent children who does not request a
    26  conciliation conference within the ten day period, the  social  services
    27  official  shall  make  an  additional  effort  to contact the household,
    28  including a reasonable attempt for telephone contact, to  offer  concil-
    29  iation  and  indicate  that  the  participant  has seven days to request
    30  conciliation. If the participant does not contact  the  district  within
    31  the  specified  number of days, the district shall issue ten days notice
    32  of intent to discontinue or reduce public assistance and, if applicable,
    33  of the intent to discontinue or reduce child care benefits, pursuant  to
    34  regulations  of  the department and indicate that the noncompliant indi-
    35  vidual may provide evidence to the social  services  official  that  may
    36  warrant an exemption from work requirements including domestic violence,
    37  physical  health  or mental health limitations that prevented compliance
    38  with work requirements. The notice shall also indicate that services may
    39  be available to help the individual overcome barriers to employment, and
    40  shall explain the  benefits  of  compliance  with  program  requirements
    41  including  the  availability  of  guaranteed  child  care benefits. Such
    42  notice shall also include a statement of the participant's  right  to  a
    43  fair  hearing  relating  to  such  discontinuance  or reduction. If such
    44  participant contacts the district within [seven days in the  case  of  a
    45  safety  net  participant  or  within  ten  days  in the case of a family
    46  assistance participant] the specified number of days to request  concil-
    47  iation, it will be the responsibility of the participant to give reasons
    48  for  such failure or refusal. Unless the district determines as a result
    49  of such conciliation process that such failure or refusal  was  [willful
    50  and  was]  without  good cause, no further action shall be taken. If the
    51  district determines that such failure or refusal was [willful and] with-
    52  out good cause, the district shall notify such participant in writing by
    53  issuing ten days notice of its intent to discontinue  or  reduce  public
    54  assistance and, if applicable, its intent to discontinue or reduce child
    55  care  benefits,  including the reasons for such determination,and indi-
    56  cate that the noncompliant individual may  provide  information  to  the
        S. 6458                            96                            A. 9558

     1  social  services  official  that  may  warrant  an  exemption  from work
     2  requirements including domestic  violence,  physical  health  or  mental
     3  limitations that prevented compliance with work requirements. The notice
     4  shall  also indicate that services may be available to help the individ-
     5  ual overcome barriers to employment, and shall explain the  benefits  of
     6  compliance with program requirements including the availability of guar-
     7  anteed child care benefits. The notice shall indicate the individual has
     8  the  right  to  a  fair  hearing  relating  to  such  discontinuance  or
     9  reduction. Unless extended by mutual agreement of  the  participant  and
    10  the  district, conciliation shall terminate and a determination shall be
    11  made within fourteen days of the date a request for conciliation is made
    12  [in the case of a safety net participant or within thirty  days  of  the
    13  conciliation notice in the case of a family assistance participant].
    14    (c)  the  participant  meets other grounds for good cause set forth by
    15  the department in its implementation plan for this  title  which,  at  a
    16  minimum, must describe what circumstances beyond the household's control
    17  will  constitute  "good  cause"  including, but not limited to, domestic
    18  violence concerns.
    19    § 2. Section 342 of the social services law, as added by  section  148
    20  of  part  B  of  chapter  436 of the laws of 1997, is amended to read as
    21  follows:
    22    § 342. Noncompliance with the requirements  of  this  title.  1.    In
    23  accordance with the provisions of this section the household of an indi-
    24  vidual who is required to participate in work activities shall be ineli-
    25  gible  to receive the full amount of public assistance otherwise payable
    26  if he or she fails to comply, without good cause, with the  requirements
    27  of  this title.   Such ineligibility shall be for the amount and periods
    28  specified in this section. Good cause for failing  to  comply  with  the
    29  requirements  of  this title shall be defined in department regulations,
    30  provided, however, that the parent or  caretaker  relative  of  a  child
    31  under  thirteen  years  of age shall not be subject to the ineligibility
    32  provisions of this section if the individual can demonstrate, in accord-
    33  ance with the regulations of the office of children and family  services
    34  [department], that lack of available child care prevents such individual
    35  from  complying  with the work requirements of this title. The parent or
    36  caretaker relative shall be responsible  for  locating  the  child  care
    37  needed  to meet the work requirements; provided, however, that the rele-
    38  vant social services district shall provide a parent or caretaker  rela-
    39  tive  who  demonstrates  an inability to obtain needed child care with a
    40  choice of two providers, at least one  of  which  will  be  a  regulated
    41  provider.
    42    2.  At the time of a pro-rata reduction of the public assistance bene-
    43  fits otherwise available to  a  household  with  dependent  children  in
    44  accordance  with  subdivision three of this section, the social services
    45  official shall send a notice  indicating  that  continued  noncompliance
    46  will  result  in  closure  of  the public assistance case and inform the
    47  individual of the effect of continued noncompliance on  the  receipt  of
    48  child  care  benefits.  The  notice shall indicate that the noncompliant
    49  individual may provide information that may warrant  an  exemption  from
    50  work requirements including domestic violence, physical health or mental
    51  health  limitations  that prevented compliance with work activities. The
    52  notice shall also indicate that services may be available  to  help  the
    53  individual  overcome  barriers to employment and explain the benefits of
    54  compliance with program requirements including the availability of guar-
    55  anteed child care benefits.
        S. 6458                            97                            A. 9558

     1    3.In the case of an applicant for or recipient of  public  assistance
     2  who  is a parent or [caretaker of] member of a household that includesa
     3  dependent child the public assistance benefits  otherwise  available  to
     4  the  household  of  which  such individual is a member shall be [reduced
     5  pro-rata]:
     6    (a)  for  the  first  instance of failure to comply without good cause
     7  with the requirement of this article, reduced pro-ratauntil  the  indi-
     8  vidual  is  willing  to comply; provided that if the individual does not
     9  comply within two months of the imposition of the  sanction  the  social
    10  services  district  shall  terminate all assistance to the household and
    11  close the case;
    12    (b) for the second instance of failure to comply  without  good  cause
    13  with the requirements of this article, [for a period of three months and
    14  thereafter]  terminated  and case closed until the individual is willing
    15  to comply;
    16    (c) for the third [and all subsequent instances] instance of  failure
    17  to  comply  without  good  cause  with the requirements of this article,
    18  terminated and case closed for a period of [six] three months and there-
    19  after or until the individual is willing to comply, whichever period  of
    20  time is longer;
    21    (d)  for  the fourth and all subsequent instances of failure to comply
    22  without good cause with the requirements of this article, terminated and
    23  the case closed for a period of six months and thereafter or  until  the
    24  individual is willing to comply, whichever period of time is longer.
    25    [3]  4.  In  the  case of an individual who is a member of a household
    26  without dependent children applying for or  in  receipt  of  safety  net
    27  assistance  the  public  assistance  benefits otherwise available to the
    28  household of which such individual is a member shall  be  [reduced  pro-
    29  rata]:
    30    (a)  for the first such failure or refusal, reduced pro-ratauntil the
    31  failure or refusal ceases or ninety days, [which ever] whichever period
    32  of time is longer; provided that if the individual does not comply with-
    33  in  two  months  of  the imposition of the sanction, the social services
    34  district shall terminate all assistance to the household and  close  the
    35  case;
    36    (b) for the second such failure or refusal, terminated and case closed
    37  until the failure ceases or for one hundred fifty days, whichever period
    38  of time is longer; and
    39    (c) for the third and all subsequent such failures or refusals, termi-
    40  nated and the case closed until the failure ceases or one hundred eighty
    41  days, whichever period of time is longer.
    42    [4.]  5. With respect to the sanctions set forth in subdivisions three
    43  and four of this section, if the individual complies with  the  require-
    44  ment  of  this  article  within the minimum sanction durations set forth
    45  above, the household shall receive a  pro-rata  reduced  grant  for  the
    46  remaining  minimum  period  in  those instances where a minimum duration
    47  applies, provided the household is otherwise eligible. Continued compli-
    48  ance after the minimum duration shall restore  the  grant  to  the  full
    49  amount.
    50    6. A  recipient  of public assistance who quits or reduces his or her
    51  hours of employment without good  cause  shall  be  considered  to  have
    52  failed  to  comply  with  the  requirements of this article and shall be
    53  subject to the provisions of this section.
    54    [5] 7.  A person described in paragraph (b) of  subdivision  seven  of
    55  section  one hundred fifty-nine of this chapter may not be sanctioned if
        S. 6458                            98                            A. 9558

     1  his or her failure to comply with requirements of this title are related
     2  to his or her health status.
     3    §  3.  Subdivision  10  of  section 131 of the social services law, as
     4  amended by section 42 of part B of chapter 436 of the laws of  1997,  is
     5  amended to read as follows:
     6    10.  Any applicant who voluntarily terminated his or her employment or
     7  voluntarily reduced his or her earning capacity for the purpose of qual-
     8  ifying  for  public  assistance  or  a  larger  amount thereof shall [be
     9  disqualified from receiving such assistance] have the public  assistance
    10  benefits  otherwise  available to the household of which such individual
    11  is a member reduced pro-rata for ninety days from  such  termination  or
    12  reduction,  unless  otherwise required by federal law or regulation. Any
    13  applicant who applies for public assistance  within  ninety  days  after
    14  voluntarily  terminating  his  or  her employment or reducing his or her
    15  earning capacity shall, unless otherwise  required  by  federal  law  or
    16  regulation,  be deemed to have voluntarily terminated his or her employ-
    17  ment or reduced his or her earning capacity for the purpose of  qualify-
    18  ing  for  such  assistance or a larger amount thereof, in the absence of
    19  evidence to the contrary supplied by such person.
    20    § 4. This act shall take effect immediately and  shall  be  deemed  to
    21  have been in full force and effect on and after April 1, 2006.

    22                                   PART R

    23    Section  1.  Subparagraph  (iii)  of paragraph (a) of subdivision 8 of
    24  section 131-a of the social services law is REPEALED and a new  subpara-
    25  graph (iii) is added to read as follows:
    26    (iii) fifty percent of the earned income for such month of any recipi-
    27  ent  in  a  household  containing  a dependent child which remains after
    28  application of all other subparagraphs of  this  paragraph;  reduced  to
    29  twenty-five  percent with respect to households that contain a recipient
    30  who has received assistance for a cumulative period of sixty  months  or
    31  more  after December thirty-first, nineteen hundred ninety-six; provided
    32  further, that no assistance shall be given to any household  with  gross
    33  earned  and  unearned  income, exclusive of income described in subpara-
    34  graphs (i) and (vi) of this paragraph, in excess of the  poverty  guide-
    35  lines of the United States Bureau of the Census.
    36    §  2.  This  act  shall take effect immediately and shall be deemed to
    37  have been in full force and effect on and after April 1, 2006, and shall
    38  affect grants and allowances provided on and after October 1, 2006.

    39                                   PART S

    40    Section 1. Subdivision 10 of section 159 of the social  services  law,
    41  as  amended  by  chapter  713 of the laws of 2005, is amended to read as
    42  follows:
    43    10. Social services [district] districts providing safety net  assist-
    44  ance to persons receiving care as defined in paragraphs (c), (d) and (e)
    45  of subdivision three of section two hundred nine of [the social services
    46  law]  this article shall pay such facility at the rate provided for care
    47  and maintenance under the supplemental security income program for bene-
    48  ficiaries of that program in the same facility, less the amount  of  any
    49  personal  needs allowance included in the supplemental security program.
    50  In addition,  social  services  districts  shall  provide  such  persons
    51  receiving  safety  net  assistance and care as defined in paragraphs (c)
    52  and (e) of subdivision three of section two hundred nine of this article
        S. 6458                            99                            A. 9558

     1  with a personal needs allowance in the amount included  in  the  supple-
     2  mental  security payment level as a personal needs allowance for recipi-
     3  ents of that program residing in  the  particular  facility;  and  shall
     4  provide such persons receiving safety net assistance and care as defined
     5  in  paragraph  (d)  of  subdivision three of section two hundred nine of
     6  this article with a personal needs allowance of forty-five  dollars  per
     7  month.
     8    §  2.  This  act shall take effect on the first day of the first month
     9  which begins not sooner than sixty days after enactment.

    10                                   PART T

    11    Section 1. Subdivision 1 of section 131-a of the social services  law,
    12  as  amended  by section 12 of part B of chapter 436 of the laws of 1997,
    13  is amended to read as follows:
    14    1. Any inconsistent provision of this chapter or  other  law  notwith-
    15  standing,  social  services  officials  shall,  in  accordance  with the
    16  provisions of this section and regulations of  the  department,  provide
    17  public  assistance  to  needy persons who constitute or are members of a
    18  family household, who are determined to be eligible in  accordance  with
    19  standards  of  need  established  in  subdivision  two  of this section.
    20  Provision for such persons, for all items of need,  less  any  available
    21  income  or  resources  which are not required to be disregarded by other
    22  provisions of this chapter,  shall  be  made  in  accordance  with  this
    23  section.  Such provision shall be made in monthly or semi-monthly allow-
    24  ances and grants within the limits of the schedules included in subdivi-
    25  sion three of this section,except for additional amounts which shall be
    26  included therein for shelter, fuel for heating, additional cost of meals
    27  for persons who are unable to prepare meals at home,and for other items
    28  for which specific provision is otherwise made in article five  of  this
    29  chapter,  and except that, where a household is living together with one
    30  or more persons in receipt of supplemental security income who are clas-
    31  sified by the federal social security administration  as  living  alone,
    32  the  amount  in  such schedule shall be apportioned pro rata. As used in
    33  this section the term "shelter" may include a grant not  to  exceed  two
    34  thousand  five  hundred  dollars toward the purchase of an interest in a
    35  cooperative. A social services  official  shall  require  assignment  of
    36  recipient's  equity  in  such cooperative housing in accordance with the
    37  rules of the board and regulations of the department.
    38    § 2. This act shall take effect April  1,  2006  and  shall  apply  to
    39  grants paid on and after October 1, 2006.

    40                                   PART U

    41    Section  1.  Section  606  of  the  tax law is amended by adding a new
    42  subsection (d-1) to read as follows:
    43    (d-1) Enhanced earned income tax credit. (1) In  lieu  of  the  credit
    44  provided  for in subsection (d) of this section, a taxpayer described in
    45  paragraph two of this subsection shall be allowed a credit equal to  the
    46  product  of  four  and  the  amount of the earned income tax credit that
    47  would have been allowed to the taxpayer under section 32 of the internal
    48  revenue code if the taxpayer satisfied the eligibility requirements  set
    49  forth in section 32(c) (1) (A) (ii) of such code.
    50    (2)  To  be  allowed  a  credit under this subsection, a taxpayer must
    51  satisfy all of the following qualifications.
    52    (A) The taxpayer must be a resident taxpayer.
        S. 6458                            100                           A. 9558

     1    (B) The taxpayer must be between the ages of eighteen through  thirty-
     2  five.
     3    (C)  The  taxpayer  must  be the parent of a minor child with whom the
     4  taxpayer does not reside.
     5    (D) The taxpayer must have an order requiring him or her to make child
     6  support payments, which are payable through a  support  collection  unit
     7  established  pursuant  to  section  one  hundred  eleven-h of the social
     8  services law, which order must have been in effect for at least one half
     9  of the taxable year.
    10    (E) The taxpayer must have paid an amount  in  child  support  in  the
    11  taxable  year  at least equal to the amount of current child support due
    12  during the taxable year.
    13    (3) If the amount of the credit allowed under  this  subsection  shall
    14  exceed  the taxpayer's tax for such year, the excess shall be treated as
    15  an overpayment of tax to be credited or refunded in accordance with  the
    16  provisions  of section six hundred eighty-six of this article, provided,
    17  however, that no interest shall be paid thereon.
    18    (4) No claim for credit under this subsection shall be allowed  unless
    19  the  department has verified, from information provided by the office of
    20  temporary and disability assistance, that a taxpayer has  satisfied  the
    21  qualifications  set forth in subparagraphs (C), (D) and (E) of paragraph
    22  two of this subsection. The office of temporary and  disability  assist-
    23  ance  shall  provide to the department by January fifteenth of each year
    24  information applicable for the immediately preceding tax year  necessary
    25  for the department to make such verification.  Such information shall be
    26  provided  in  the manner and form agreed upon by the department and such
    27  office.  If a taxpayer's claim for a credit  under  this  subsection  is
    28  disallowed because the taxpayer has not satisfied the qualifications set
    29  forth  in  subparagraphs  (C),  (D)  and  (E)  of  paragraph two of this
    30  subsection, the taxpayer may request a review of those qualifications by
    31  the support collection unit established pursuant to section one  hundred
    32  eleven-h  of  the  social  services  law through which the child support
    33  payments were payable. The support collection unit  shall  transmit  the
    34  result  of that review to the office of temporary and disability assist-
    35  ance on a form developed by such office. Such office shall then transmit
    36  such result to the department in a manner agreed upon by the  department
    37  and such office.
    38    (5)  A  taxpayer  shall  not  be  allowed  multiple credits under this
    39  subsection for a taxable year even if such taxpayer has  more  than  one
    40  child  or  has  more  than  one order requiring him or her to make child
    41  support payments.
    42    (6) In the report prepared pursuant to paragraph seven  of  subsection
    43  (d) of this section, the commissioner shall include statistical informa-
    44  tion  concerning  the  credit  allowed pursuant to this subsection. Such
    45  information shall be limited to the number of credits  and  the  average
    46  amount  of such credits allowed; and of those, the number of credits and
    47  the average amounts of such credits allowed to taxpayers in each county.
    48    § 2. Section 111-c of the social services law is amended by  adding  a
    49  new subdivision 4 to read as follows:
    50    4.  a.  Notwithstanding the foregoing and subject to the exception set
    51  forth in paragraph b of  this  subdivision,  the  enforcement  of  child
    52  support  arrears/past-due  support owed to the state and social services
    53  district by a non-custodial parent shall be suspended if  the  custodial
    54  and  non-custodial  parents  provide  satisfactory  proof to the support
    55  collection unit that they  are  currently  married  to  each  other  and
    56  currently  reside  together  in the same household with the child who is
        S. 6458                            101                           A. 9558

     1  the subject of the order.  In addition, the non-custodial  parent  shall
     2  provide  satisfactory  proof  that  an  order of protection has not been
     3  granted against the non-custodial parent with respect to  the  custodial
     4  parent  or  the child within the last five years. A sworn affidavit from
     5  the non-custodial parent may be provided to  meet  the  requirement  for
     6  satisfactory proof that no order of protection has been granted.
     7    b.  The  enforcement of child support arrears/past due support owed to
     8  the state and social services district by a non-custodial  parent  shall
     9  not  be suspended under paragraph a of this subdivision in the event the
    10  custodial parent was, with respect to the non-custodial parent or child,
    11  (i) determined to have good cause for refusal to  cooperate  with  child
    12  support  enforcement requirements because of the expectation of physical
    13  or emotional harm of a serious nature to the custodial parent or  child;
    14  (ii)  granted  a  domestic  violence  waiver  pursuant  to section three
    15  hundred forty-nine-a of this chapter;  or  (iii)  granted  an  order  of
    16  protection.
    17    c. Suspension of the enforcement of any child support arrears/past-due
    18  support pursuant to this subdivision shall terminate, and enforcement of
    19  such arrears/past-due support shall commence, upon the occurrence of any
    20  one  of  the  following: (i) the parties no longer reside together; (ii)
    21  the parties separate; (iii) the parties divorce;  or  (iv)  any  of  the
    22  conditions set forth in paragraph b of this subdivision are met.
    23    d.  Nothing  contained  in  this  subdivision  shall require the local
    24  social services district to commence activities to  establish  paternity
    25  or  obtain  child  support  where  such  activities  would  otherwise be
    26  suspended because of an active  good  cause  determination  or  domestic
    27  violence waiver.
    28    §  3.  Section  440 of the family court act is amended by adding a new
    29  subdivision 7 to read as follows:
    30    7. When issuing an order of support  under  this  part  on  behalf  of
    31  persons  who  are applicants for or recipients of public assistance, the
    32  court may require the respondent, if the  respondent  is  unemployed  or
    33  underemployed,  to  participate  in  work activities as defined in title
    34  nine-B of article five of the social services law, provided such  activ-
    35  ities  are  available.  Those respondents ordered to participate in work
    36  activities under this subdivision need not be applicants for or  recipi-
    37  ents of public assistance.
    38    §  4. The social services law is amended by adding a new section 335-c
    39  to read as follows:
    40    § 335-c. Pilot programs.   From the  funds  specifically  appropriated
    41  therefor  the  commissioner  of  the  office of temporary and disability
    42  assistance in cooperation with the commissioner of the office  of  chil-
    43  dren and family services may conduct pilot programs in up to five social
    44  services  districts to provide intensive employment and other supportive
    45  services to non-custodial parents who are unemployed  or  underemployed;
    46  who  are recipients of public assistance or whose income does not exceed
    47  two hundred percent of the federal poverty level; and who have  a  child
    48  support  order payable through the support collection unit as created by
    49  section one hundred eleven-h of  this  chapter  or  have  had  paternity
    50  established  for his or her child and a court proceeding has been initi-
    51  ated to obtain an order of child support, and the custodial or  non-cus-
    52  todial  parent  is  receiving  child  support  services through a social
    53  services district. The  pilot  programs  shall  have  as  one  component
    54  parenting education for the non-custodial parents. Non-custodial parents
    55  shall  be  required to attend such parenting education as a condition of
    56  participating in the pilot programs.
        S. 6458                            102                           A. 9558

     1    § 5. This act shall take effect immediately, except that  section  one
     2  of  this  act shall apply to taxable years beginning on or after January
     3  1, 2006 and before January 1, 2013.

     4                                   PART V

     5    Section 1. Subdivision 17 of section 153 of the social services law is
     6  REPEALED and a new subdivision 17 is added to read as follows:
     7    17. From an amount specifically appropriated therefor, the commission-
     8  er  of  the  office of temporary and disability assistance shall provide
     9  additional enhanced reimbursement for administration of  income  mainte-
    10  nance, food stamps, and employment programs to social services districts
    11  which  meet  the work participation rates set forth in subdivision seven
    12  of section three hundred thirty-five-b of this chapter.   The amount  of
    13  reimbursement available to each social services district shall be estab-
    14  lished  by  the  commissioner  of the office of temporary and disability
    15  assistance with the approval of the director of the  budget.    Separate
    16  amounts  of  reimbursement  shall  be  available  to  a  social services
    17  district for meeting each of the following  categories:  for  households
    18  receiving  assistance  funded under the federal temporary assistance for
    19  needy families block grant program in which there is an adult  or  minor
    20  head of household; for households with dependent children in which there
    21  is an adult or minor head of household and which is receiving safety net
    22  assistance;  and for households without a dependent child in which there
    23  is an adult or minor head of household and which is receiving safety net
    24  assistance.   The office of  temporary  and  disability  assistance  may
    25  advance  reimbursement  that  would be available for full compliance and
    26  may recover any amounts unearned by  the  district  by  withholding  any
    27  other reimbursement due from the state to the social services district.
    28    §  2.  Paragraph  (a)  of  subdivision  1 of section 332 of the social
    29  services law, as amended by section 148 of part B of chapter 436 of  the
    30  laws of 1997, is amended to read as follows:
    31    (a)  a person who is ill, incapacitated or [sixty] sixty-five years of
    32  age or older or deemed to be disabled pursuant to section three  hundred
    33  thirty-two-b of this title;
    34    §  3.  Subdivision  1  of section 335-b of the social services law, as
    35  added by section 148 of part B of chapter 436 of the laws of 1997, para-
    36  graph (a) as amended by section 3 of part C of chapter 57 of the laws of
    37  2005 and paragraphs (b) and (d) as amended by chapter 214 of the laws of
    38  1998, is amended to read as follows:
    39    1. Each social services district shall  meet  or  exceed  the  minimum
    40  participation rate for recipients of assistance funded under the federal
    41  temporary  assistance  [to]  for needy families program participating in
    42  work activities as specified below with respect  to  families  receiving
    43  such  assistance. Each such district shall also meet or exceed the mini-
    44  mum participation [rate] rates for households [without  dependent  chil-
    45  dren]  in which there is an adult who [is not otherwise exempt from work
    46  requirements and which] is receiving safety net assistance. Work  activ-
    47  ities  for which such rates apply are described in section three hundred
    48  thirty-six of this title. [Each social services district that  fails  to
    49  meet  these  rates  shall  be  subject  to the provisions of section one
    50  hundred fifty-three of this chapter.]
    51    (a) Such rate for all families receiving assistance funded  under  the
    52  federal temporary assistance [to] forneedy families program shall be as
    53  follows:  for federal fiscal year nineteen hundred ninety-seven, twenty-
    54  five percent; nineteen hundred ninety-eight,  thirty  percent;  nineteen
        S. 6458                            103                           A. 9558

     1  hundred  ninety-nine,  thirty-five percent; two thousand, forty percent;
     2  two thousand one, forty-five percent; two thousand two  and  thereafter,
     3  fifty  percent.  Such  rates shall apply unless the state is required to
     4  meet  a  different  rate  as imposed by the federal government, in which
     5  case such different rate shall apply in accordance  with  a  methodology
     6  approved  by  the commissioner of the office of temporary and disability
     7  assistance.
     8    (b) Such rate for [(1)] two-parent families receiving assistance fund-
     9  ed under the  federal  temporary  assistance  [to]  for needy  families
    10  program  [or (2) households without dependent children in which there is
    11  an adult who is not otherwise exempt receiving safety  net  assistance,]
    12  shall  be  as follows: for federal fiscal years nineteen hundred ninety-
    13  seven and nineteen hundred ninety-eight, seventy-five percent;  nineteen
    14  hundred  ninety-nine  and  thereafter, ninety percent. Such [rates] rate
    15  shall apply unless the state is required to meet  a  different  rate  as
    16  imposed  by  the  federal  government, in which case such different rate
    17  shall apply in accordance with a methodology approved by the commission-
    18  er of the office of temporary and disability assistance.
    19    (c) Such rate for households with dependent children in which there is
    20  an adult or minor head of household and which is  receiving  safety  net
    21  assistance shall be fifty percent.
    22    (d)Calculation of participation rates. The commissioner of the office
    23  of  temporary  and  disability  assistance shall promulgate regulations
    24  which define the participation rate calculation.   Such calculation  for
    25  families receiving assistance funded under the federal temporary assist-
    26  ance  [to]  for needy  families program pursuant to article IV-A of the
    27  social security act shall be consistent with that established in federal
    28  law. [The commissioner shall report annually, or as frequently as neces-
    29  sary to comply with federal requirements, to the commissioner of  social
    30  services  or the commissioners of successor agencies the average monthly
    31  participation rate for each social services district.]
    32    [(d)] (e) Minimum work hours. In order for individuals to be  included
    33  in  the participation rates specified in this subdivision, such individ-
    34  uals must be engaged in work as defined in  title  IV-A  of  the  social
    35  security  act and in this section for a minimum average weekly number of
    36  hours as specified below.
    37    (i) For all families, if the month is in federal fiscal year: nineteen
    38  hundred ninety-seven and nineteen hundred ninety-eight, twenty hours per
    39  week; nineteen hundred ninety-nine,  twenty-five  hours  per  week;  two
    40  thousand and thereafter, thirty hours per week.
    41    (ii) For two-parent families or households without dependent children,
    42  in any federal or state fiscal year, thirty-five hours per week.
    43    (iii)  In  the  case of a two-parent family receiving federally funded
    44  child care assistance and a parent in the  family  is  not  disabled  or
    45  caring  for  a  severely  disabled  child,  the individual and the other
    46  parent in the family are participating in work activities for a total of
    47  at least fifty-five hours per week during  the  month,  not  fewer  than
    48  fifty  hours  of which are attributable to activities described in para-
    49  graphs (a) through (h) and (l)  of  subdivision  one  of  section  three
    50  hundred thirty-six of this title.
    51    (f) Such rate for households without dependent children in which there
    52  is an adult or minor head of household and which is receiving safety net
    53  assistance shall be fifty percent.
    54    §  4.  Section 335-b of the social services law is amended by adding a
    55  new subdivision 7 to read as follows:
        S. 6458                            104                           A. 9558

     1    7. Notwithstanding the participation rates set  forth  in  subdivision
     2  one  of  this  section,  for  purposes  of  receiving the enhanced state
     3  reimbursement for administration of income maintenance, food stamps, and
     4  employment programs as set forth in subdivision seventeen of section one
     5  hundred  fifty-three  of  this  article,  the district must meet a fifty
     6  percent average monthly participation rate for the following  categories
     7  of  households  in a fiscal year: households receiving assistance funded
     8  under the federal temporary assistance for needy  families  block  grant
     9  program  in  which  there is an adult or minor head of household; house-
    10  holds with dependent children in which there is an adult or  minor  head
    11  of  household  and  which is receiving safety net assistance; and house-
    12  holds without dependent children in which there is  an  adult  or  minor
    13  head  of  household  and  which  is  receiving  safety  net  assistance;
    14  provided, however, that in the first state fiscal  year  in  which  this
    15  subdivision  shall  have  become  a law, the participation rate shall be
    16  calculated by averaging the monthly participation rate  for  the  period
    17  from October first, two thousand six to December thirty-first, two thou-
    18  sand six and for the second year, the participation rate shall be calcu-
    19  lated  by  averaging  the monthly participation rate for the period from
    20  October first, two thousand six to  September  thirtieth,  two  thousand
    21  seven,  and  for  each  year thereafter, the participation rate shall be
    22  calculated by averaging the monthly participation rate for  the  federal
    23  fiscal year.
    24    §  5.  This  act  shall take effect immediately and shall be deemed to
    25  have been in full force and effect on and after April 1, 2006.

    26                                   PART W

    27    Section 1. Section 366 of the social services law is amended by adding
    28  a new subdivision 12 to read as follows:
    29    12. (a) Notwithstanding any provision of  law  to  the  contrary,  the
    30  commissioner  of health, in consultation with the office of children and
    31  family services, shall  develop  and  submit  applications  for  waivers
    32  pursuant to section nineteen hundred fifteen of the federal social secu-
    33  rity  act  as  may be necessary to provide medical assistance, including
    34  services not presently included in the medical assistance  program,  for
    35  persons described in paragraph (b) of this subdivision.  If granted such
    36  waivers, the commissioner of health, on the advice and recommendation of
    37  the  commissioner  of  children  and family services, may authorize such
    38  persons to receive such assistance to the extent funds are  appropriated
    39  therefor.
    40    (b)  Persons  eligible for inclusion in the waiver program established
    41  by this subdivision shall be residents of New York state under  the  age
    42  of twenty-one years, who are eligible for care in a medical institution,
    43  who have had the responsibility for their care and placement transferred
    44  to  the  commissioner  of a social services district or to the office of
    45  children and family services as adjudicated juvenile  delinquents  under
    46  article  three  of the family court act, where placement is in a non-se-
    47  cure setting, and who:
    48    (i) have a diagnosis of mental illness;
    49    (ii) have a diagnosis of a developmental disability;
    50    (iii) have a diagnosis of mental retardation;
    51    (iv) have a physical disability;
    52    (v) have a substance or drug abuse condition; or
    53    (vi) have a learning disability.
        S. 6458                            105                           A. 9558

     1    (c) Services which may be provided to persons specified  in  paragraph
     2  (b)  of  this subdivision, in addition to services otherwise authorized,
     3  may include but are not limited to:
     4    (i)  services  that  will permit children to be better served, prevent
     5  institutionalization, and allow utilization at lower-levels of  institu-
     6  tional care;
     7    (ii) case management services;
     8    (iii) respite services;
     9    (iv) medical social services;
    10    (v) nutritional counseling;
    11    (vi) respiratory therapy;
    12    (vii) home adaptation and/or environmental modifications;
    13    (viii) clinical interventions;
    14    (ix) crisis services;
    15    (x) social training;
    16    (xi) habilitation and rehabilitation services;
    17    (xii) counseling;
    18    (xiii) medication therapy;
    19    (xiv) partial hospitalization;
    20    (xv) educational and related services; and
    21    (xvi) other services included in the written plan of care.
    22    (d)  Notwithstanding any provision of this chapter or any other law to
    23  the contrary, for purposes of determining medical assistance eligibility
    24  for persons specified in paragraph (b) of this subdivision,  the  income
    25  and  resources  of  a  legally  responsible relative shall not be deemed
    26  available for as long as the person meets the criteria specified in this
    27  subdivision.
    28    (e) Before a person may participate in the waiver program  established
    29  by  this  subdivision,  the  social  services  district that is fiscally
    30  responsible for the person shall determine that there  is  a  reasonable
    31  expectation  that annual medical assistance expenditures for such person
    32  will not exceed federal requirements.
    33    (f) The eligibility and benefits authorized by this subdivision  shall
    34  be  applicable  if,  and  as long as, federal financial participation is
    35  available for expenditures incurred under this subdivision.  The  eligi-
    36  bility  and  benefits  authorized  by  this  subdivision shall not apply
    37  unless all necessary approvals under federal  law  and  regulation  have
    38  been obtained to receive federal financial participation in the costs of
    39  services provided pursuant to this subdivision.
    40    (g)  Nothing in this subdivision shall be construed to create an enti-
    41  tlement to services under the waiver program established by this  subdi-
    42  vision.
    43    (h)  A  person participating in the waiver program established by this
    44  subdivision may continue participation in the program for as long as  it
    45  is  consistent  with the plan of care, or until age twenty-one, notwith-
    46  standing the person's status as having been discharged from the care and
    47  placement of the commissioner of children and family services, including
    48  adoption.
    49    § 2. This act shall take effect immediately.
    50    § 2. Severability clause. If any clause, sentence, paragraph, subdivi-
    51  sion, section or part of this act shall be  adjudged  by  any  court  of
    52  competent  jurisdiction  to  be invalid, such judgment shall not affect,
    53  impair, or invalidate the remainder thereof, but shall  be  confined  in
    54  its  operation  to the clause, sentence, paragraph, subdivision, section
    55  or part thereof directly involved in the controversy in which such judg-
    56  ment shall have been rendered. It is hereby declared to be the intent of
        S. 6458                            106                           A. 9558

     1  the legislature that this act would  have  been  enacted  even  if  such
     2  invalid provisions had not been included herein.
     3    §  3.  This  act shall take effect immediately provided, however, that
     4  the applicable effective dates of Parts A through W of this act shall be
     5  as specifically set forth in the last section of such Parts.
        S. 6458                            107                           A. 9558

     1                  2006-2007 NEW YORK STATE EXECUTIVE BUDGET
     2                   EDUCATION, LABOR AND FAMILY ASSISTANCE
     3                           ARTICLE VII LEGISLATION

     4                                  CONTENTS

     5                                                               STARTING
     6                                                                 PAGE
     7  PART   DESCRIPTION                                            NUMBER

     8  A      Authorize SUNY trustees to transfer SUNY hospital        3
     9         operations to not-for-profit corporations.
    10  B      Modify the composition of the SUNY and CUNY Boards of    4
    11         Trustees.
    12  C      Establish a tuition policy at SUNY and CUNY, including   6
    13         indexing and differential tuition.
    14  D      Authorize SUNY/CUNY and OGS to develop a plan for the    9
    15         use of surplus properties to raise additional revenues.
    16  E      Establish a new Partnership to Accelerate Completion     9
    17         Time (PACT) Program.
    18  F      Streamline implementation of the Higher Education        11
    19         Capital Matching Grant Program.
    20  G      Establish a Tuition Reimbursement Program for math and   11
    21         science teachers.
    22  H      Reform the State's education finance system.             12
    23  I      Realign fiscal responsibility for tenured teachers'      78
    24         disciplinary hearings.
    25  J      Create the STAR Plus Program.                            80
    26  K      Establish a new Cultural Education Trust.                82
    27  L      Modify the Tuition Assistance Program (TAP) to reform    84
    28         eligibility criteria.
    29  M      Provide cost of living adjustments to the enhanced STAR  88
    30         exemption for seniors
    31  N      Transfer radiological health services from Labor to      89
    32         Health.
    33  O      Conform the initial and renewal fees for asbestos        91
    34         handling licenses.
    35  P      Increase the fines for child care violations and         91
    36         eliminate a redundant approval process.
    37  Q      Authorize withholding of a welfare grant for failure to  94
    38         fulfill an employment obligation.
    39  R      Realign earnings limits to reflect the length of time    98
    40         an individual has been on welfare.
    41  S      Reduce the personal needs allowance for certain Safety   98
    42         Net recipients.
    43  T      Recognize the presence of SSI recipients when            99
    44         determining the grant level of a public assistance
    45         household.
    46  U      Create a "Strengthening Families through Stronger        99
    47         Fathers" initiative.
    48  V      Establish penalties for local districts' non-compliance  102
    49         with minimum work requirements.
    50  W      Authorize an initiative to seek and implement a          104
    51         Medicaid waiver for foster children.