Viewing 13001049

 
     Legislative Bill Drafting Commission
                  13001-04-9
 
     S.        --------
                SENATE
               --------
 
     IN SENATE--Introduced by Sen
 
     --read twice and ordered printed,
     and when printed to be committed
     to the Committee on
 
               -------- A.
               ASSEMBLY
               --------
 
     IN ASSEMBLY--Introduced by M. of A.
 
     --read once and referred to the
     Committee on
 
     *BUDGBI*
     (Enacts an omnibus article VII bill)
 
 
                   --------
 
     RPT L. omnibus article VII
 
     A  BUDGET BILL submitted by the Gov-
     ernor in accordance with Article VII
     of the Constitution
 
                    AN ACT
 
     (A) to amend the insurance  law,  in
     relation  to  the  property casualty
     insurance  security  fund;  (B)   to
     amend the executive law, in relation
     to permitting the secretary of state
     to  provide special handling for all
     documents filed  or  issued  by  the
     division   of  corporations  and  to
     permit  additional  levels  of  such
     expedited  service; (C) to amend the
 
                                         2                         13001-04-9
 
     state  finance  law,  the  executive
     law,  the  general  business law and
     the real property law,  in  relation
     to  merging  the corporations, state
     records and uniform commercial  code
     account  and  the licensing examina-
     tion services account; and to repeal
     section 97-aa of the  state  finance
     law  relating  thereto; (D) to amend
     the executive law,  in  relation  to
     the  community  services block grant
     program for distribution  of  funds;
     and chapters 728 of the laws of 1982
     and 710 of the laws of 1983 amending
     the executive law relating to commu-
     nity  services block grant programs,
     in  relation  to  the  effectiveness
     thereof;  (E) to amend the executive
     law, the energy law  and  the  state
     finance  law,  in  relation  to  the
     state uniform  fire  prevention  and
     building  code  and the state energy
     conservation construction  code  and
     the  adoption of model codes; and to
     repeal  certain  provisions  of  the
     executive  law and the state finance
     law relating thereto; (F)  to  amend
     the  state  finance law, in relation
     to financing consultant services for
     millennium  compliance  with   state
     certificates  of  participation  and
     providing for  the  repeal  of  such
     provisions  upon expiration thereof;
     (G)  to  amend  the  retirement  and
     social  security law, in relation to
     employer contributions  to  the  New
     York   state  and  local  retirement
     systems;  (H)  to  amend  the  state
     finance  law, in relation to provid-
     ing  for   the   administration   of
     certain  funds  and accounts related
     to the 1999-2000  budget;  to  amend
     the  state  finance law, chapter 389
     of the laws of 1997, relating to the
     financing of the correctional facil-
     ities improvement fund and the youth
     facility   improvement   fund,   the
     private  housing  finance  law,  the
     education law, chapter  432  of  the
     laws  of 1997, relating to authoriz-
     ing the authority to issue bonds  or
     notes  in one or more series for the
     purpose of funding project costs  or
     making grants, loans or combinations
     thereof  for  community  enhancement
 
                                         3                         13001-04-9
 
     facilities projects, in relation  to
     provisions  necessary  to  implement
     the 1999-2000 budget and in relation
     to  the  duties  of  the  office  of
     general services and the division of
     the  budget,  to  amend  the   state
     finance  law,  in relation to estab-
     lishing the tobacco settlement fund,
     to  repeal  section  97-ddd  of  the
     state  finance  law  relating to the
     federal     revenue     maximization
     contract  fund, to repeal section 87
     of the state finance  law,  relating
     to  the  farmland  protection  trust
     fund, to repeal section 123-h of the
     state finance law  relating  to  the
     citizen  and  taxpayer suit fund, to
     repeal section  92-l  of  the  state
     finance law relating to the homeless
     housing  and assistance fund and the
     state  aid  and   local   assistance
     revenue  withholding fund, to repeal
     section 97-m of  the  state  finance
     law  relating  to  the  clean oceans
     fund, to repeal section 97-ii of the
     state finance law  relating  to  the
     trust  accounts  for  special  anti-
     crime lottery, to repeal chapter 110
     of the laws of 1983 relating to  the
     city   of  Lackawanna  debt  service
     assistance reserve fund,  to  repeal
     section  92-t  of  the state finance
     law relating to  the  Niagara  Falls
     sales  tax  fund,  to repeal chapter
     256 of the laws of 1984 relating  to
     school  district  state  aid reserve
     fund, to repeal chapter 139  of  the
     laws  of  1985  relating  to  school
     district state aid reserve fund,  to
     repeal  chapter  408  of the laws of
     1988  relating  to  school  district
     state  aid  reserve  fund, to repeal
     subdivision 3 of  section  227-a  of
     the  executive law relating to death
     benefits, to repeal section 2867  of
     the  public  health  law relating to
     the nursing home  development  fund,
     to  repeal section 97-k of the state
     finance law relating to the New York
     state supply support system  revolv-
     ing  fund,  to  repeal  section 5 of
     chapter 211  of  the  laws  of  1990
     relating  to bond authorizations for
     the   youth   opportunity    centers
     program and providing for the repeal
 
                                         4                         13001-04-9
 
     of  certain  provisions upon expira-
     tion thereof; (End of Parts A-H) (I)
     to provide for the use of  petroleum
     overcharge restitution funds; (J) to
     amend  the state finance law and the
     environmental conservation  law,  in
     relation    to   the   environmental
     protection fund and repealing subdi-
     vision 7  of  section  92-s  of  the
     state  finance  law  relating to the
     application of certain state assist-
     ance payments; (K) to amend the real
     property tax  law,  in  relation  to
     state  reimbursement  for forest tax
     exemptions; (L) to amend  the  envi-
     ronmental   conservation   law,   in
     relation to pesticide product regis-
     tration fees, and to  amend  chapter
     67  of the laws of 1992 amending the
     environmental    conservation    law
     relating to pesticide product regis-
     tration   timetables  and  fees,  in
     relation to the effectiveness there-
     of; (M) to amend  the  environmental
     conservation law, in relation to air
     pollution  control programs and fees
     and to repeal subdivisions 6  and  7
     of  section  19-0319 of the environ-
     mental conservation law, relating to
     fees under the clean air act for air
     pollution sources and certain  heavy
     duty  clean fuel fleet requirements;
     (N)  to  amend   the   environmental
     conservation  law,  in  relation  to
     increasing the petroleum tank facil-
     ity registration fee, to  amend  the
     navigation   law,   in  relation  to
     increasing the license  fee  imposed
     to  operate a major facility, and to
     amend chapter  83  of  the  laws  of
     1995,   amending  the  environmental
     conservation  law  and  other   laws
     relating   to  the  registration  of
     petroleum bulk  storage  facilities,
     in  relation  to  the  effectiveness
     thereof;  (O)  to  provide  for  the
     utilization  of  utility  assessment
     funds and the reporting of  expendi-
     tures  from such funds; (P) to amend
     the racing, pari-mutuel wagering and
     breeding law and the  state  finance
     law,  in  relation  to  funding  for
     regulation of racing activities, and
     to repeal subdivision 2  of  section
     902   of   the  racing,  pari-mutuel
 
                                         5                         13001-04-9
 
     wagering and breeding law,  relating
     to   equine  drug  testing;  (Q)  to
     authorize the dormitory authority of
     the  state  of  New  York to provide
     funding for the  Cornell  university
     theory  center; (R) making an appro-
     priation in relation to  authorizing
     the  financing  of local highway and
     bridge programs; to amend chapter 58
     of the laws of 1998 relating to  the
     authorization  of  local highway and
     bridge programs; and to amend  chap-
     ter 637 of the laws of 1996 amending
     the  transportation  law  and  other
     laws relating to transportation,  in
     relation  to authorizing the financ-
     ing  of  local  highway  and  bridge
     programs;  (End of Parts I-R) (S) to
     amend the executive law, in relation
     to   reimbursement   for   community
     services  for  the  elderly;  (T) to
     amend   the   correction   law,   in
     relation   to  eligibility  for  the
     shock incarceration program; (U)  to
     amend   the   correction   law,   in
     relation to  reimbursing  localities
     for  the  cost  of  low-level felony
     prisoners; (V) to amend  the  execu-
     tive  law, in relation to the inter-
     state compact act; (W) to amend  the
     correction  law,  in relation to the
     registration of sex  offenders;  (X)
     to amend the county law, in relation
     to the state aid for district attor-
     ney   salaries;  (Y)  to  amend  the
     social services law, in relation  to
     treatment  of  income  and resources
     for legally  responsible  relatives;
     to  re-institute the pharmacy co-pay
     requirement; to amend chapter 41  of
     the laws of 1992 amending the public
     health  law  and other laws relating
     to   health   care   providers,   in
     relation  to  extending  the expira-
     tions thereof; to amend chapter  474
     of  the  laws  of  1996 amending the
     education law and other laws  relat-
     ing  to rates for residential health
     care  facilities,  in  relation   to
     extending   effectiveness   of  such
     rates;  and  to  amend  the   public
     health  law, in relation to provider
     assessments; and  repealing  certain
     provisions  of the public health law
     relating  thereto;  (Z)  to   repeal
 
                                         6                         13001-04-9
 
     chapter  174  of  the  laws of 1990,
     relating to establishing  the  youth
     opportunity  program;  (AA) to amend
     the  mental  hygiene law, the social
     services  law,  the   not-for-profit
     corporation law, the business corpo-
     ration  law, the correction law, the
     insurance law, and the public health
     law, in relation to the provision of
     chemical dependence services, and to
     repeal  articles  21,  23,  sections
     19.39, 31.15, 31.24, subdivision (d)
     of   section  31.23  of  the  mental
     hygiene law and section 407  of  the
     business  corporation  law  relating
     thereto; (BB) to amend  the  vehicle
     and  traffic  law,  in  relation  to
     reimbursement of county  clerks  for
     services  rendered on the basis of a
     percentage of gross  receipts;  (CC)
     to  amend chapter 533 of the laws of
     1993, amending the vehicle and traf-
     fic law relating to  the  suspension
     of driver’s licenses upon conviction
     of certain drug-related offenses, in
     relation to extending the effective-
     ness  of  such  provisions;  (DD) to
     amend the vehicle and  traffic  law,
     in   relation   to  the  mailing  of
     suspension  and  revocation  orders;
     (EE)  to amend the vehicle and traf-
     fic law and the transportation  law,
     in   relation   to   sanctions   for
     violations of out of service orders;
     (FF) to amend  chapter  886  of  the
     laws of 1972 amending the correction
     law  and  the  penal law relating to
     prisoner furloughs in certain  cases
     and  the  crime of absconding there-
     from; to amend chapter  261  of  the
     laws  of 1987, amending chapters 50,
     53 and 54 of the laws of  1987,  the
     correction  law,  the  penal law and
     other chapters and laws relating  to
     correctional  facilities;  to  amend
     chapter 55  of  the  laws  of  1992,
     amending  the tax law and other laws
     relating to taxes, surcharges,  fees
     and funding; to amend chapter 339 of
     the   laws  of  1972,  amending  the
     correction law  and  the  penal  law
     relating  to  inmate  work  release,
     furlough and leave; to amend chapter
     60 of the laws of 1994  relating  to
     certain provisions which impact upon
 
                                         7                         13001-04-9
 
     expenditure   of  certain  appropri-
     ations made by  chapter  50  of  the
     laws  of  1994  enacting  the  state
     operations  budget; to amend chapter
     554 of the laws  of  1986,  amending
     the correction law and the penal law
     relating  to providing for community
     treatment facilities and  establish-
     ing  the  crime of absconding from a
     community  treatment  facility;   to
     amend  chapter 3 of the laws of 1995
     relating to the  incarceration  fee;
     to  amend  chapter 79 of the laws of
     1989, amending  the  correction  law
     and  other  laws relating to release
     and supervision of persons serving a
     definite sentence; to amend  chapter
     907 of the laws of 1984 amending the
     correction  law,  the  New York city
     criminal court act and the executive
     law  relating  to  prison  and  jail
     housing    and    alternatives    to
     detention     and      incarceration
     programs;  to  amend 713 of the laws
     of 1988  amending  the  vehicle  and
     traffic law relating to the ignition
     interlock    device    program,   in
     relation to extending the expiration
     thereof; (GG)  to  amend  the  state
     finance  law,  in relation to estab-
     lishing the New  York  state  public
     safety  communications account; (End
     of Parts S-GG)  (HH)  to  amend  the
     education  law,  in  relation to the
     calculation and payment of state aid
     to school districts  and  boards  of
     cooperative   educational  services,
     and repealing certain provisions  of
     such  law relating thereto; to amend
     the education law in relation to the
     review of preliminary building plans
     and specifications in certain school
     districts,  the  closure  of  school
     buildings,  literacy  programs,  and
     the use of absentee ballots in small
     city school districts; to amend  the
     local  finance  law,  in relation to
     the financing of special act  school
     districts;  to  amend  chapter 58 of
     the  laws  of  1998,  amending   the
     education law and certain other laws
     relating   to  the  calculation  and
     payment  of  state  aid  to   school
     districts  and boards of cooperative
     educational services, in relation to
 
                                         8                         13001-04-9
 
     making technical corrections  there-
     to; to amend chapter 221 of the laws
     of   1998,   relating  to  adjusting
     certain   state   aid   payments  to
     certain   school    districts,    in
     relation    to    making   technical
     corrections thereto; to amend  chap-
     ter  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  special  education
     class  size; 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
     making technical corrections  there-
     to;  and to amend chapter 756 of the
     laws of 1992, relating to funding  a
     program   for   workforce  education
     conducted  by  the  consortium   for
     worker  education  in New York city,
     in relation to  the  consortium  for
     workforce  education;  (II) to amend
     the real property tax law,  the  tax
     law,   and  the  education  law,  in
     relation to improving  the  adminis-
     tration  of  the  school  tax relief
     (STAR)  program,   providing   state
     assistance for improved real proper-
     ty tax administration, and restrict-
     ing increases in school district tax
     levies;  (JJ) to amend the education
     law, in  relation  to  the  adminis-
     tration  of  educational opportunity
     programs, the  regents  master  plan
     for  higher  education,  the general
     oversight of  higher  education;  to
     repeal  section 137 of chapter 82 of
     the laws of 1995 amending the educa-
     tion law and other laws relating  to
     streamlining   the   regents  higher
     education master  planning  process,
     and  to repeal certain provisions of
     the education law relating  thereto;
     (KK) to amend chapter 83 of the laws
     of  1995, amending the state finance
     law and other laws relating to block
     grants  for  family  and  children’s
     services,  in  relation to extending
     the family and  children’s  services
     block  grant,  to  amend  the social
 
                                         9                         13001-04-9
 
     services law, in relation to  fiscal
     sanctions, and to repeal subdivision
     6  of  section  153-i  of the social
     services law relating to the mainte-
     nance   of  effort  requirement  for
     preventive services; (LL)  to  amend
     the  executive  law,  in relation to
     clarifying certain sections  related
     to  housing  and conciliation in the
     human  rights  law,  providing   the
     right  to an action in a civil court
     following a determination of  proba-
     ble  cause to any party to a housing
     discrimination    complaint     with
     complaint  to  be  presented  by  an
     attorney provided by the division of
     human rights, providing  for  awards
     of attorney’s fees in cases of hous-
     ing  discrimination only, permitting
     the assessment of  civil  fines  and
     penalties   in   cases   of  housing
     discrimination only  and  permitting
     the courts to award punitive damages
     in  cases  of housing discrimination
     only;   and   to   repeal    certain
     provisions   of  such  law  relating
     thereto; (MM) to amend the education
     law and the mental hygiene  law,  in
     relation    to    establishing   the
     research institute on addictions  at
     the  state  university  of New York;
     (End of Parts HH-MM) (NN)  to  amend
     the  tax  law and the administrative
     code of the city  of  New  York,  in
     relation to increasing the dependent
     exemption  under  the state and city
     personal income taxes; and to  amend
     the  tax  law, in relation to expan-
     sion of  the  rate  bracket  of  the
     article 22 personal income tax; (OO)
     to amend the tax law, in relation to
     eliminating  the personal income tax
     filing  requirement  for   residents
     having   no  tax  liability  because
     income does not exceed the New  York
     standard  deduction;  (PP)  to amend
     the tax law and  the  administrative
     code  of  the  city  of New York, in
     relation to the income tax liability
     of spouses filing joint tax  returns
     and  to repeal certain provisions of
     the tax law and  the  administrative
     code  of the city of New York relat-
     ing thereto; (QQ) to amend  the  tax
     law,  the  general  city law and the
 
                                        10                         13001-04-9
 
     public authorities law, in  relation
     to  sales and compensating use taxes
     on certain utility services  imposed
     by  article  28  of  the tax law and
     pursuant to the authority of article
     29   thereof;   repealing    certain
     provisions  of  the tax law relating
     to providing  transition  rules  for
     taxpayers   removed   from  taxation
     under section 186 of such  law;  and
     providing  for the repeal of certain
     provisions upon expiration  thereof;
     (RR)   to  amend  the  tax  law,  in
     relation to providing a transitional
     basis under the  real  property  tax
     law  for  certain moveable machinery
     and equipment, and  in  relation  to
     reduction  of the rate of the alter-
     native minimum tax under the article
     9-A corporation  franchise  tax,  to
     increase  of  the  credit under such
     tax  for  investment  in   qualified
     emerging  technology companies; (SS)
     to amend the tax law, in relation to
     establishing a credit,  in  articles
     9,  9-A,  22, 32 and 33 thereof, for
     increased urban employment; (TT)  to
     amend  the  tax law and the adminis-
     trative code  of  the  city  of  New
     York, in relation to exclusion under
     the  article  9-A  franchise tax and
     state and city income taxes of  gain
     on  the  sale  of  New  York capital
     assets; (UU) to amend the  tax  law,
     in  relation  to  reducing the basic
     tax  imposed  upon  banking   corpo-
     rations  under  article  32 thereof,
     the tax on entire net income imposed
     upon  insurance  corporations  under
     article  33 thereof, and the limita-
     tion on tax applicable  for  certain
     insurance corporations under article
     33  thereof,  and  to repeal certain
     provisions of the tax  law  relating
     to   the  calculation  of  franchise
     taxes by the state  insurance  fund;
     (VV)  to amend the public health law
     and  the  social  services  law,  in
     relation  to  provider  of  services
     assessments; (WW) to amend  the  tax
     law,  in  relation  to  property tax
     relief  for   certain   agricultural
     land;  (XX) to amend the tax law, in
     relation to establishing a tax cred-
     it for certain agricultural  cooper-
 
                                        11                         13001-04-9
 
     ative  corporations  subject  to the
     tax imposed  under  section  185  of
     such  law,  to eliminating the fixed
     dollar minimum tax under article 9-A
     of  such  law for certain homeowners
     associations,  to  eliminating   the
     minimum  tax  imposed  under article
     13-A of such law, to calculating the
     amount of tax required to be prepaid
     for purposes of  the  prepayment  of
     sales  tax  on  cigarettes;  and  to
     extending  section  1142-A  of  such
     law,   which   sets   forth  special
     requirements relating to the service
     of providing  parking,  garaging  or
     storing  for motor vehicles; (YY) to
     amend the tax law and  chapter  1013
     of the laws of 1962 amending the tax
     law  relating to the imposition of a
     tax on the transfer  of  estates  of
     certain  decedents,  in  relation to
     conforming the estate and generation
     skipping  transfer   tax   laws   to
     provisions  of  the internal revenue
     code; and to repeal section 954-c of
     the tax law, section 38 of part A of
     chapter  56  of  the  laws  of  1998
     amending  the tax law and other laws
     relating to implementing  the  state
     1998-1999  fiscal  plan, and section
     2057 contained in section 2 of chap-
     ter 1013 of the laws of 1962  amend-
     ing  the  tax  law  relating  to the
     imposition of a tax on the  transfer
     of  estates of certain decedents, in
     relation to an exclusion from  gross
     estate   for   certain  family-owned
     business interests;  (ZZ)  to  amend
     the  tax  law and the administrative
     code of the city  of  New  York,  in
     relation  to  extending the tax rate
     reductions under the New York  state
     real estate transfer tax and the New
     York city real property transfer tax
     for  conveyances of real property to
     existing  real   estate   investment
     trusts;  (AAA)  to amend chapter 166
     of the laws of  1991,  amending  the
     tax  law  and other laws relating to
     taxes, in relation to the expiration
     of  certain   provisions   contained
     therein,  and  to  amend the vehicle
     and  traffic  law,  in  relation  to
     making certain technical corrections
     and   to  repeal  subdivision  8  of
 
                                        12                         13001-04-9
 
     section  1809  of  the  vehicle  and
     traffic law, relating to the expira-
     tion   of  the  provisions  of  such
     section; (BBB) to amend the tax law,
     in  relation to the instant cash and
     quick draw lottery games;  to  amend
     chapter 2 of the laws of 1995 amend-
     ing  the  tax  law  and  other  laws
     relating to a new lottery  game  and
     the  expiration thereof, in relation
     to the effectiveness of  such  chap-
     ter;  and  to  repeal section 152 of
     chapter 166  of  the  laws  of  1991
     amending  the tax law and other laws
     relating to taxes;
 
       The People of  the  State  of  New
     York,   represented  in  Senate  and
     Assembly, do enact as follows:
 
                                        13                         13001-04-9
 
  1    Section  1.  This  act enacts into law major components of legislation
 
  2  which are necessary to implement the state fiscal plan for the 1999-2000
 
  3  state fiscal year. Each component is  wholly  contained  within  a  Part
 
  4  identified  as  Parts A through BBB. The effective date for each partic-
 
  5  ular provision contained within such Part  is  set  forth  in  the  last
 
  6  section  of  such  Part. Any provision in any section contained within a
 
  7  Part, including the effective date of the Part, which makes reference to
 
  8  a section "of this act", when used in connection  with  that  particular
 
  9  component,  shall  be  deemed  to  mean  and  refer to the corresponding
 
 10  section of the Part in which it is found. Section three of this act sets
 
 11  forth the general effective date of this act.
 
 12                             GENERAL GOVERNMENT
 
 13                                   PART A
 
 14    § 1. Paragraph 4 of subsection (b) of section 7403  of  the  insurance
 
 15  law,  as  amended by chapter 146 of the laws of 1998, is amended to read
 
 16  as follows:
 
 17    (4) The court shall not order any advance to the rehabilitator without
 
 18  his specific request or if the insurer’s required capital or surplus  is
 
 19  impaired in an amount exceeding the greater of thirty million dollars or
 
 20  fifteen  percent  of  the  insurer’s  net direct premium writings in the
 
 21  previous calendar year. Total advances to an insurer  shall  not  exceed
 
 22  the  greater  of  forty  million  dollars  or twenty percent of such net
 
 23  direct premium writings. No advance shall  be  made  on  or  after  July
 
 24  first, [nineteen hundred ninety-nine] two thousand which would lower the
 
 25  amount  of  assets  in  the  fund  below one hundred ninety-five million
 
 26  dollars.
 
                                        14                         13001-04-9
 
  1    § 2. Paragraph 6 of subsection (b) of section 7403  of  the  insurance
 
  2  law,  as  amended by chapter 146 of the laws of 1998, is amended to read
 
  3  as follows:
 
  4    (6)  This  subsection shall expire July first, [nineteen hundred nine-
 
  5  ty-nine] two thousand, provided that the insurer’s obligation  to  repay
 
  6  to  the fund moneys advanced to it under this subsection, and the fund’s
 
  7  claim for the advance, and any accrued interest, as a priority over  all
 
  8  non-secured creditors, shall survive such expiration date.
 
  9    § 3. This act shall take effect April 1, 1999.
 
 10                                    PART B
 
 11    §  1. Subdivision 11 of section 96 of the executive law, as amended by
 
 12  chapter 166 of the laws of 1991, is amended to read as follows:
 
 13    11. (a) For the special handling of  requests  made  to  the  [bureau]
 
 14  division of corporations of the department of state for any [certificate
 
 15  processed  for  filing  or  issued  under official seal by the bureau of
 
 16  corporations pursuant to subdivision seven and paragraphs  a  and  b  of
 
 17  subdivision  nine of this section,] service for which a fee is collected
 
 18  as prescribed by law, twenty-five dollars.  For  the  purposes  of  this
 
 19  section  the  term  "special  handling" shall mean the completion of the
 
 20  request within twenty-four hours of receipt of the  request,  except  in
 
 21  those  cases  where the twenty-four hour period shall end on a Saturday,
 
 22  Sunday, holiday or day on which the [bureau] division of corporations of
 
 23  the department of state is not open for  business,  in  which  case  the
 
 24  twenty-four hour period shall be extended to the appropriate hour of the
 
 25  next succeeding business day on which such [bureau] division is open for
 
 26  business.
 
 27    (b)  For the same day expedited handling of requests made to the divi-
 
 28  sion of corporations of the department of  state  for  any  service  for
 
                                        15                         13001-04-9
 
  1  which a fee is collected as prescribed by law, seventy-five dollars. For
 
  2  the  purposes  of  this  section  the term "same day expedited handling"
 
  3  shall mean the completion of the request on the same day as the  day  of
 
  4  request.
 
  5    (c)  For  the two hour priority handling of requests made to the divi-
 
  6  sion of corporations of the department of  state  for  any  service  for
 
  7  which  a  fee  is  collected  as  prescribed  by  law, one hundred fifty
 
  8  dollars. For the purposes of this section the term  "two  hour  priority
 
  9  handling"  shall  mean the completion of the request within two hours on
 
 10  the same day as the day of the request.
 
 11    § 2. This act shall take effect April 1, 1999.
 
 12                                    PART C
 
 13    § 1. Section 97-aa of the state finance law is REPEALED.
 
 14    § 2. Section 97-y of the state finance law, as amended by chapter  309
 
 15  of the laws of 1996, is amended to read as follows:
 
 16    §  97-y.  [Corporations,  state  records  and  uniform commercial code
 
 17  account] Business and licensing services account.   1. There  is  hereby
 
 18  established  within  the miscellaneous special revenue fund in the joint
 
 19  custody of the state comptroller and the commissioner  of  taxation  and
 
 20  finance  an account to be known as the "[corporations, state records and
 
 21  uniform commercial code] business and licensing services account".
 
 22    2. The [corporations, state records and uniform commercial code] busi-
 
 23  ness  and  licensing  services  account  shall  consist  of  all  monies
 
 24  collected by the department of state  from:  (a)  fees  paid  to  it  in
 
 25  conjunction  with  its  activities  pursuant to the business corporation
 
 26  law, the not-for-profit corporation law, or  other  corporate  law,  the
 
 27  partnership  law,  the  limited  liability  company law, and correlative
 
 28  provisions of the executive law, the general business law and any  other
 
                                        16                         13001-04-9
 
  1  law,  consolidated  or  unconsolidated;  [and]  (b)  fees  paid to it in
 
  2  conjunction with its activities pursuant to the  provisions  of  section
 
  3  ninety-six-a  of the executive law or pursuant to any other provision of
 
  4  law,  for  services  rendered  in  accordance with the provisions of the
 
  5  uniform commercial code or article ten-A  of  the  lien  law;  (c)  fees
 
  6  charged  for  the  regulation,  licensing,  examination,  certification,
 
  7  registration and discipline activities of the department of  state;  and
 
  8  (d)  monies  received  from  licenses granted under section four hundred
 
  9  thirty-eight of the judiciary law.
 
 10    3. Monies within the [corporations, state records and uniform  commer-
 
 11  cial  code]  business and licensing services account, upon appropriation
 
 12  by the legislature, shall be available to the department  of  state  for
 
 13  the  operation  of  the department in relation to (a) uniform commercial
 
 14  code[,] and related tax lien requirements, (b)  corporations  and  state
 
 15  records  functions and services, including but not limited to reviewing,
 
 16  filing, searching, certifying or copying of documents,  instruments  and
 
 17  records  rendered by the department in conjunction therewith[; provided,
 
 18  however, that on the thirtieth day of June, the thirtieth day of Septem-
 
 19  ber, the thirty-first day of December and the thirty-first day of  March
 
 20  of  each  year,  the  comptroller  is  hereby authorized and directed to
 
 21  transfer an amount equal to the unencumbered  balance  of  said  account
 
 22  from  the  account  to the general fund], (c) the regulation, licensing,
 
 23  examination, certification, registration and  discipline  activities  of
 
 24  the  department of state, and (d) implementation, operation and enforce-
 
 25  ment of articles seven-A, eight-B and eight-C of  the  general  business
 
 26  law.
 
 27    4. Notwithstanding any other provisions of this section to the contra-
 
 28  ry, moneys deposited pursuant to sections ninety-seven-r and ninety-sev-
 
                                        17                         13001-04-9
 
  1  en-nn  of this article shall be available to the department of state for
 
  2  the purposes set forth in such sections.
 
  3    §  3. Subdivision 4 of section 97-r of the state finance law, as added
 
  4  by chapter 170 of the laws of 1994, is amended to read as follows:
 
  5    4. The fund shall be held within the business and  licensing  services
 
  6  account  as  established  in section [ninety-seven-aa] ninety-seven-y of
 
  7  this article.
 
  8    § 4. Subdivision 3 of section 97-nn of the state finance law, added by
 
  9  chapter 170 of the laws of 1994, is amended to read as follows:
 
 10    3. The fund shall be held within the business and  licensing  services
 
 11  account  as  established  in section [ninety-seven-aa] ninety-seven-y of
 
 12  this article.
 
 13    § 5. Subdivision 3 of section 160-f of the executive law,  as  amended
 
 14  by chapter 397 of the laws of 1991, is amended to read as follows:
 
 15    3.  All  fees  collected  under  this  section  shall be paid into the
 
 16  [licensing examinations services account pursuant to section ninety-sev-
 
 17  en-aa] business and licensing services account established  pursuant  to
 
 18  section ninety-seven-y of the state finance law.
 
 19    §  6.  Section 69-x of the general business law, as amended by chapter
 
 20  575 of the laws of 1993, is amended to read as follows:
 
 21    § 69-x. Disposition of  moneys  derived  from  operation  of  article.
 
 22  [Examination  fees collected pursuant to this article shall be paid into
 
 23  the licensing examination services account pursuant to  section  ninety-
 
 24  seven-aa  of the state finance law.] Processing fees for the fingerprint
 
 25  search conducted by the division  of  criminal  justice  services  shall
 
 26  accompany  the fingerprint cards and shall be deposited [into the crimi-
 
 27  nal justice improvement account pursuant to section  ninety-seven-bb  of
 
 28  the state finance law] to the credit of the general fund.  All remaining
 
                                        18                         13001-04-9
 
  1  moneys  derived  from  the operation of this article shall [on or before
 
  2  the tenth day of each month be paid into the general fund of  the  state
 
  3  treasury  to the credit of the state purposes account therein] be depos-
 
  4  ited in the business and licensing services account established pursuant
 
  5  to section ninety-seven-y of the state finance law.
 
  6    § 7. Paragraph (c) of subdivision 1 of section 74 of the general busi-
 
  7  ness law, as added by chapter 64 of the laws of 1988, is amended to read
 
  8  as follows:
 
  9    (c)  The secretary of state shall receive a non-refundable examination
 
 10  fee of fifteen dollars from each person  who  takes  an  examination  to
 
 11  qualify  for  application  for  licensure pursuant to this article. Fees
 
 12  [collected for written examinations shall be  paid  into  the  licensing
 
 13  examinations  services  account,  pursuant to section ninety-seven-aa of
 
 14  the state finance law] paid to the department of state pursuant to  this
 
 15  article  shall  be  deposited  in  the  business  and licensing services
 
 16  account established pursuant to  section  ninety-seven-y  of  the  state
 
 17  finance law.
 
 18    §  8.  Subdivision  10 of section 89-h of the general business law, as
 
 19  amended by chapter 309 of the laws  of  1996,  is  amended  to  read  as
 
 20  follows:
 
 21    10.  Fees:  pay  (a) a fee of thirty-six dollars for processing of the
 
 22  application, investigation of the applicant and for the initial biennial
 
 23  registration period. Such fees shall be deposited to the credit  of  the
 
 24  [licensing  examinations  services  account  established pursuant to the
 
 25  provisions of section ninety-seven-aa] business and  licensing  services
 
 26  account established pursuant to the provisions of section ninety-seven-y
 
 27  of  the state finance law; and (b) a fee pursuant to subdivision eight-a
 
 28  of section eight hundred thirty-seven of the executive law,  and  amend-
 
                                        19                         13001-04-9
 
  1  ments  thereto,  for  the  cost of the division’s full search and retain
 
  2  procedures, which fee shall be remitted by the department to  the  divi-
 
  3  sion  for  deposit  by  the  comptroller into the general fund effective
 
  4  August thirty-first, nineteen hundred ninety-six; and
 
  5    §  9.  Subdivision  3  of  section 409 of the general business law, as
 
  6  added by chapter 509 of the laws of 1992, is amended to read as follows:
 
  7    3. The secretary shall receive a  non-refundable  examination  fee  of
 
  8  fifteen  dollars from each person who takes a written examination pursu-
 
  9  ant to this article. Fees collected [for written examinations  shall  be
 
 10  paid  into  the  licensing  examinations  services  account, pursuant to
 
 11  section ninety-seven-aa] pursuant to this article shall be deposited  to
 
 12  the  credit  of  the business and licensing services account established
 
 13  pursuant to the  provisions  of  section  ninety-seven-y  of  the  state
 
 14  finance law.
 
 15    § 10. Section 415 of the general business law, as added by chapter 509
 
 16  of the laws of 1992, is amended to read as follows:
 
 17    §  415.  Disposition  of moneys. [With the exception of fees collected
 
 18  for examinations which are to be paid into  the  licensing  examinations
 
 19  services  account  pursuant  to  section  ninety-seven-aa  of  the state
 
 20  finance law, all] All moneys derived from the operation of this  article
 
 21  shall [on or before the tenth day of each month be paid into the general
 
 22  fund  of  the state treasury to the credit of the state purposes account
 
 23  therein] be deposited to  the  credit  of  the  business  and  licensing
 
 24  services  account  established pursuant to section ninety-seven-y of the
 
 25  state finance law.
 
 26    § 11. Section 445 of the general business law, as amended  by  chapter
 
 27  64 of the laws of 1988, is amended to read as follows:
 
                                        20                         13001-04-9
 
  1    §  445.  Disposition  of moneys derived from operation of article. All
 
  2  moneys derived from the operation of this article shall  [on  or  before
 
  3  the  tenth  day of each month be paid into the general fund of the state
 
  4  treasury, to the credit of state  purposes  account  therein,  with  the
 
  5  exception  of  fees  collected  for written examinations which are to be
 
  6  paid into  the  licensing  examinations  services  account  pursuant  to
 
  7  section  ninety-seven-aa  of  the state finance law] be deposited to the
 
  8  credit of the business and licensing services account established pursu-
 
  9  ant to section ninety-seven-y of the state finance law.
 
 10    § 12. Subdivisions 1-A and 3 of section 441-b  of  the  real  property
 
 11  law,  subdivision  1-A  as  added  by chapter 64 of the laws of 1988 and
 
 12  subdivision 3 as amended by chapter 103 of the laws of 1981, are amended
 
 13  to read as follows:
 
 14    1-A. The fee for a person to take an examination offered by the secre-
 
 15  tary of state pursuant to this article shall be  fifteen  dollars.  Fees
 
 16  collected  [for  written  examinations  shall be paid into the licensing
 
 17  examinations services account pursuant to section ninety-seven-aa of the
 
 18  state finance law] by the department of state pursuant to  this  article
 
 19  shall  be deposited to the credit of the business and licensing services
 
 20  account established pursuant to  section  ninety-seven-y  of  the  state
 
 21  finance law.
 
 22    3. Disposition of fees. The department of state shall on the first day
 
 23  of  each  month make a verified return to the department of taxation and
 
 24  finance of all fees received by it under this article during the preced-
 
 25  ing calendar month, stating from what city or  county  received  and  by
 
 26  whom and when paid.  [The department shall on or before the tenth day of
 
 27  each  month  pay  into  the  state  treasury all monies to its credit on
 
                                        21                         13001-04-9
 
  1  account of fees under this article, at the close of business on the last
 
  2  day of the preceding month.]
 
  3    § 13. This act shall take effect April 1, 1999.
 
  4                                   PART D
 
  5    §  1. Section 159-i of the executive law, as amended by chapter 310 of
 
  6  the laws of 1998, is amended to read as follows:
 
  7    § 159-i. Distribution of funds. For each federal fiscal year [nineteen
 
  8  hundred ninety-nine] at least ninety percent of the  community  services
 
  9  block grant funds received by the state shall be distributed pursuant to
 
 10  a contract by the secretary to grantees as defined in subdivision one of
 
 11  section  one  hundred  fifty-nine-e  of  this article. Each such grantee
 
 12  shall receive the same proportion  of  community  services  block  grant
 
 13  funds  as  was  the  proportion of funds received in federal fiscal year
 
 14  nineteen hundred eighty-one by such grantee under the federal  community
 
 15  services  administration  program  account numbers 01 and 05 pursuant to
 
 16  section two hundred twenty-one of title II and for migrant and  seasonal
 
 17  farm  worker organizations pursuant to section two hundred twenty-two of
 
 18  title II of the  economic  opportunity  act  of  1964,  as  amended,  as
 
 19  compared  to  the  total  amount  received by all grantees in the state,
 
 20  under the federal  community  services  administration  program  account
 
 21  numbers 01 and 05 pursuant to section two hundred twenty-one of title II
 
 22  and  for  migrant  and  seasonal  farm  worker organizations pursuant to
 
 23  section two hundred twenty-two of title II of such act in federal fiscal
 
 24  year nineteen hundred eighty-one.
 
 25    For each federal fiscal year [nineteen hundred ninety-nine] the secre-
 
 26  tary shall, pursuant to section one hundred fifty-nine-h of  this  arti-
 
 27  cle,  retain  not more than five percent of the community services block
 
 28  grant funds for administration at the state level.
 
                                        22                         13001-04-9
 
  1    For each  federal  fiscal  year  [nineteen  hundred  ninety-nine]  the
 
  2  remainder  of  the  community services block grant funds received by the
 
  3  state shall be distributed pursuant to a contract by  the  secretary  in
 
  4  the  following  order  of  preference:  a  sum  of up to one-half of one
 
  5  percent  of  the  community  services  block grant funds received by the
 
  6  state to Indian tribes and tribal organizations as defined in this arti-
 
  7  cle, on the basis of need;  community  action  agencies  established  in
 
  8  federal fiscal year nineteen hundred eighty-three; counties which do not
 
  9  have  a  community  action  agency in existence and seek to establish an
 
 10  organization which is consistent with  the  objectives  of  an  eligible
 
 11  entity;  limited  purpose  agencies  which  had  received funding during
 
 12  federal fiscal  year  nineteen  hundred  eighty-one  under  section  two
 
 13  hundred  twenty-one, section two hundred twenty-two(a)(4) or section two
 
 14  hundred thirty-two of title II of the economic opportunity act of  1964,
 
 15  as amended; and community based organizations.
 
 16    § 2. Section 5 of chapter 728 of the laws of 1982, amending the execu-
 
 17  tive law relating to community services block grant programs, as amended
 
 18  by chapter 310 of the laws of 1998, is amended to read as follows:
 
 19    §  5.  This  act shall take effect immediately provided, however, that
 
 20  section four hereof shall take  effect  October  1,  1982  and  provided
 
 21  further, however, that the provisions of sections two, three and four of
 
 22  this act shall be in full force and effect only until September 30, 1983
 
 23  [and  section  one  of  this act shall be in full force and effect until
 
 24  September 30, 1999].
 
 25    § 3. Section 7 of chapter 710 of the laws of 1983, amending the execu-
 
 26  tive law relating to community services block grant programs, as amended
 
 27  by chapter 310 of the laws of 1998, is amended to read as follows:
 
                                        23                         13001-04-9
 
  1    § 7. This act shall take effect September 30, 1983 [and  shall  be  in
 
  2  full  force  and  effect only until September 30, 1999 at which time the
 
  3  amendments and additions made pursuant to the  provisions  of  this  act
 
  4  shall be deemed to be repealed].
 
  5    § 4. This act shall take effect April 1, 1999; provided, however, that
 
  6  the amendments to section 159-i of the executive law made by section one
 
  7  of this act shall not affect the expiration of such section and shall be
 
  8  deemed to expire therewith.
 
  9                                   PART E
 
 10    §  1.  Legislative  findings  and  declaration. The legislature hereby
 
 11  finds and declares that while the New York state uniform fire prevention
 
 12  and building code originally enacted January  1,  1984  has  served  the
 
 13  people  of  the state well, certain provisions are outdated or difficult
 
 14  to use. Further, because the code is unique to the state  of  New  York,
 
 15  its  use discourages the construction of new facilities and the creation
 
 16  of new jobs for people of the state. The legislature also finds that the
 
 17  New York state energy conservation construction code has become outdated
 
 18  and no longer provides for the best energy methods and technologies.
 
 19    The legislature hereby declares that it shall be the public policy  of
 
 20  the state of New York to modernize and simplify the current uniform fire
 
 21  prevention  and  building code and energy conservation construction code
 
 22  and to achieve,  to  the  extent  reasonably  achievable,  national  and
 
 23  intra-state  uniformity  by  directing the secretary of state to adopt a
 
 24  new uniform fire prevention and building code which shall be based  upon
 
 25  a national or international model code or codes, such as those developed
 
 26  by  Building  Officials  and Code Administrators International, Inc. and
 
 27  National Fire Protection Association and such other provisions as may be
 
 28  necessary to address conditions specific to the state. Such action  will
 
                                        24                         13001-04-9
 
  1  lead   to   the  application  of  the  best  and  most  widely  utilized
 
  2  construction and safety methodologies  to  new  construction  and  reno-
 
  3  vations  of  buildings  in  this state. In so doing, it will enhance the
 
  4  safety  and  energy  efficiency  standards  of the public and buildings,
 
  5  maintain uniformity on a local and national basis and enhance the  over-
 
  6  all economy of the state.
 
  7    §  2.  Subdivision 2 of section 377 of the executive law is renumbered
 
  8  subdivision 3 and a new subdivision 2 is added to read as follows:
 
  9    2. a. The secretary shall, on or before two years from  the  effective
 
 10  date  of  this subdivision, or as soon thereafter as may be practicable,
 
 11  but no sooner than one year from the effective date of this subdivision,
 
 12  adopt, by regulation following public hearing,  a  new  New  York  state
 
 13  uniform  fire  prevention  and  building  code  based upon a national or
 
 14  international model code or codes, provided however, that prior to  said
 
 15  adoption,  the  secretary has certified through publication in the state
 
 16  register that:
 
 17    (i) the codes to be adopted substantially meet or exceed the level  of
 
 18  protection  to  the  public  and  buildings  that  is afforded under the
 
 19  current code as of the effective date of this subdivision; and
 
 20    (ii) adequate training has been provided to state and local  officials
 
 21  responsible  for the administration and enforcement of the provisions of
 
 22  the code.
 
 23  Within the secretary’s  discretion,  such  new  uniform  code  shall  be
 
 24  comprised  in  whole  or in part of such national or international model
 
 25  code or codes, and will be referred to as the uniform code.
 
 26    b. The council shall consider the periodic amendments adopted  by  the
 
 27  model  code  organization  responsible  for developing the model code or
 
 28  codes adopted by the secretary and shall determine whether to reject  or
 
                                        25                         13001-04-9
 
  1  accept  and  adopt  such  amendments  in  whole or in part within twelve
 
  2  months of the publication of the amendments by the model code  organiza-
 
  3  tion or organizations.
 
  4    c.  The  adoption  of any model code shall not be construed to prevent
 
  5  the council from adopting different or supplemental code provisions  for
 
  6  the  purpose  of  addressing any special needs and conditions associated
 
  7  with New York buildings, structures and premises, provided however, that
 
  8  any such provisions must: (i) be necessary to address a condition in New
 
  9  York that requires a standard different from such model code  or  codes;
 
 10  (ii)  be  necessary to promote the general health, safety and welfare of
 
 11  the public; and (iii) be consistent with accepted  national  engineering
 
 12  and fire prevention practices, standards and procedures contained in the
 
 13  code  adopted by the secretary. In order to insure that the integrity of
 
 14  the uniform code, adopted pursuant to this article, is  not  compromised
 
 15  by  excessive  or  unnecessary amendments, the secretary shall appoint a
 
 16  transitional technical advisory committee which may develop criteria, in
 
 17  addition to those set forth in subparagraphs (i) through (iii)  of  this
 
 18  paragraph,  which  must  be  satisfied  prior to determining whether any
 
 19  proposed amendment to or  deletion  from  the  uniform  code  should  be
 
 20  adopted.  Such committee shall, at a minimum, have members representing:
 
 21  paid fire services; volunteer fire services; code enforcement  officers;
 
 22  architects;  professional engineers; persons with disabilities; building
 
 23  contractors; experts on energy conservation; and local government repre-
 
 24  sentatives employed by a city, town  or  village.  The  committee  shall
 
 25  recommend  such  criteria  to  the  secretary who may, pursuant to regu-
 
 26  lation, adopt any or all such criteria as  the  secretary  deems  to  be
 
 27  consistent with the purposes of this article. The transitional committee
 
 28  shall be appointed no later than sixty days after this subdivision shall
 
                                        26                         13001-04-9
 
  1  have  become  a law and shall continue in existence until January first,
 
  2  two thousand, unless the secretary determines that a  longer  period  of
 
  3  service  is necessary to accomplish the goals set forth in this subdivi-
 
  4  sion.
 
  5    § 3. Section 378 of the executive law is REPEALED.
 
  6    § 4. Subdivisions  1 and 2 of section 379 of the executive law, subdi-
 
  7  vision 1 as amended by chapter 772 of the laws of 1986 and subdivision 2
 
  8  as added by chapter 707 of the laws of 1981,  are  amended  to  read  as
 
  9  follows:
 
 10    1.  Except in the case of factory manufactured homes, intended for use
 
 11  as one or two family dwelling units or multiple dwellings  of  not  more
 
 12  than two stories in height, the legislative body of any local government
 
 13  [may  duly]  shall petition the council if it proposes to enact or adopt
 
 14  local laws or ordinances imposing higher or more  restrictive  standards
 
 15  for  construction  within the jurisdiction of such local government than
 
 16  are applicable generally to such local government in the  uniform  code.
 
 17  [Within  thirty  days of such enactment or adoption, the chief executive
 
 18  officer, or if there be none, the chairman of the  legislative  body  of
 
 19  such  local  government, shall so notify the council, and shall petition
 
 20  the council for a determination of whether such local laws or ordinances
 
 21  are more stringent than the standards for construction applicable gener-
 
 22  ally to such local government in the uniform code.] During the period in
 
 23  which either the council or the secretary is considering such  petition,
 
 24  such  local laws or ordinances shall [remain in full force and] not take
 
 25  effect.
 
 26    2. [If] Within one hundred eighty days from  receipt  of  a  completed
 
 27  petition,  the council shall determine whether such standards are appro-
 
 28  priate and notify the local government whether such  standards  will  be
 
                                        27                         13001-04-9
 
  1  approved  or  rejected  in  whole  or  in  part. In order to approve for
 
  2  adoption the provisions contained in such a petition the council [finds]
 
  3  must find that [such] the provisions proposed establish higher  or  more
 
  4  restrictive  standards  than those existing in the uniform code, conform
 
  5  with accepted engineering and fire prevention practices and the purposes
 
  6  of this article, and  are  reasonably  necessary  because  of  [special]
 
  7  unique  conditions prevailing within the local government [and that such
 
  8  standards conform with accepted engineering and  fire  prevention  prac-
 
  9  tices  and  the  purposes  of this article, the council shall adopt such
 
 10  standards, in whole or part] but which do not merit proposal  as  amend-
 
 11  ments  to  the uniform code.   The council shall have the power to limit
 
 12  the term or duration of such standards, impose conditions in  connection
 
 13  with  the  adoption  thereof,  and  to  terminate such standards at such
 
 14  times, and in such manner as the council may deem  necessary,  desirable
 
 15  or proper.  If the council fails to render a determination on a complete
 
 16  petition within one hundred eighty days of receipt, the requesting local
 
 17  government may adopt such standards, in whole or part to the extent they
 
 18  are  contained  in the petition originally submitted to the council. The
 
 19  council shall review all such  local  standards  every  three  years  to
 
 20  ensure  that  each standard is necessary and appropriate in light of any
 
 21  changes to the uniform code since the standard was adopted. If the coun-
 
 22  cil finds that any of these standards is no longer necessary and  appro-
 
 23  priate,  the  council shall direct modification or repeal of such stand-
 
 24  ard.
 
 25    § 5. Subdivision 4 of section 379 of the executive law is REPEALED and
 
 26  subdivision 5 is renumbered subdivision 4.
 
                                        28                         13001-04-9
 
  1    § 6. The opening paragraph of  subdivision  1  and  subdivision  2  of
 
  2  section 381 of the executive law, as added by chapter 707 of the laws of
 
  3  1981, are amended to read as follows:
 
  4    The secretary shall promulgate rules and regulations prescribing mini-
 
  5  mum  standards  for  administration  and enforcement of the uniform fire
 
  6  prevention and building code promulgated in accordance  with  [sections]
 
  7  section three hundred seventy-seven [and three hundred seventy-eight] of
 
  8  this  article.  Such  rules  and  regulations shall become effective not
 
  9  later than the first day of January, nineteen hundred  eighty-five.  The
 
 10  secretary  shall  promulgate  such  regulations after public hearing and
 
 11  after considering reaction to initial administration and enforcement  of
 
 12  the  uniform  building  and  fire  prevention  code, including how local
 
 13  governments have organized to provide for  such  initial  administration
 
 14  and enforcement. Such rules and regulations shall address the nature and
 
 15  quality  of  enforcement  and  shall  include, but not be limited to the
 
 16  following:
 
 17    2. Except as may be provided in regulations of the secretary  pursuant
 
 18  to  subdivision one of this section, every local government shall admin-
 
 19  ister and enforce the uniform fire prevention and building code  on  and
 
 20  after  the first day of January, nineteen hundred eighty-four, provided,
 
 21  however, that a local government may enact a  local  law  prior  to  the
 
 22  first day of July [in any year], nineteen hundred ninety-eight providing
 
 23  that it will not enforce the uniform code [on and after the first day of
 
 24  January  next  succeeding]. In such event the county in which said local
 
 25  government is situated shall administer and  enforce  the  uniform  code
 
 26  within  such  local  government  from and after the first day of January
 
 27  next succeeding the effective date of such local law, in accordance with
 
 28  the provisions of paragraph b of subdivision five of this section unless
 
                                        29                         13001-04-9
 
  1  the county shall have enacted a local law prior  to  the  first  day  of
 
  2  July,  nineteen  hundred ninety-eight providing that it will not enforce
 
  3  the uniform code within that county. In such event the secretary in  the
 
  4  place  and stead of the local government shall, directly or by contract,
 
  5  administer and enforce the uniform code. A local government or a  county
 
  6  may  repeal  a  local  law  which  provides that it will not enforce the
 
  7  uniform code and shall thereafter administer  and  enforce  the  uniform
 
  8  code as provided above. Local governments may provide for joint adminis-
 
  9  tration  and  enforcement by agreement pursuant to article five-G of the
 
 10  general municipal law. Any local government  may  enter  into  agreement
 
 11  with the county in which such local government is situated to administer
 
 12  and  enforce  the  uniform  code  within  such local government.   Local
 
 13  governments or counties may charge fees to defray the costs of  adminis-
 
 14  tration and enforcement.
 
 15    §  7.  Section 11-102 of the energy law is amended by adding three new
 
 16  subdivisions 10, 11 and 12 to read as follows:
 
 17    10. "Secretary." The secretary of state.
 
 18    11. "Cost effective." The cost of materials and their installation  to
 
 19  meet  code standards would be equal to or less than the present value of
 
 20  energy savings that could be expected over a  ten  year  period  in  the
 
 21  building in which such materials are installed.
 
 22    12.  "Council."  The  state  fire prevention and building code council
 
 23  created by article eighteen of the executive law.
 
 24    § 8. Section 11-103 of the energy law, as amended by  chapter  292  of
 
 25  the laws of 1998, is amended to read as follows:
 
 26     §  11-103. Applications. 1. (a) The code relating to the construction
 
 27  of all buildings, or classes of buildings in the state, for purposes  of
 
 28  minimizing  the  consumption  of  energy and providing for the efficient
 
                                        30                         13001-04-9
 
  1  utilization of the energy expended in the use and occupancy of buildings
 
  2  is continued.  [Such code shall be at least equal to the standards spec-
 
  3  ified in standard 90-75 of the American Society of Heating,  Refrigerat-
 
  4  ing  and Air Conditioning Engineers, Inc., entitled "Energy Conservation
 
  5  in New Building Design", known hereafter as ASHRAE Standard  90-75;  and
 
  6  to  the  reference  standards  upon  which  the ASHRAE Standard 90-75 is
 
  7  based; provided however, that in addition any portion of the code  which
 
  8  applies  to residential construction shall be at least equivalent to the
 
  9  requirements set forth in the public service  commission  opinions,  PSC
 
 10  76-16  (C)  dated May fifteenth and sixteenth, nineteen hundred seventy-
 
 11  seven, and appendices thereto. The code shall apply to all buildings for
 
 12  which application for a building permit is made and plans are  filed  in
 
 13  this  state  on  or  after January first, nineteen hundred seventy-nine,
 
 14  which date shall be the effective date of the code.
 
 15    (b)] The rules and regulations relating specifically to  the  substan-
 
 16  tial  renovation of all buildings, or classes of buildings in the state,
 
 17  for purposes of minimizing the consumption of energy and  providing  for
 
 18  the efficient utilization of the energy expended in the use and occupan-
 
 19  cy  of  such  buildings are continued.  Such rules and regulations shall
 
 20  apply only to that portion of a building subsystem or  subsystems  which
 
 21  is  replaced;  provided  that  fifty  percent  or  more of such building
 
 22  subsystem or subsystems is replaced.
 
 23    (b) The secretary shall, on or before two  years  from  the  effective
 
 24  date  of this amended section, or as soon thereafter as may be practica-
 
 25  ble, but no sooner than one year from the effective date of this amended
 
 26  section, adopt, by regulation following public hearing, a new  New  York
 
 27  state energy conservation construction code based upon the standards for
 
 28  residential  and  commercial  buildings  contained  in the International
 
                                        31                         13001-04-9
 
  1  Energy and Construction Code prepared by the International Code  Commis-
 
  2  sion,  provided  however, that prior to said adoption, the secretary has
 
  3  certified through publication in the state register that the code to  be
 
  4  adopted  is  cost effective with respect to building construction in the
 
  5  state.
 
  6    (c) The adoption of the energy,  conservation  and  construction  code
 
  7  based  upon  the  International  Energy  Conservation  Code shall not be
 
  8  construed to prevent the State fire prevention and building code council
 
  9  from adopting different or supplemental code provisions for the  purpose
 
 10  of  addressing any special needs and conditions associated with New York
 
 11  buildings, structures and premises,  provided  however,  that  any  such
 
 12  provisions  must:  (i)  be  necessary to address a condition in New York
 
 13  that requires a standard different from such model code or  codes;  (ii)
 
 14  be  necessary  to  promote the general health, safety and welfare of the
 
 15  public; (iii) be consistent with accepted national engineering and ener-
 
 16  gy conservation practices, standards and  procedures  contained  in  the
 
 17  code  adopted  by the secretary; and (iv) be cost effective with respect
 
 18  to building construction in the state.
 
 19    2. The [state fire prevention and building code] council  [is  author-
 
 20  ized,  from time to time as it deems appropriate and consistent with the
 
 21  purposes of this article, to review and amend the code through rules and
 
 22  regulations] shall consider the periodic  amendments  developed  by  the
 
 23  International  Code  Commission and shall determine whether to reject or
 
 24  accept and adopt such amendments in  whole  or  in  part  within  twelve
 
 25  months  of the publication of the amendments by the model code organiza-
 
 26  tion provided that the code  remains  cost  effective  with  respect  to
 
 27  building  construction  in  the  state.  [The  code shall be deemed cost
 
 28  effective if the cost of materials and their installation  to  meet  its
 
                                        32                         13001-04-9
 
  1  standards  would  be  equal  to or less than the present value of energy
 
  2  savings that could be expected over a ten year period in the building in
 
  3  which such materials are installed] The New York state  energy  research
 
  4  and  development  authority shall be consulted prior to the promulgation
 
  5  of any substantial revision of the energy code. Prior to  the  promulga-
 
  6  tion  of  any  substantial  revision of the energy code, the council may
 
  7  convene an advisory committee which  shall  include  builders,  building
 
  8  designers,  representatives  of  utilities  and  other energy providers,
 
  9  energy conservation experts, environmental advocates and consumer  advo-
 
 10  cates.
 
 11    3.  [Notwithstanding  any  other  provision  of  law,  the  state fire
 
 12  prevention and building code] The secretary and the council  in  accord-
 
 13  ance  with the mandate under this article shall have exclusive authority
 
 14  among state agencies to promulgate  a  construction  code  incorporating
 
 15  energy conservation features. Any other code, rule or regulation hereto-
 
 16  fore  promulgated  or  enacted  by any other state agency, incorporating
 
 17  specific energy conservation requirements applicable to the construction
 
 18  of any building, shall be superseded by the code promulgated pursuant to
 
 19  this section.
 
 20    4. The secretary [of state] is authorized to issue written interpreta-
 
 21  tions of the code upon written request of  a  permit  applicant  or  the
 
 22  official  responsible  for  the  administration  and  enforcement of the
 
 23  provisions of the code. Subsequent enforcement  of  the  code  shall  be
 
 24  consistent with such written interpretations.
 
 25    §  9.  Section  11-105 of the energy law, as amended by chapter 292 of
 
 26  the laws of 1998, is amended to read as follows:
 
 27    § 11-105. Limitation of application. Notwithstanding the provisions of
 
 28  subdivision one of section 11-103  of  this  article,  the  [state  fire
 
                                        33                         13001-04-9
 
  1  prevention  and  building  code]  council,  by regulation, may limit the
 
  2  application of any portion of the code  so  as  to  include  or  exclude
 
  3  classes  or types of buildings, according to the use thereof or the cost
 
  4  effectiveness  of  the  code  with  respect to any such class or type of
 
  5  building, or according to any other distinction as  may  make  differen-
 
  6  tiation  or  separate  classification or regulation necessary, proper or
 
  7  desirable, so long  as  any  such  limitation  is  consistent  with  the
 
  8  purposes of this article and the criteria set forth in section 11-104 of
 
  9  this article.
 
 10    § 10. Subdivision 2 of section 11-106 of the energy law, as amended by
 
 11  chapter 292 of the laws of 1998, is amended to read as follows:
 
 12    2.  An  application  for a variance or modification of any standard or
 
 13  requirement of the code shall be made to the secretary [of state].
 
 14    § 11. Section 11-109 of the energy law, as added by chapter 397 of the
 
 15  laws of 1978, subdivision 1 as amended by chapter 516  of  the  laws  of
 
 16  1984 and subdivision 2 as amended by chapter 292 of the laws of 1998, is
 
 17  amended to read as follows:
 
 18    §  11-109.  Municipal regulations. 1. Nothing in this article shall be
 
 19  construed as abrogating or impairing the power of  any  municipality  or
 
 20  the secretary [of state] to enforce the provisions of any local building
 
 21  regulations   or   the   state  uniform  fire  prevention  and  building
 
 22  construction code, provided that such local building regulations are not
 
 23  inconsistent with the code. [Nor shall anything] Except as  provided  in
 
 24  subdivision  two  of  this  section,  nothing  in  this article shall be
 
 25  construed as abrogating or impairing the power of  any  municipality  to
 
 26  promulgate  a  local  energy conservation construction code [more strin-
 
 27  gent] containing higher or more restrictive standards than the code.
 
                                        34                         13001-04-9
 
  1    2.  Any municipality which proposes to adopt a local energy  conserva-
 
  2  tion construction code or any amendments or revisions thereof in accord-
 
  3  ance  with  this  section  shall first petition the council to determine
 
  4  whether such code imposes higher or more restrictive  standards.  Within
 
  5  one  hundred  eighty  days from the receipt of a completed petition, the
 
  6  council shall determine whether such standards are appropriate and noti-
 
  7  fy the local government whether  such  standards  will  be  approved  or
 
  8  rejected  in  whole  or  in  part.  In order to approve for adoption the
 
  9  provisions contained in such a petition the council must find  that  the
 
 10  provisions  proposed establish higher or more restrictive standards than
 
 11  exist in the model code, conform with accepted  engineering  and  energy
 
 12  conservation practices and the purposes of this article, and are reason-
 
 13  ably  necessary because of unique conditions prevailing within the local
 
 14  government but do not merit proposal as amendments to  the  model  code.
 
 15  The  council  shall have the power to limit the term or duration of such
 
 16  standards, impose conditions in connection with  the  adoption  thereof,
 
 17  and to terminate such standards at such times, and in such manner as the
 
 18  council may deem necessary, desirable or proper. If the council fails to
 
 19  render a determination on a completed petition within one hundred eighty
 
 20  days  of  receipt, the requesting local government may adopt such stand-
 
 21  ards, in whole or part to the extent they are contained in the  petition
 
 22  originally  submitted  to the council. The council shall review all such
 
 23  local standards every three years to ensure that each standard is neces-
 
 24  sary and appropriate in light of any changes to the model code since the
 
 25  standard was adopted.  If the council finds that any of these  standards
 
 26  is no longer necessary and appropriate, the council shall direct modifi-
 
 27  cation or repeal of such standard. Any municipality which adopts a local
 
 28  energy  conservation  construction  code  or any amendments or revisions
 
                                        35                         13001-04-9
 
  1  thereof in accordance with this section shall file a copy of  such  code
 
  2  and  any amendments or revisions thereof with the [state fire prevention
 
  3  and building code] council within  thirty  days  after  promulgation  or
 
  4  adoption  of  such code, amendments or revisions. [The failure to comply
 
  5  with the provisions of this subdivision shall not  impair  or  otherwise
 
  6  affect the validity of such local code or amendment or revision.]
 
  7    §  12.  Section 11-110 of the energy law, as amended by chapter 292 of
 
  8  the laws of 1998, is amended to read as follows:
 
  9    § 11-110. Reporting; cooperation of other agencies. 1.  The  secretary
 
 10  [of state] shall report yearly to the legislature and the governor as to
 
 11  the  operation  and  effectiveness  of  the  state  energy  conservation
 
 12  construction code.
 
 13    2. Agencies and municipalities of the state shall provide  the  secre-
 
 14  tary  [of  state]  with  such  cooperation and assistance as he may deem
 
 15  necessary to carry out the purposes of this article.
 
 16    § 13. Section 54-g of the state finance law  is  REPEALED  and  a  new
 
 17  section 54-g is added to read as follows:
 
 18    §  54-g.  State  assistance to local governments for support of activ-
 
 19  ities related to  fire  prevention  and  building  codes.  1.  Upon  the
 
 20  adoption  by the secretary of state of a new New York state uniform fire
 
 21  prevention and building code pursuant  to  subdivision  two  of  section
 
 22  three  hundred  seventy-seven  of  the executive law, and a new New York
 
 23  state energy conservation construction code pursuant to  section  11-103
 
 24  of  the  energy law, each city, village, and town, and each county which
 
 25  enforces the adopted code pursuant to subdivision two of  section  three
 
 26  hundred  eighty-one  of  the  executive law, may be eligible, subject to
 
 27  rules and regulations promulgated by the secretary of state, to  receive
 
 28  reimbursement  for  the costs associated with training, including travel
 
                                        36                         13001-04-9
 
  1  and training materials, and equipment, including computer  hardware  and
 
  2  software  but excluding vehicles, associated with the administration and
 
  3  enforcement of the aforementioned new codes, from moneys appropriated by
 
  4  the  state  up  to  a  statewide annual amount of three million dollars,
 
  5  subject to the provisions of subdivisions two and three of this section.
 
  6    2. Each city, village and town, and each  county  which  enforces  the
 
  7  adopted code pursuant to subdivision two of section three hundred eight-
 
  8  y-one  of  the  executive  law,  shall pay for the costs of the adminis-
 
  9  tration and enforcement of the New York state  uniform  fire  prevention
 
 10  and  building  code  and  the  new  New  York  state energy conservation
 
 11  construction code in the first instance. Not later than the first day of
 
 12  May following a state fiscal year in which  such  costs  were  incurred,
 
 13  each  city,  village  and town and county which administers and enforces
 
 14  the state code  shall  certify  the  amount  of  their  actual  eligible
 
 15  expenses  to the secretary of state in a format proscribed by the secre-
 
 16  tary of state and approved by the director  of  the  budget.    Personal
 
 17  service  expenses  shall not be eligible for reimbursement. In the event
 
 18  that the claims for the previous state fiscal year’s  eligible  expenses
 
 19  submitted  as of May first shall exceed the amount of the appropriation,
 
 20  the secretary of state shall  distribute  the  available  funds  propor-
 
 21  tionally  on  the  basis of the eligible certified expenses submitted by
 
 22  the city, village, town, and county for that prior fiscal year.
 
 23    3. Cities, villages and towns in which the secretary of state adminis-
 
 24  ters and enforces the New York state uniform fire prevention and  build-
 
 25  ing  code  pursuant to section three hundred eighty-one of the executive
 
 26  law shall not be eligible to receive reimbursement under this section.
 
 27    § 14. Within one hundred twenty days of the adoption of  the  new  New
 
 28  York  state  uniform  fire  prevention and building code provided for in
 
                                        37                         13001-04-9
 
  1  this act, a local government must notify the code council of its  intent
 
  2  to  retain some, all or none of its local standards that exist as of the
 
  3  date this act shall have become a law.
 
  4    §  15.  Within  one hundred twenty days of the adoption of the new New
 
  5  York state energy conservation construction code provided  for  in  this
 
  6  act, a local government must notify the secretary of state of its intent
 
  7  to  retain  some,  all  or  none of its local energy code standards that
 
  8  exist as of the date this act shall have become a law.
 
  9    § 16. This act shall take effect immediately except that sections four
 
 10  and six of this act shall take effect upon the adoption of the  new  New
 
 11  York  state uniform fire prevention and building code promulgated pursu-
 
 12  ant to subdivision 2 of section 377 of the executive  law  as  added  by
 
 13  section two of this act.
 
 14                                   PART F
 
 15    §  1.    Subdivision  1  of  section  66-b of the state finance law is
 
 16  amended by adding a new closing paragraph to read as follows:
 
 17    For purposes of millennium compliance of computer software and comput-
 
 18  er hardware, personal property to be financed  through  certificates  of
 
 19  participation  issued  pursuant  to  this article may include consultant
 
 20  services for software developments and improvements notwithstanding that
 
 21  associated computer software and/or  computer  hardware  are  not  being
 
 22  financed  through  such  certificates of participation and to the extent
 
 23  such consultant services result in usable  and,  therefore,  amortizable
 
 24  software  developments and improvements and the state retains the rights
 
 25  of ownership to such developments and improvements.
 
 26    § 2. Section 66-c of the state finance law, as added by chapter 583 of
 
 27  the laws of 1986, is amended to read as follows:
 
                                        38                         13001-04-9
 
  1    § 66-c. Certificates of  participation  not  debt.    Certificates  of
 
  2  participation or similar instruments issued pursuant to this article and
 
  3  the  underlying  installment purchase or lease purchase contracts do not
 
  4  constitute or create debt of the state as defined in  article  seven  of
 
  5  the  state  constitution,  nor a contractual obligation in excess of the
 
  6  amounts appropriated therefor, and the state has no continuing legal  or
 
  7  moral  obligation  to appropriate money for said payments or other obli-
 
  8  gations due under the installment purchase contracts.   In the  case  of
 
  9  the failure to appropriate, the sole security for any remaining periodic
 
 10  payments  shall  be the property, if any, which may be subject to a lien
 
 11  pursuant to the terms of the  installment  purchase  or  lease  purchase
 
 12  contract and debt service reserve funds in the custody of the trustee or
 
 13  any  other  remaining  proceeds,  subject  to  the provisions of section
 
 14  sixty-six-h of this article.
 
 15    § 3.  This act shall take effect April 1, 1999 and shall expire and be
 
 16  deemed repealed March 31, 2000.
 
 17                                   PART G
 
 18    § 1.  Subparagraph (b) of paragraph 2 of subdivision b of  section  23
 
 19  of the retirement and social security law is amended to read as follows:
 
 20    (b)  In  the  case  of  an employer electing to participate after July
 
 21  first, nineteen hundred forty-eight and before March thirty-first, nine-
 
 22  teen hundred ninety-nine, an initial actuarial valuation shall  be  made
 
 23  to  determine  the  accrued liability of such employer by reasons of the
 
 24  prior service of those of its employees who are members of  the  retire-
 
 25  ment  system.    The  rate  of deficiency contribution for such employer
 
 26  shall then be determined.  Such rate shall be  that  proportion  of  the
 
 27  total annual compensation of such employees as is equivalent to four per
 
 28  centum  of  such  accrued liability.   Such rate shall be applied to the
 
                                        39                         13001-04-9
 
  1  employer’s payroll of members, as used in the  annual  valuation.    The
 
  2  cost of making such initial valuation shall be assessed against and paid
 
  3  by such employer.
 
  4    Notwithstanding the above, for employers who commence participation in
 
  5  the  retirement system on or after April first, nineteen hundred ninety-
 
  6  nine, the accrued liability shall be amortized in equal annual  install-
 
  7  ments  over  a  twenty-five year period.  With respect to such employers
 
  8  the cost of making such initial valuation shall be assessed against  and
 
  9  paid by the employer.  The provisions of subdivisions c, d and e of this
 
 10  section  shall  not apply to employers who commence participation in the
 
 11  retirement system on or after April first, nineteen hundred ninety-nine.
 
 12    § 2.  Paragraph 3 of subdivision b of section 23 of the retirement and
 
 13  social security law is amended by adding a new subparagraph (c) to  read
 
 14  as follows:
 
 15    (c)  Notwithstanding  any  other  provision of this subdivision or any
 
 16  other law, the administrative contribution for  a  year,  as  determined
 
 17  pursuant  to  paragraph  one  of subdivision b of this section, shall be
 
 18  paid from the pension accumulation fund if payment from such  fund  will
 
 19  not affect the normal contribution for such year.
 
 20    §  3.  Subparagraph (b) of paragraph 2 of subdivision b of section 323
 
 21  of the retirement and social security law, as added by chapter  1000  of
 
 22  the laws of 1966, is amended to read as follows:
 
 23    (b)  In  the  case  of  an  employer  who elects to participate in the
 
 24  [policemen’s and firemen’s] police and  fire  retirement  system  on  or
 
 25  after  April  first, nineteen hundred sixty-seven and before March thir-
 
 26  ty-first, nineteen hundred ninety-nine, an initial  actuarial  valuation
 
 27  shall  be  made  to  determine the accrued liability of such employer by
 
 28  reason of the prior service of those of its employees who are members of
 
                                        40                         13001-04-9
 
  1  the retirement system.   The rate of deficiency  contribution  for  such
 
  2  employer  shall  then be determined.  Such rate shall be that proportion
 
  3  of the total annual compensation of such employees as is  equivalent  to
 
  4  four  per  centum of such accrued liability.  Such rate shall be applied

 
  5  to the employer’s payroll of members, as used in the  annual  valuation.
 
  6  The  cost of making such initial valuation shall be assessed against and
 
  7  paid by such employer.
 
  8    Notwithstanding the above, for employers who commence participation in
 
  9  the retirement system on or after April first, nineteen hundred  ninety-
 
 10  nine,  the accrued liability shall be amortized in equal annual install-
 
 11  ments over a twenty-five year period.   With respect to  such  employers
 
 12  the  cost of making such initial valuation shall be assessed against and
 
 13  paid by the employer.  The provisions of subdivisions c, d and e of this
 
 14  section shall not apply to employers who commence participation  in  the
 
 15  retirement system on or after April first, nineteen hundred ninety-nine.
 
 16    § 4. Paragraph 3 of subdivision b of section 323 of the retirement and
 
 17  social  security law is amended by adding a new subparagraph (c) to read
 
 18  as follows:
 
 19    (c) Notwithstanding any other provision of  this  subdivision  or  any
 
 20  other  law,  the  administrative  contribution for a year, as determined
 
 21  pursuant to paragraph one of subdivision b of  this  section,  shall  be
 
 22  paid  from  the pension accumulation fund if payment from such fund will
 
 23  not affect the normal contribution for such year.
 
 24    § 5. This act shall take effect immediately.
 
 25                                    PART H
 
 26    § 1. The state comptroller is hereby authorized and directed  to  loan
 
 27  money   in accordance  with the provisions set forth in subdivision 5 of
 
                                        41                         13001-04-9
 
  1  section 4 of the state finance  law  to  the  following    funds  and/or
 
  2  accounts:
 
  3  1.  Tuition reimbursement fund (050):
 
  4      a.    Proprietary vocational school supervision account (02).
 
  5  2.  Local government records management improvement fund (052).
 
  6  3.  Health facilities capital improvement fund (071).
 
  7  4.  Dedicated highway and bridge trust fund (072).
 
  8  5.  State parks infrastructure trust fund (076).
 
  9  6.  Clean water/clean air implementation fund (079).
 
 10  7.  State lottery fund (160).
 
 11  8.  Federal health, education and human services fund (265):
 
 12      a.    Miscellaneous agencies (80).
 
 13  9.  Federal block grant fund (269):
 
 14      a.    1997 community services block grant (J6).
 
 15      b.    1998 community services block grant (K6).
 
 16      c.    1999 community services block grant (L6).
 
 17      d.    2000 community services block grant.
 
 18  10. Federal operating grants fund (290):
 
 19      a.    Division of military and naval affairs training sites (30).
 
 20      b.    Division   of  military  and  naval  affairs army and national
 
 21            guard contract (35).
 
 22      c.    Division  of military and naval  affairs  air  national  guard
 
 23            contract (36).
 
 24      d.    Division  of  military  and  naval  affairs air national guard
 
 25            security guards (38).
 
 26      e.    Division of military and naval  affairs  emergency  management
 
 27            account (72).
 
 28      f.    Federal library services technology act account (90).
 
                                        42                         13001-04-9
 
  1      g.    Federal   energy   management   account  -  state  heating oil
 
  2            program (AE).
 
  3      h.    National park rehab (A1).
 
  4      i.    Division  of  veterans'  affairs - veterans' education account
 
  5            (B5).
 
  6      j.    NW Brooklyn drug court (DE).
 
  7      k.    Federal equal opportunity (G1).
 
  8      l.    National community service fund (JA).
 
  9      m.    Rural and small urban transit aid account (L2).
 
 10      n.    Federal housing and urban development  account-local  planning
 
 11            (L3).
 
 12      o.     Urban    mass   transportation   administration account-local
 
 13            planning (L4).
 
 14      p.    Federal fund for pipeline safety account   -    1983  pipeline
 
 15            safety grant (L8).
 
 16      q.    Foster care and adoption (W6).
 
 17      r.    Buffalo city drug plan (W7).
 
 18      s.    Suffolk district drug plan (W9).
 
 19      t.    Encon agriculture (Y1).
 
 20      u.    Encon commerce (Y2).
 
 21      v.    Wildlife restoration (Y3).
 
 22      w.    Encon EPA (Y4).
 
 23      x.    Interior Non Wildlife (Y7).
 
 24      y.    Air Pollution Control (Y8).
 
 25      z.    Hazardous Waste (Y9).
 
 26      aa.   Encon ISTEA (A9).
 
 27      bb.   COPSMORE 98 grant (2P).
 
 28  11. Federal capital projects fund (291).
 
                                        43                         13001-04-9
 
  1  12. Environmental conservation special revenue fund (301):
 
  2      a.    Hazardous bulk storage account (F7).
 
  3      b.    Utility environmental regulation account (H4).
 
  4      c.    Low level radioactive waste siting account (K5).
 
  5      d.    Recreation account (K6).
 
  6      e.    Conservationist magazine account (S4).
 
  7      f.    Environmental regulatory account (S5).
 
  8      g.    Mined land reclamation program acct (XB).
 
  9  13. Environmental protection and oil spill compensation fund (303).
 
 10  14. Clean air fund (314).
 
 11  15. Centralized services account (323).
 
 12  16. Suburban transportation fund (327).
 
 13  17. Agency enterprise fund (331):
 
 14      a.    OGS convention center account (55).
 
 15  18. Agencies internal service fund (334).
 
 16  19. Miscellaneous special revenue fund (339):
 
 17      a.    Adoption information registry account (01).
 
 18      b.    Statewide  planning  and  research  cooperative system account
 
 19            (03).
 
 20      c.    Energy office utility conservation activities account (06).
 
 21      d.    New York state thruway authority account (08).
 
 22      e.    Office of mental retardation  and  developmental  disabilities
 
 23            nonpersonal service patient income account (10).
 
 24      f.    Empire state plaza arts center corporation account (12).
 
 25      g.    Civic center account (14).
 
 26      h.    Financial control board account (15).
 
 27      i.    Yonkers emergency financial control board account (16).
 
 28      j.    Tri-state federal account (17).
 
                                        44                         13001-04-9
 
  1      k.    Quality of care account (20).
 
  2      l.    Continuing care retirement community account (28).
 
  3      m.    Surplus commodity container account (40).
 
  4      n.    Hospital and nursing home management account (44).
 
  5      o.    State university dormitory income reimbursable account (47).
 
  6      p.    Energy research account (60).
 
  7      q.    Emergency management account (61).
 
  8      r.    Criminal justice services improvement account (62).
 
  9      s.    New York fire academy account (72).
 
 10      t.    Department  of  transportation  and  fees  and permits account
 
 11            (77).
 
 12      u.    Environmental laboratory reference fee account (81).
 
 13      v.    Health services account (86).
 
 14      w.    Clinical laboratory reference fee account (90).
 
 15      x.    Minority and women’s business development account (91).
 
 16      y.    Public employment relations board account (93).
 
 17      z.    Teacher certification program account (A4).
 
 18      aa.   Banking department account (A5).
 
 19      bb.    Cable television account (A6).
 
 20      cc.    Hospital based grants program account (AF).
 
 21      dd.   Indirect cost recovery account (AH).
 
 22      ee.   High school equivalency program account (AI).
 
 23      ff.   Rail safety inspection account (AQ).
 
 24      gg.   OMRDD quality assurance audit account (AS).
 
 25      hh.   Administrative reimbursement account (AR).
 
 26      ii.   Millennium compliance account (B3).
 
 27      jj.   Insurance department account (B6).
 
 28      kk.   Workers' compensation account (B7).
 
                                        45                         13001-04-9
 
  1      ll.   Bell jar account (BJ).
 
  2      mm.   Industry and utility service account (BK).
 
  3      nn.   Energy efficient rebate account (BL).
 
  4      oo.   Real property disposition account (BP).
 
  5      pp.   Auditing services refund account (BN).
 
  6      qq.   Parking account (BQ).
 
  7      rr.   Procurement revenue account (BR).
 
  8      ss.   Asbestos safety training program account (BW).
 
  9      tt.   Improvement of real property tax administration account (BZ).
 
 10      uu.   Public service account (C3).
 
 11      vv.   Revenue arrearage account (CR).
 
 12      ww.   State central register account (CY).
 
 13      xx.   Plant industry account (CZ).
 
 14      yy.   Batavia school for the blind account (D9).
 
 15      zz.   Surplus property account (DE).
 
 16      aaa.  Financial oversight account (DI).
 
 17      bbb.  Medicaid fraud control (DL).
 
 18      ccc.  Regulation of Indian gaming account (DT).
 
 19      ddd.  Special conservation activities account (DU).
 
 20      eee.  Office of the professions account (E3).
 
 21      fff.  Rome school for the deaf account (E6).
 
 22      ggg.  Seized assets account (E8).
 
 23      hhh.  Administrative adjudication account (E9).
 
 24      iii.  Federal salary sharing account (EC).
 
 25      jjj.  Transportation regulation account (F1).
 
 26      kkk.  Managed care pilot account (FD).
 
 27      lll.  Second opinion panel account (FE).
 
 28      mmm.  Local services account (G3).
 
                                        46                         13001-04-9
 
  1      nnn.  Division  of housing and community renewal housing information
 
  2            systems special revenue account (H1).
 
  3      ooo.  Housing special revenue account (H2).
 
  4      ppp.  Triplicate prescription forms account (H5).
 
  5      qqq.  Department  of  motor  vehicles  compulsory  insurance account
 
  6            (H7).
 
  7      rrr.  Professional medical conduct account (H9).
 
  8      sss.  Housing credit agency application fee account (J5).
 
  9      ttt.  Roger Tory Peterson account (K7).
 
 10      uuu.  Adult cystic fibrosis program account (L5).
 
 11      vvv.  Federal gasoline and diesel fuel excise tax account (L6).
 
 12      www.  Administrative reimbursement fund (L7).
 
 13      xxx.  Maternal and child HIV services account (LC).
 
 14      yyy.  Low income housing credit monitoring fee account (NG).
 
 15      zzz.  Procurement opportunities newsletter account (P4).
 
 16      aaaa. Corporation administration account (P6).
 
 17      bbbb. Excelsior capital corporation reimbursement account (R1).
 
 18      cccc. Weights and measures account (R5).
 
 19      dddd. Batavia medicaid income account (S1).
 
 20      eeee. Rent revenue account (S8).
 
 21      ffff. Transportation safety account (T1).
 
 22      gggg. Transportation aviation account (T5).
 
 23      hhhh. Solid waste management account (W3).
 
 24      iiii. Occupational health clinics account (W4).
 
 25      jjjj. Legal technology account (A1).
 
 26      kkkk. Food assistance program account (19).
 
 27      llll. Regulation of racing account.
 
 28      mmmm. Examination and Miscellaneous revenue account.
 
                                        47                         13001-04-9
 
  1      nnnn. Affordable housing program account.
 
  2      oooo. Radiological health protection account.
 
  3      pppp. State student financial aid audit account.
 
  4  20. State university income fund (345):
 
  5      a. State university general income offset account (11).
 
  6  21. State police and motor vehicle law enforcement fund (354):
 
  7      a. State police motor vehicle law enforcement account (02).
 
  8  22. Youth facilities improvement fund (357).
 
  9  23. Highway safety program fund (362).
 
 10  24. Drinking water program management and administration fund (366).
 
 11  25. New York City county clerks offset fund (368).
 
 12  26. Housing assistance fund (374).
 
 13  27. Housing program fund (376).
 
 14  28. Department of transportation - engineering services fund (380).
 
 15  29. Miscellaneous capital projects (387):
 
 16      a. Clean air capital account (08).
 
 17  30. CUNY capital projects fund (388).
 
 18  31. Mental hygiene facilities capital improvement fund (389).
 
 19  32. Joint/labor management administration fund (394):
 
 20      a. Joint labor/management administration fund (01).
 
 21  33. Audit and control revolving account (395):
 
 22      a. Executive direction internal audit account (04).
 
 23  34. Health insurance internal service fund (396).
 
 24  35. Correctional industries revolving account (397).
 
 25  36. Correctional facilities capital improvement fund (399).
 
 26    §  2.  Notwithstanding  section  97-n of the state finance law, and in
 
 27  accordance with section 4 of the state finance law, the  comptroller  is
 
 28  hereby  authorized  and  directed,  upon  request of the director of the
 
                                        48                         13001-04-9
 
  1  budget, to transfer any moneys in the Hudson river valley greenway  fund
 
  2  (056)  between  the  Hudson  river  valley  greenway communities council
 
  3  account (01) and the greenway heritage conservancy of the  Hudson  river
 
  4  valley account (02) on or before March 31, 2000.
 
  5    §  3.  The  comptroller  is  authorized and directed to deposit to the
 
  6  general fund - state purposes account reimbursements from moneys  appro-
 
  7  priated  or  reappropriated  to  the correctional facilities improvement
 
  8  fund (399) by a chapter of the laws of  1998.  Reimbursements  shall  be
 
  9  available  for  spending  from  appropriations made to the department of
 
 10  correctional services in the general fund - state purposes account by  a
 
 11  chapter of the laws of 1999 for costs associated with the administration
 
 12  and security of capital projects and for other costs which are attribut-
 
 13  able, according to a plan, to such capital projects.
 
 14    §  4.  Subdivisions 2 and 3 of section 97-ss of the state finance law,
 
 15  as amended by section 9 of part B of chapter 57 of the laws of 1998, are
 
 16  amended to read as follows:
 
 17    2. Notwithstanding the provisions of paragraph (e) of subdivision  two
 
 18  of section thirty-nine of the judiciary law and the provisions of subdi-
 
 19  vision four of section ninety-four of this article, for the fiscal years
 
 20  beginning  April  first,  nineteen  hundred  ninety-six and ending March
 
 21  thirty-first, [nineteen  hundred  ninety-nine]  two  thousand,  the  tax
 
 22  proceedings  fee  account  shall  consist  of all monies received by the
 
 23  state as reported by the state comptroller pursuant to subdivision three
 
 24  of section two thousand four hundred two of the surrogate’s court proce-
 
 25  dure act which are in excess of the sum of an amount  equal  to  [three]
 
 26  four  times  the  monies  reported  by the state comptroller pursuant to
 
 27  subdivision three of section two thousand four hundred two of the surro-
 
                                        49                         13001-04-9
 
  1  gate’s court procedure act in the fiscal  year  beginning  April  first,
 
  2  nineteen hundred ninety-five, and seven million dollars.
 
  3    3.  Notwithstanding the provisions of paragraph (e) of subdivision two
 
  4  of section thirty-nine of the judiciary law and the provisions of subdi-
 
  5  vision four of section ninety-four of this article, for the fiscal  year
 
  6  beginning  April first, [nineteen hundred ninety-nine] two thousand, and
 
  7  for all subsequent fiscal years, the tax proceedings fee  account  shall
 
  8  consist  of  all  monies  received by the state as reported by the state
 
  9  comptroller pursuant to subdivision three of section two  thousand  four
 
 10  hundred  two  of the surrogate’s court procedure act which are in excess
 
 11  of an amount equal to the  monies  reported  by  the  state  comptroller
 
 12  pursuant  to  subdivision three of section two thousand four hundred two
 
 13  of the surrogate’s court procedure act  in  the  fiscal  year  beginning
 
 14  April first, nineteen hundred ninety-five.
 
 15    § 5. Notwithstanding the provisions of section 171-a of the tax law or
 
 16  any  other  provisions  of  law  to the contrary, during the fiscal year
 
 17  beginning April 1, 1999, the state comptroller is hereby authorized  and
 
 18  directed to deposit in to the fund created pursuant to section 97-rrr of
 
 19  the  state  finance  law  (the  school  tax  relief  fund)  from amounts
 
 20  collected pursuant to article 22 of the tax law and pursuant to a sched-
 
 21  ule submitted by the director of the  budget,  $1,223,000,000,  or  such
 
 22  lesser  amount as may be certified in such schedule as necessary to meet
 
 23  the purposes of such fund for the fiscal year beginning April 1, 1999.
 
 24    § 6. Section 97-ddd of the state finance law, as added by  section  14
 
 25  of  part  C  of  chapter  389  of the laws of 1997 is REPEALED and a new
 
 26  section 97-sss is added to read as follows:
 
 27    § 97-sss. Federal revenue maximization contract fund.    1.  There  is
 
 28  hereby established in the joint custody of the state comptroller and the
 
                                        50                         13001-04-9
 
  1  commissioner  of  taxation and finance a fund to be known as the federal
 
  2  revenue maximization contract fund.
 
  3    2.  Such  fund shall consist of those revenues specified by the office
 
  4  of temporary and disability assistance or the department of  health,  as
 
  5  approved  by  the director of the budget, and properly received from the
 
  6  federal government on account of federal revenue maximization activities
 
  7  conducted by the former department of social services or the  office  of
 
  8  temporary  and  disability  assistance  or the department of health, and
 
  9  social services districts, both directly and through their  contractors,
 
 10  that  are  credited or transferred thereto from any other fund or source
 
 11  pursuant to law.
 
 12    3. Notwithstanding any provision of law to the contrary, to the extent
 
 13  that federal revenues specified under subdivision two  of  this  section
 
 14  and  related  to  medical  assistance expenditures are properly received
 
 15  under a federal revenue maximization contract which  has  been  properly
 
 16  executed  by  the  department of health, and approved by the director of
 
 17  the budget, and are used to reduce the state and local district cost  of
 
 18  medical  assistance  expenditures,  the  commissioner  of  health shall,
 
 19  subject to the approval of the director of  the  budget,  transfer  such
 
 20  specified revenues to the federal revenue maximization contract fund and
 
 21  shall make all payments or transfers required by this section.
 
 22    4.  Moneys  in  the fund, pursuant to appropriation by the legislature
 
 23  and issuance of a certificate of approval by the director of the  budget
 
 24  shall be made available for the following purposes:
 
 25    (a)  payment  of  fees,  pursuant  to a contract approved by the state
 
 26  comptroller, to a contractor of the former department of social services
 
 27  or the office of temporary and disability assistance or  the  department
 
 28  of health providing federal revenue maximization services; and
 
                                        51                         13001-04-9
 
  1    (b)  payment  or reimbursement of the federal share of social services
 
  2  district expenditures based on social services district claims for addi-
 
  3  tional federal reimbursements submitted in accordance with  section  one
 
  4  hundred  thirty-one-g  of  the social services law and identified by the
 
  5  commissioner of the office of temporary and disability assistance or the
 
  6  department  of  health, as federal revenue maximization claims submitted
 
  7  on behalf of a city or county department or  social  services  district.
 
  8  Moneys  shall  be  paid  out of the fund on the audit and warrant of the
 
  9  state comptroller on vouchers certified or approved by the  commissioner
 
 10  of  the  office of temporary and disability assistance or the department
 
 11  of health and the director of the budget.
 
 12    5. Notwithstanding any other provision of law  to  the  contrary,  any
 
 13  federal  revenues received by the state based on federal revenue maximi-
 
 14  zation contractor activities which reimburse social  services  districts
 
 15  for activities which have been or will be subject to state reimbursement
 
 16  shall  be  proportionately  reduced by the amount of state reimbursement
 
 17  received by the social services  district,  or,  as  determined  by  the
 
 18  commissioner of the office of temporary and disability assistance or the
 
 19  department  of  health and the director of the budget, by any other city
 
 20  or county agency.
 
 21    6. Moneys in the federal revenue maximization contract fund  shall  be
 
 22  kept separate and shall not be commingled with any moneys in the custody
 
 23  of  the comptroller. Further, the comptroller shall establish within the
 
 24  federal  revenue  maximization  contract  fund  a  revenue  maximization
 
 25  contractor account and a local maximization account.
 
 26    7.  Upon  the identification, by the director of the budget, of moneys
 
 27  resulting from federal revenue maximization activities conducted by  the
 
 28  former  department  of  social  services  or the office of temporary and
 
                                        52                         13001-04-9
 
  1  disability assistance or the department of health, the state comptroller
 
  2  shall apportion the moneys as follows:
 
  3    (a)  the  first portion shall be deposited to the revenue maximization
 
  4  contractor  account,  pursuant  to  the  provisions  of  the  applicable
 
  5  contract  with the former department of social services or the office of
 
  6  temporary and disability assistance or the department of  health,  or  a
 
  7  social  services district.   The director of the budget shall review and
 
  8  approve or disapprove the amounts to be so deposited;
 
  9    (b) the second portion shall be deposited to  the  local  maximization
 
 10  account,  in  amounts  to be determined by the director of the budget in
 
 11  consultation with the commissioner of the office of temporary and  disa-
 
 12  bility  assistance  and  any other state department or agency, as neces-
 
 13  sary; and
 
 14    (c) remaining moneys shall be deposited  to  the  contingency  reserve
 
 15  fund.
 
 16    8.  Payments  to  a  contractor  of  the  former  department of social
 
 17  services or the office of temporary and  disability  assistance  or  the
 
 18  department  of  health or a social services district, who was engaged in
 
 19  revenue maximization activities generating reimbursement  specified  for
 
 20  deposit in the federal revenue maximization fund pursuant to subdivision
 
 21  three  of this section, shall be made only from the revenue maximization
 
 22  contractor account.
 
 23    9. Notwithstanding any law to the contrary,  and  in  accordance  with
 
 24  section four of the state finance law, the comptroller is hereby author-
 
 25  ized  and  directed  to  transfer, upon request from the director of the
 
 26  budget, $95,000,000 from any of the office of temporary  and  disability
 
 27  assistance  special revenue federal funds to the federal revenue maximi-
 
 28  zation fund (359) or the contingency reserve fund (005).
 
                                        53                         13001-04-9
 
  1    10. The provisions of this section shall expire on March thirty-first,
 
  2  two thousand ten.
 
  3    §  7.  (1)  Pursuant  to  various  chapters of the laws of 1999 making
 
  4  appropriations for capital projects, such appropriations shall be deemed
 
  5  to provide all costs necessary and pertinent to accomplish the intent of
 
  6  the appropriation including apportionments to departments,  agencies  or
 
  7  corporations  for  the  purposes  of  the  specific appropriation or for
 
  8  payment to  the  construction  management  account  of  the  centralized
 
  9  services  fund  of the New York state office of general services for the
 
 10  preparation and review of plans,  specifications,  estimates,  services,
 
 11  construction    management   and   supervision,   inspection,   studies,
 
 12  appraisals, surveys, testing and environmental  statements  relating  to
 
 13  existing or proposed facilities.
 
 14    Appropriations  from the Capital Projects Fund, the City University of
 
 15  New York Capital Projects Fund, the Mental Hygiene  Capital  Improvement
 
 16  Fund,  the Department of Health Facilities Capital Improvement Fund, the
 
 17  Correctional Facilities Capital Improvement Fund, the  Youth  Facilities
 
 18  Improvement Fund, the Housing Assistance Fund, the Housing Program Fund,
 
 19  the  Engineering  Services  Fund - 380, the Dedicated Highway and Bridge
 
 20  Trust Fund - 072, the Suburban Transportation  Fund  -  327,  the  State
 
 21  Parks  Infrastructure  Fund  - 076, the Passenger Facility Charge Fund -
 
 22  077, the State University Residence Hall Rehabilitation Fund - 074,  the
 
 23  State  University  Capital Projects Fund - 384, the New York State Canal
 
 24  System Development Fund - 075, the Financial Security Fund, the  Natural
 
 25  Resources  Damages Fund, the Federal Capital Projects Fund, the Regional
 
 26  Aviation Fund, and the Debt Reduction Reserve Fund are  appropriated  in
 
 27  accordance  with  the provisions of section 93 of the state finance law.
 
 28  Moneys appropriated from each such  fund  type  for  CCP’s,  for  agency
 
                                        54                         13001-04-9
 
  1  purposes  within CCP’s, and for projects sharing the same agency purpose
 
  2  within a CCP may be transferred among projects within a CCP  in  accord-
 
  3  ance  with  paragraphs (a) through (g) of subdivision 4 of section 93 of
 
  4  the state finance law and may be transferred among purposes within a CCP
 
  5  subject  to the limitations of paragraph (e) of subdivision 4 of section
 
  6  93 of the state finance law.
 
  7    Notwithstanding the provisions of any  general  or  special  law,  the
 
  8  provisions  of paragraphs (a) through (g) of subdivision 4 of section 93
 
  9  of the state finance law which relate to the transfer of a portion of  a
 
 10  capital appropriation to another capital appropriation shall be applica-
 
 11  ble to appropriations from each fund.
 
 12    (2)  The  following funds are eligible to be reimbursed from miscella-
 
 13  neous receipts or the proceeds of notes or bonds sold by public authori-
 
 14  ties, as specified in this subdivision:
 
 15    (a) the health facilities capital improvement fund, from the  proceeds
 
 16  of  the  sale  of  notes or bonds issued by the New York state dormitory
 
 17  authority;
 
 18    (b) the dedicated highway and bridge trust fund, from the proceeds  of
 
 19  the sale of notes or bonds issued by the New York state thruway authori-
 
 20  ty;
 
 21    (c) the youth facilities improvement fund and the correctional facili-
 
 22  ties capital improvement fund, from the proceeds of the sale of notes or
 
 23  bonds issued by the New York state urban development corporation;
 
 24    (d) the housing assistance fund and the housing program fund, from the
 
 25  proceeds  of  the  sale  of notes or bonds issued by the housing finance
 
 26  agency;
 
 27    (e) the mental  hygiene  capital  facilities  improvement  fund,  from
 
 28  miscellaneous  receipts  or  the  proceeds of the sale of notes or bonds
 
                                        55                         13001-04-9
 
  1  issued by the New York state dormitory authority  as  successor  to  the
 
  2  medical  care  facilities financing agency pursuant to chapter 83 of the
 
  3  laws of 1995;
 
  4    The  comptroller  shall receive such reimbursements for deposit in the
 
  5  funds so specified.
 
  6    (3) The comptroller is  hereby  authorized  and  directed  to  deposit
 
  7  moneys received, as specified below:
 
  8    (a)  the  engineering  services fund shall receive reimbursements from
 
  9  various capital appropriations;
 
 10    (b) the financial security fund  shall  receive  moneys  recovered  in
 
 11  accordance  with  various  required  financial security arrangements for
 
 12  environmental projects;
 
 13    (c) the natural resources damages fund shall receive moneys  recovered
 
 14  from  successful natural resource damage claims and related settlements;
 
 15  and
 
 16    (d) the regional aviation fund shall receive moneys from the lease  of
 
 17  Stewart  Airport,  including  any payments due to the state from related
 
 18  settlements or agreements.
 
 19    (4) The comptroller shall certify monthly to the director of the budg-
 
 20  et and the chairs of the senate finance  and  assembly  ways  and  means
 
 21  committees,the  total  disbursements  from  the  correctional facilities
 
 22  capital improvement fund (399),  the  department  of  health  facilities
 
 23  capital  improvement  fund (071), the housing assistance fund (374), the
 
 24  youth facilities improvement fund (357), the housing program fund (376),
 
 25  and the  mental  hygiene  capital  improvement  fund  (389),  the  total
 
 26  reimbursements  to  such  funds  from  bond  proceeds, and the amount of
 
 27  disbursements from  such  funds  remaining  to  be  financed  with  bond
 
 28  proceeds.  Once a year, as soon as practicable after March 31, the comp-
 
                                        56                         13001-04-9
 
  1  troller shall certify to the director of the budget and  the  chairs  of
 
  2  the  senate  finance  and  assembly  ways  and means committees, for the
 
  3  fiscal year just ended, total disbursements from the correctional facil-
 
  4  ities  capital  improvement  fund,  the  department of health facilities
 
  5  capital improvement fund, the youth  facilities  improvement  fund,  the
 
  6  housing  assistance  fund,  the  housing  program  fund,  and the mental
 
  7  hygiene capital improvement fund any amounts transferred from the  capi-
 
  8  tal projects fund to such funds for nonbondable disbursements, the total
 
  9  reimbursements  to  such  funds  from  bond  proceeds, and the amount of
 
 10  disbursements from  such  funds  remaining  to  be  financed  with  bond
 
 11  proceeds.
 
 12    (5)  The  dormitory authority of the state of New York and the depart-
 
 13  ment of health shall report quarterly to the director of the budget  the
 
 14  amounts  expended from appropriations in the capital projects fund which
 
 15  are eligible for reimbursement from the proceeds  of  the  bonds.    The
 
 16  housing finance agency in conjunction with the affordable housing corpo-
 
 17  ration, the homeless housing assistance corporation and the commissioner
 
 18  of  the  office  of temporary and disability assistance, and the housing
 
 19  trust fund corporation shall report quarterly to  the  director  of  the
 
 20  budget  on  the  amounts  disbursed  from  appropriations in the housing
 
 21  program fund and the housing assistance  fund  which  are  eligible  for
 
 22  repayment from the proceeds of the bonds. The dormitory authority of the
 
 23  state  of  New  York,  as successor to the facilities development corpo-
 
 24  ration pursuant to chapter 83 of the laws of  1995  and  the  office  of
 
 25  mental  health, the office of mental retardation and developmental disa-
 
 26  bilities, and the office of  alcoholism  and  substance  abuse  services
 
 27  shall  report  quarterly  to  the  director of the budget on the amounts
 
 28  disbursed from appropriations in the mental hygiene capital  improvement
 
                                        57                         13001-04-9
 
  1  fund  which  are  eligible  for  reimbursement  from the proceeds of the
 
  2  bonds. Such reports shall be submitted to the director of the budget  no
 
  3  later  than  July 30, October 31, January 30, and April 30 of each state
 
  4  fiscal  year.  The director of the budget shall review these reports and
 
  5  then certify to the comptroller amounts expended  from  these  appropri-
 
  6  ations which are reimbursable from bond proceeds. Until such time as the
 
  7  director  of  the budget determines that the amounts disbursed from such
 
  8  funds are not reimbursable from bond proceeds,  all  such  disbursements
 
  9  shall  be  considered  to  be reimbursable from bond proceeds. Upon such
 
 10  certifications for the housing  assistance  fund,  the  housing  program
 
 11  fund,  and  the mental hygiene capital improvement fund, the comptroller
 
 12  is hereby authorized to transfer from the capital projects fund,  pursu-
 
 13  ant  to an appropriation, an amount equal to the amount of disbursements
 
 14  from these appropriations which have not  been  certified  as  repayable
 
 15  from bond proceeds.
 
 16    §  8. Notwithstanding any other law, rule or regulation to the contra-
 
 17  ry, the comptroller is hereby authorized and directed to deposit to  the
 
 18  credit  of  the capital projects fund reimbursement from the proceeds of
 
 19  notes and bonds issued by the environmental facilities corporation for a
 
 20  capital appropriation for $27,452,000 authorized by chapter  55  of  the
 
 21  laws  of  1996  to  the  department  of environmental conservation for a
 
 22  payment of a portion of the state’s  match  for  federal  capitalization
 
 23  grants for the water pollution control revolving loan fund.
 
 24    §  9. Notwithstanding any other law, rule or regulation to the contra-
 
 25  ry, the comptroller is hereby authorized and directed to deposit to  the
 
 26  credit  of  the capital projects fund reimbursement from the proceeds of
 
 27  notes and bonds issued by the environmental facilities corporation for a
 
 28  capital appropriation for $29,960,000 authorized by chapter  55  of  the
 
                                        58                         13001-04-9
 
  1  laws  of  1997  to  the  department  of environmental conservation for a
 
  2  payment of a portion of the state’s  match  for  federal  capitalization
 
  3  grants for the water pollution control revolving loan fund.
 
  4    § 10. Notwithstanding any other law, rule or regulation to the contra-
 
  5  ry,  the comptroller is hereby authorized and directed to deposit to the
 
  6  credit of the capital projects fund, reimbursement from the proceeds  of
 
  7  notes and bonds issued by the environmental facilities corporation for a
 
  8  capital  appropriation  for  $20,241,000 authorized by chapter 55 of the
 
  9  laws of 1998 to the  department  of  environmental  conservation  for  a
 
 10  payment  of  a  portion  of the state’s match for federal capitalization
 
 11  grants for the water pollution control revolving loan fund.
 
 12    § 11. Notwithstanding any other law, rule or regulation to the contra-
 
 13  ry, the comptroller is hereby authorized and directed to deposit to  the
 
 14  credit  of the capital projects fund, reimbursement from the proceeds of
 
 15  notes and bonds issued by the environmental facilities corporation for a
 
 16  capital appropriation for $22,404,000 authorized by  a  chapter  of  the
 
 17  laws  of  1999  to  the  department  of environmental conservation for a
 
 18  payment of a portion of the state’s  match  for  federal  capitalization
 
 19  grants for the water pollution control revolving loan fund, and to reim-
 
 20  burse  spending  from various appropriations for projects related to the
 
 21  New York City Watershed.
 
 22    § 12. Notwithstanding any other law, rule or regulation to the contra-
 
 23  ry, the state comptroller is hereby authorized and directed to  use  any
 
 24  balance remaining in the mental health services fund debt service appro-
 
 25  priation,  after  payment by the state comptroller of all obligations of
 
 26  the  facilities  development  corporation,  or  any  successor   agency,
 
 27  required  pursuant to any lease, sublease or other financing arrangement
 
 28  between the facilities development corporation, the dormitory  authority
 
                                        59                         13001-04-9
 
  1  of the state of New York as successor to the New York state medical care
 
  2  facilities  financing  agency and the facilities development corporation
 
  3  pursuant to chapter 83 of the laws of 1995 and the department of  mental
 
  4  hygiene for the purpose of making payments to such agency for the amount
 
  5  of  the  earnings  for  the investment of monies deposited in the mental
 
  6  health services fund that such agency determines will or may have to  be
 
  7  rebated  to  the  federal  government  pursuant to the provisions of the
 
  8  internal revenue code of 1986, as amended, in order to enable such agen-
 
  9  cy to maintain the exemption from federal income taxation on the  inter-
 
 10  est  paid  to  the  holders  of such agency’s mental services facilities
 
 11  improvement revenue bonds. On or before June 30, 2000, such agency shall
 
 12  certify to the state  comptroller,  its  determination  of  the  amounts
 
 13  received  in  the mental health services fund as a result of the invest-
 
 14  ment of monies deposited therein that will or may have to be rebated  to
 
 15  the federal government pursuant to the provisions of the internal reven-
 
 16  ue code of 1986, as amended.
 
 17    §  13.  Pursuant  to  article  5-A of the state finance law, the total
 
 18  amount of certificates of participation to be issued in the state fiscal
 
 19  year beginning April 1, 1999, to finance and, where appropriate to refi-
 
 20  nance, personal property purposes including the  cost  of  issuance  and
 
 21  related  costs,  shall not exceed $138,375,000 for installment purchases
 
 22  and/or lease purchases of all state departments and agencies,  units  of
 
 23  the  state  university  of New York and city university of New York, the
 
 24  unified court system, and the olympic regional development authority.
 
 25    § 14. Pursuant to article 5-A of the  state  finance  law,  the  total
 
 26  amount of certificates of participation to be issued in the state fiscal
 
 27  year beginning April 1, 1999, to finance and, where appropriate to refi-
 
 28  nance,  personal  property  purposes  including the cost of issuance and
 
                                        60                         13001-04-9
 
  1  related costs, shall not exceed $228,000,000 for  installment  purchases
 
  2  and/or  lease  purchases  of the office of children and family services,
 
  3  the department of labor, and the  office  of  temporary  and  disability
 
  4  assistance.
 
  5    § 15. Subdivision 1 of section 16 of part D of chapter 389 of the laws
 
  6  of  1997,  relating  to  the  financing  of  the correctional facilities
 
  7  improvement fund and the youth facility improvement fund, as amended  by
 
  8  section  22  of  part B of chapter 57 of the laws of 1998, is amended to
 
  9  read as follows:
 
 10    1. Notwithstanding the provisions of section 18 of chapter 174 of  the
 
 11  laws of 1968, the New York state urban development corporation is hereby
 
 12  authorized  to  issue bonds, notes and other obligations in an aggregate
 
 13  principal amount not to exceed  [four  billion  sixty-five  million  six
 
 14  hundred  ninety-three  thousand  dollars  ($4,065,693,000)] four billion
 
 15  four hundred seventy-nine  million  six  hundred  ninety-three  thousand
 
 16  dollars  ($4,479,693,000),  and shall include all bonds, notes and other
 
 17  obligations issued pursuant to chapter  56  of  the  laws  of  1983,  as
 
 18  amended  or  supplemented.  The  proceeds  of such bonds, notes or other
 
 19  obligations shall be paid to the state, for deposit in the  correctional
 
 20  facilities capital improvement fund to pay for all or any portion of the
 
 21  amount  or  amounts paid by the state from appropriations or reappropri-
 
 22  ations made to the department of correctional services from the  correc-
 
 23  tional  facilities  capital  improvement  fund for capital projects. The
 
 24  aggregate amount of bonds, notes or other obligations authorized  to  be
 
 25  issued  pursuant  to  this  section  shall exclude bonds, notes or other
 
 26  obligations issued to refund or otherwise repay bonds,  notes  or  other
 
 27  obligations  theretofore  issued, the proceeds of which were paid to the
 
 28  state for all or a portion of the amounts expended  by  the  state  from
 
                                        61                         13001-04-9
 
  1  appropriations or reappropriations made to the department of correction-
 
  2  al  services;  provided, however, that upon any such refunding or repay-
 
  3  ment the total aggregate principal amount of outstanding bonds, notes or
 

  4  other  obligations  may be greater than [four billion sixty-five million
 
  5  six hundred ninety-three thousand dollars ($4,065,693,000)] four billion
 
  6  four hundred seventy-nine  million  six  hundred  ninety-three  thousand
 
  7  dollars  ($4,479,693,000),  only  if  the present value of the aggregate
 
  8  debt service of the refunding or repayment bonds, notes or  other  obli-
 
  9  gations to be issued shall not exceed the present value of the aggregate
 
 10  debt  service of the bonds, notes or other obligations so to be refunded
 
 11  or repaid. For the purposes hereof, the present value of  the  aggregate
 
 12  debt  service  of the refunding or repayment bonds, notes or other obli-
 
 13  gations and of the aggregate debt service of the bonds, notes  or  other
 
 14  obligations  so refunded or repaid, shall be calculated by utilizing the
 
 15  effective interest rate of the refunding or repayment  bonds,  notes  or
 
 16  other  obligations,  which shall be that rate arrived at by doubling the
 
 17  semi-annual interest  rate  (compounded  semi-annually)  necessary    to
 
 18  discount  the debt service payments on the refunding or repayment bonds,
 
 19  notes or other obligations from the payment dates thereof to the date of
 
 20  issue of the refunding or repayment bonds, notes  or  other  obligations
 
 21  and  to  the  price bid including estimated accrued interest or proceeds
 
 22  received by the corporation including estimated  accrued  interest  from
 
 23  the sale thereof.
 
 24    § 16.  Section 17 of part D of chapter 389 of the laws of 1997, relat-
 
 25  ing to the financing of the correctional facilities improvement fund and
 
 26  the  youth facility improvement fund, as amended by section 23 of part B
 
 27  of chapter 57 of the laws of 1998, is amended to read as follows:
 
                                        62                         13001-04-9
 
  1    §  17.  Youth  facilities  bond  program.    1.  Notwithstanding   the
 
  2  provisions  of  section  18  of chapter 174 of the laws of 1968, the New
 
  3  York state urban development corporation is hereby authorized  to  issue
 
  4  bonds,  notes and other obligations in an aggregate principal amount not
 
  5  to exceed [two hundred twenty-six million eight hundred fifteen thousand
 
  6  dollars  ($226,815,000)]  two  hundred  forty-two  million eight hundred
 
  7  fifteen thousand dollars ($242,815,000), which  authorization  increases
 
  8  the  aggregate  principal  amount  of bonds, notes and other obligations
 
  9  authorized by section 40 of chapter 309 of the laws of 1996,  and  shall
 
 10  include  all bonds, notes and other obligations issued pursuant to chap-
 
 11  ter 211 of the laws of 1990, as amended or supplemented. The proceeds of
 
 12  such bonds, notes or other obligations shall be paid to the  state,  for
 
 13  deposit  in the youth facilities improvement fund, to pay for all or any
 
 14  portion of the amount or amounts paid by the state  from  appropriations
 
 15  or  reappropriations  made to the office of children and family services
 
 16  from the youth facilities improvement fund  for  capital  projects.  The
 
 17  aggregate  amount of bonds, notes and other obligations authorized to be
 
 18  issued pursuant to this section shall  exclude  bonds,  notes  or  other
 
 19  obligations  issued  to  refund or otherwise repay bonds, notes or other
 
 20  obligations theretofore issued, the proceeds of which were paid  to  the
 
 21  state  for  all  or  a portion of the amounts expended by the state from
 
 22  appropriations or reappropriations made to the office  of  children  and
 
 23  family  services;  provided,  however,  that  upon any such refunding or
 
 24  repayment the total aggregate principal  amount  of  outstanding  bonds,
 
 25  notes  or  other obligations may be greater than [two hundred twenty-six
 
 26  million eight  hundred  fifteen  thousand  dollars  ($226,815,000)]  two
 
 27  hundred   forty-two  million  eight  hundred  fifteen  thousand  dollars
 
 28  ($242,815,000), only if the present value of the aggregate debt  service
 
                                        63                         13001-04-9
 
  1  of  the  refunding  or repayment bonds, notes or other obligations to be
 
  2  issued shall not exceed the present value of the aggregate debt  service
 
  3  of  the  bonds,  notes or other obligations so to be refunded or repaid.
 
  4  For the purposes hereof, the present value of the aggregate debt service
 
  5  of  the  refunding or repayment bonds, notes or other obligations and of
 
  6  the aggregate debt service of the bonds, notes or other  obligations  so
 
  7  refunded  or  repaid,  shall  be  calculated  by utilizing the effective
 
  8  interest rate of the refunding or repayment bonds, notes or other  obli-
 
  9  gations, which shall be that rate arrived at by doubling the semi-annual
 
 10  interest  rate (compounded semi-annually) necessary to discount the debt
 
 11  service payments on the refunding or repayment  bonds,  notes  or  other
 
 12  obligations  from  the payment dates thereof to the date of issue of the
 
 13  refunding or repayment bonds, notes or  other  obligations  and  to  the
 
 14  price  bid  including estimated accrued interest or proceeds received by
 
 15  the corporation including estimated accrued interest from the sale ther-
 
 16  eof.
 
 17    2. For purposes of this section, the following provisions shall  apply
 
 18  to  powers  in  connection with financing and refinancing of the design,
 
 19  acquisition, construction, reconstruction, rehabilitation  and  improve-
 
 20  ment of facilities for the office of children and family services by the
 
 21  New York state urban development corporation.
 
 22    (a) The New York state office of general services shall be responsible
 
 23  for  the  undertaking  of  studies,  planning, site acquisition, design,
 
 24  construction, reconstruction, renovation and development of youth facil-
 
 25  ities, including the making of any purchases therefor, on behalf of  the
 
 26  New York state office of children and family services.
 
 27    (b)  Notwithstanding  the  provisions of any general or special law to
 
 28  the contrary, and subject to the making of annual appropriations  there-
 
                                        64                         13001-04-9
 
  1  for  by  the  legislature,  in  order to assist the New York state urban
 
  2  development corporation in the financing and refinancing of the  design,
 
  3  acquisition,  construction,  reconstruction, rehabilitation and improve-
 
  4  ment  of  facilities for the office of children and family services, the
 
  5  director of the budget is authorized in any state fiscal year  to  enter
 
  6  into  one  or  more service contracts, none of which shall exceed thirty
 
  7  years in duration, with the New  York  state  urban  development  corpo-
 
  8  ration,  upon  such terms as the director of the budget and the New York
 
  9  state urban development corporation agree;
 
 10    (c) Any service contract entered into pursuant  to  paragraph  (a)  of
 
 11  this  subdivision  or  any payments made or to be made thereunder may be
 
 12  assigned and pledged by the New York state urban development corporation
 
 13  as security for its bonds and notes;
 
 14    (d) Any such service contract shall provide that the obligation of the
 
 15  director of the budget or of the state to fund or  to  pay  the  amounts
 
 16  therein provided for shall not constitute a debt of the state within the
 
 17  meaning  of  any  constitutional or statutory provision in the event the
 
 18  New York state urban development corporation assigns or pledges  service
 
 19  contract payments as security for its bonds or notes and shall be deemed
 
 20  executory  only to the extent moneys are available and that no liability
 
 21  shall be incurred by the state  beyond  the  moneys  available  for  the
 
 22  purpose,  and that such obligation is subject to annual appropriation by
 
 23  the legislature;
 
 24    (e) Any service contract or contracts for projects entered into pursu-
 
 25  ant to this subdivision shall provide for state commitments  to  provide
 
 26  annually  to  the  New York state urban development corporation a sum or
 
 27  sums, upon such terms and conditions as shall be deemed  appropriate  by
 
 28  the  director  of  the  budget,  to  fund,  or  to fund the debt service
 
                                        65                         13001-04-9
 
  1  requirements of, any bonds or notes, including bonds issued to fund  any
 
  2  required  debt  service  reserve  requirement for bonds, of the New York
 
  3  state urban development corporation issued to pay to the state all or  a
 
  4  portion  of  the  amounts  expended  by the state from appropriations or
 
  5  reappropriations made to the office of children and family services  for
 
  6  capital projects.
 
  7    3.  (a)  The provisions of section 17 of the public officers law shall
 
  8  apply to directors, officers, employees and agents of the New York state
 
  9  urban development corporation in connection with  any  and  all  claims,
 
 10  demands,  suits,  actions  or  proceedings  which may be made or brought
 
 11  against any of them arising out of any determinations  made  or  actions
 
 12  taken or omitted to be taken in compliance with any obligations under or
 
 13  pursuant  to  the terms of this section. The provisions of this subdivi-
 
 14  sion shall be in addition to and shall not supplant any  indemnification
 
 15  or  other  benefits  heretofore  or  hereafter conferred upon directors,
 
 16  officers and employees of the corporation by subdivision 3-a of  section
 
 17  4  of  chapter  174  of  the  laws of 1968, as amended by action of such
 
 18  corporation, or otherwise.
 
 19    (b) The state shall and hereby agrees to and does indemnify  and  save
 
 20  harmless  the  New  York  state  urban  development corporation from and
 
 21  against any and all liability, loss,  damage,  interest,  judgments  and
 
 22  liens,  and  any  and all costs and expenses (including, but not limited
 
 23  to, counsel fees and  disbursements)  arising  out  of  or  incurred  in
 
 24  connection    with  any  and  all  claims,  demands,  suits,  actions or
 
 25  proceedings which may be made or brought against  such  corporation  (1)
 
 26  arising out of any determinations made or actions taken or omitted to be
 
 27  taken  or compliance with any obligations under or pursuant to the terms
 
 28  of this act, or (2) for or in relation to any injuries, including  death
 
                                        66                         13001-04-9
 
  1  at any time resulting therefrom, sustained by a person or persons, or on
 
  2  account of damage to or loss of property, through theft or otherwise, to
 
  3  the  extent  the  same  arises  out  of or in consequence of the design,
 
  4  acquisition,  construction,  reconstruction, rehabilitation and improve-
 
  5  ment of facilities for the  office  of  children  and  family  services,
 
  6  including  the  furnishing  and equipping thereof, but in each such case
 
  7  only to the extent that such corporation is  not  otherwise  compensated
 
  8  therefor by insurance.
 
  9    §  17.  1.  Notwithstanding  any other law, rule, or regulation to the
 
 10  contrary, the state comptroller shall at the commencement of each  month
 
 11  certify to the director of the budget, the commissioner of environmental
 
 12  conservation,  the  chair of the senate finance committee, and the chair
 
 13  of the assembly ways and means committee the amounts disbursed from  all
 
 14  appropriations  for  hazardous  waste site remediation disbursements for
 
 15  the month preceding such certification.
 
 16    2. Notwithstanding any law to the contrary, prior to the  issuance  by
 
 17  the comptroller of bonds authorized pursuant to subdivision a of section
 
 18  4  of the environmental quality bond act of nineteen hundred eighty-six,
 
 19  as enacted by chapter 511 of the laws of 1986,  disbursements  from  all
 
 20  appropriations  for  that  purpose shall first be reimbursed from moneys
 
 21  credited to the hazardous waste remedial fund,  site  investigation  and
 
 22  construction  account,  to  the  extent  moneys  are  available  in such
 
 23  account. For purposes of determining moneys available in  such  account,
 
 24  the  commissioner  of  environmental  conservation  shall certify to the
 
 25  comptroller the amounts required for  administration  of  the  hazardous
 
 26  waste remedial program.
 
 27    3.  The  comptroller is hereby authorized and directed to transfer any
 
 28  balance above the amounts certified by the commissioner of environmental
 
                                        67                         13001-04-9
 
  1  conservation to reimburse disbursements pursuant to  all  appropriations
 
  2  from  such site investigation and construction account, provided, howev-
 
  3  er, that if such transfers are  determined  by  the  comptroller  to  be
 
  4  insufficient  to  assure  that  interest  paid to holders of state obli-
 
  5  gations issued for hazardous waste purposes  pursuant  to  the  environ-
 
  6  mental  quality  bond  act of nineteen hundred eighty-six, as enacted by
 
  7  chapter 511 of the laws of 1986, is exempt from federal income taxation,
 
  8  the comptroller is hereby authorized and directed to transfer from  such
 
  9  site  investigation  and  construction  account to the general fund, the
 
 10  amount necessary to redeem bonds in an amount necessary  to  assure  the
 
 11  continuation of such tax exempt status.  Prior to the making of any such
 
 12  transfers,  the  comptroller  shall notify the director of the budget of
 
 13  the amount of such transfers.
 
 14    § 18. Paragraph (a) of subdivision 2 of section 47-e  of  the  private
 
 15  housing finance law, as amended by section 25 of part B of chapter 57 of
 
 16  the laws of 1998, is amended to read as follows:
 
 17    (a)  In  order  to  enhance  and  encourage  the  promotion of housing
 
 18  programs and thereby achieve the stated purposes and objectives of  such
 
 19  housing  programs, the agency shall have the power and is hereby author-
 
 20  ized from time to time to issue negotiable  housing  program  bonds  and
 
 21  notes  in  such principal amount as shall be necessary to provide suffi-
 
 22  cient funds for the repayment of amounts disbursed pursuant to a chapter
 
 23  of the laws of nineteen hundred [ninety-eight] ninety-nine making  capi-
 
 24  tal  appropriations  or reappropriations for the purposes of the housing
 
 25  program, provided, however, that the agency may  issue  such  bonds  and
 
 26  notes  in  an aggregate principal amount not exceeding one billion nine-
 
 27  ty-five million dollars, plus a principal amount of bonds issued to fund
 
 28  the debt service reserve  fund  in  accordance  with  the  debt  service
 
                                        68                         13001-04-9
 
  1  reserve fund requirement established by the agency and to fund any other
 
  2  reserves  that the agency reasonably deems necessary for the security or
 
  3  marketability of such bonds and to provide for the payment of  fees  and
 
  4  other  charges  and  expenses, including underwriters' discount, trustee
 
  5  and rating agency fees, bond insurance, credit enhancement and liquidity
 
  6  enhancement related to the issuance of such bonds and notes. No  reserve
 
  7  fund securing the housing program bonds shall be entitled or eligible to
 
  8  receive  state  funds apportioned or appropriated to maintain or restore
 
  9  such reserve fund at or to a particular level, except to the  extent  of
 
 10  any  deficiency  resulting  directly or indirectly from a failure of the
 
 11  state to appropriate or pay the agreed amount under any of the contracts
 
 12  provided for in subdivision four of this section.
 
 13    § 19. Paragraph (a) of subdivision 5 of section 47-e  of  the  private
 
 14  housing finance law, as amended by section 26 of part B of chapter 57 of
 
 15  the laws of 1998, is amended to read as follows:
 
 16    (a)  Upon  the  issuance of housing program bonds or notes, the agency
 
 17  shall apply such amount of the proceeds thereof as shall  be  designated
 
 18  and  specified in the bond or note resolution or resolutions authorizing
 
 19  the issuance of such  bonds  or  notes  to  the  specific  funds  and/or
 
 20  accounts  of one or more housing programs. The bond resolution or resol-
 
 21  utions authorizing the issuance of such bonds or notes shall only  allo-
 
 22  cate net proceeds of bonds or notes to a particular fund or account of a
 
 23  housing  program  if  the legislature has authorized in a chapter of the
 
 24  laws of nineteen hundred [ninety-eight] ninety-nine an advance  to  such
 
 25  fund  or  account  and the amount of such bond or note proceeds so allo-
 
 26  cated to such fund or account shall  not  exceed  the  total  amount  so
 
 27  authorized  to  be  advanced. Such proceeds shall be disbursed to such a
 
 28  fund or account in accordance with such allocation only for  application
 
                                        69                         13001-04-9
 
  1  to the repayment of advances previously or thereupon made and not previ-
 
  2  ously  repaid.  Such  proceeds  may  not  be  transferred from an entity
 
  3  authorized to administer a housing program to the state or a fund of the
 
  4  state  except  in  repayment  of  such  advances.  Except in the case of
 
  5  refunding bonds or notes authorized hereunder, any net proceeds  not  so
 
  6  allocated  or  disbursed  shall be utilized first to pay debt service on
 
  7  the applicable bonds or notes in the current or  the  succeeding  fiscal
 
  8  year  and  second  to  the  redemption of such bonds, provided that such
 
  9  application may be adjusted to comply with applicable federal law as  to
 
 10  federal tax exemption. For purposes of this paragraph, earnings from the
 
 11  investment of net proceeds shall be treated as net proceeds.
 
 12    §  20.  Section  21-e  of chapter 432 of the laws of 1997, relating to
 
 13  authorizing the authority to issue bonds or notes in one or more  series
 
 14  for  the  purpose  of  funding  project costs or making grants, loans or
 
 15  combinations thereof for community enhancement facilities  projects,  is
 
 16  amended to read as follows:
 
 17    § 21-e. Notwithstanding the provisions of any other law to the contra-
 
 18  ry, the authority is hereby authorized to issue bonds or notes in one or
 
 19  more  series  for the purpose of funding project costs or making grants,
 
 20  loans or  combinations  thereof  for  community  enhancement  facilities
 
 21  projects.  The  aggregate  principal  amount  of  bonds authorized to be
 
 22  issued pursuant to this section shall not exceed [four  hundred  twenty-
 
 23  five  million] three hundred fifty million dollars total for all issuing
 
 24  authorities, excluding bonds issued to fund one  or  more  debt  reserve
 
 25  funds,  to pay cost of issuance of such bonds, and bonds or notes issued
 
 26  to refund or otherwise repay such bonds or notes previously issued. Such
 
 27  bonds and notes of the authority shall not be a debt of the  state,  and
 
 28  the  state shall not be liable thereon, nor shall they be payable out of
 
                                        70                         13001-04-9
 
  1  any funds other than those appropriated by the state  to  the  authority
 
  2  for debt service and related expenses pursuant to a service contract and
 
  3  such  bonds  and  notes shall contain on the face thereof a statement to
 
  4  such  effect. Except for purposes of complying with the internal revenue
 
  5  code, any interest income earned on bond proceeds shall only be used  to
 
  6  pay debt service on such bonds.
 
  7    §  21. Paragraph b of subdivision 4 of section 57 of the state finance
 
  8  law, as amended by section 18 of part D of chapter 389 of  the  laws  of
 
  9  1997, is amended to read as follows:
 
 10    b.  Notwithstanding  paragraph  a of this subdivision, whenever in the
 
 11  judgment of the comptroller the interests of the state  will  be  served
 
 12  thereby,  such bonds may be sold at public or private sale in accordance
 
 13  with the procedures set forth in paragraph a of this  subdivision,  with
 
 14  interest  rates  that vary in accordance with a formula or procedure set
 
 15  forth or referred to in the bonds and may provide  the  holders  thereof
 
 16  with  such  rights  to require the state or other persons to purchase or
 
 17  redeem such bonds or renewals thereof from the proceeds  of  the  resale
 
 18  thereof  or  otherwise  from time to time prior to the final maturity of
 
 19  such bonds as the comptroller may determine and the state may resell, at
 
 20  any time prior to final maturity, any such bonds acquired as a result of
 
 21  the exercise of such rights, provided, however, that as of  the  initial
 
 22  date  of  each  issuance of such bonds with interest rates that vary the
 
 23  total principal amount of bonds then outstanding pursuant to this  para-
 
 24  graph  and  paragraph (b) of subdivision four of section sixty shall not
 
 25  exceed [ten] twenty percent of the total principal amount of  all  bonds
 
 26  then  outstanding  which  carry  the full faith and credit of the state.
 
 27  Notwithstanding the foregoing, the holders of  bonds  sold  pursuant  to
 
 28  this paragraph shall not be provided with the right to require the state
 
                                        71                         13001-04-9
 
  1  to  repurchase  or  redeem the bonds prior to the final maturity thereof
 
  2  unless the state has entered into one or more letter  of  credit  agree-
 
  3  ments  or  other  liquidity  facility  agreements  entered  into for the
 
  4  express  purposes  of  such  sale  and which shall require a financially
 
  5  responsible party or parties to the agreement or agreements, other  than
 
  6  the  state,  to  purchase  or  redeem  all  or any portion of such bonds
 
  7  tendered by the holders thereof for repurchase or  redemption  prior  to
 
  8  the final maturity of such bonds. Such requirement to purchase or redeem
 
  9  bonds shall continue until such time as the right of the holders of such
 
 10  bonds  to  require  repurchase  or redemption of such bonds prior to the
 
 11  final maturity thereof shall cease. A financially responsible  party  or
 
 12  parties,  for purposes of this paragraph, shall mean a person or persons
 
 13  determined by the comptroller to have sufficient net worth and liquidity
 
 14  to purchase and pay for on a timely basis all of the bonds which may  be
 
 15  tendered for repurchase or redemption by the holders thereof.  [Notwith-
 
 16  standing  the  foregoing,  no new bonds shall be issued pursuant to this
 
 17  paragraph after June thirtieth, two thousand, but  the  comptroller  may
 
 18  reissue  pursuant  to  this  paragraph variable rate bonds issued by the
 
 19  state prior to such date and tendered to the  state  on  or  after  such
 
 20  date.]
 
 21    §  22.  Paragraph  (b)  of  subdivision  4  of section 60 of the state
 
 22  finance law, as amended by section 19 of part D of chapter  389  of  the
 
 23  laws of 1997, is amended to read as follows:
 
 24    (b) Notwithstanding paragraph (a) of this subdivision, whenever in the
 
 25  judgment  of  the  comptroller the interests of the state will be served
 
 26  thereby, such bonds may be sold at public or private sale in  accordance
 
 27  with the procedures set forth in paragraph (a) of this subdivision, with
 
 28  interest  rates  that vary in accordance with a formula or procedure set
 
                                        72                         13001-04-9
 
  1  forth or referred to in the bonds and may provide  the  holders  thereof
 
  2  with  such  rights  to require the state or other persons to purchase or
 
  3  redeem such bonds or renewals thereof from the proceeds  of  the  resale
 
  4  thereof  or  otherwise  from time to time prior to the final maturity of
 
  5  such bonds as the comptroller may determine and the state may resell, at
 
  6  any time prior to final maturity, any such bonds acquired as a result of
 
  7  the exercise of such rights, provided, however, that as of  the  initial
 
  8  date  of  each  issuance of such bonds with interest rates that vary the
 
  9  total principal amount of bonds then outstanding pursuant to this  para-
 
 10  graph  and  paragraph b of subdivision four of section fifty-seven shall
 
 11  not exceed [ten] twenty percent of the total principal of all bonds then
 
 12  outstanding which carry the full faith and credit of the state. Notwith-
 
 13  standing the foregoing, the holders of bonds sold pursuant to this para-
 
 14  graph shall not be provided with the  right  to  require  the  state  to
 
 15  repurchase  or  redeem  the  bonds  prior  to the final maturity thereof
 
 16  unless the state has entered into one or more letter  of  credit  agree-
 
 17  ments  or  other  liquidity  facility  agreements  entered  into for the
 
 18  express purpose of such sale  and  which  shall  require  a  financially
 
 19  responsible  party or parties to the agreement or agreements, other than
 
 20  the state, to purchase or redeem  all  or  any  portion  of  such  bonds
 
 21  tendered  by  the  holders thereof for repurchase or redemption prior to
 
 22  the final maturity of such bonds. Such requirement to purchase or redeem
 
 23  bonds shall continue until such time as the right of the holders of such
 
 24  bonds to require repurchase or redemption of such  bonds  prior  to  the
 
 25  final  maturity  thereof shall cease. A financially responsible party or
 
 26  parties, for purposes of this paragraph, shall mean a person or  persons
 
 27  determined by the comptroller to have sufficient net worth and liquidity
 
 28  to  purchase and pay for on a timely basis all of the bonds which may be
 
                                        73                         13001-04-9
 
  1  tendered for repurchase or redemption by the holders thereof.  [Notwith-
 
  2  standing the foregoing, no new bonds shall be issued  pursuant  to  this
 
  3  paragraph  after  June  thirtieth, two thousand, but the comptroller may
 
  4  reissue  pursuant  to  this  paragraph variable rate bonds issued by the
 
  5  state prior to such date and tendered to the  state  on  or  after  such
 
  6  date.]
 
  7    §  23.  Subdivision 1 of section 6279 of the education law, as amended
 
  8  by chapter 82 of the laws of 1995, is amended to read as follows:
 
  9    (1) The state shall, in addition to any other state financial  assist-
 
 10  ance,  annually  appropriate  and pay to the fund an amount equal to the
 
 11  aggregate of all rentals and such other payments due  to  the  dormitory
 
 12  authority  from the fund pursuant to any lease, sublease or other agree-
 
 13  ment entered into between the dormitory authority and the fund prior  to
 
 14  July  first,  nineteen  hundred eighty-five or pursuant to any agreement
 
 15  supplemental thereto, pursuant to  which  the  fund  and  the  dormitory
 
 16  authority  provide  senior  college facilities, for the city fiscal year
 
 17  commencing July first succeeding the filing of the report required to be
 
 18  submitted by the fund pursuant to subdivision seven of section sixty-two
 
 19  hundred seventy-four of this article.  Such amount shall be paid to  the
 
 20  fund  as  follows:  (i)  on  or  before the fifteenth day of July of the
 
 21  fiscal year of the city, the amount required to  be  paid  by  the  fund
 
 22  under any such lease, sublease or other agreement on or before the first
 
 23  day  of August of such city fiscal year; (ii) on or before the fifteenth
 
 24  day of November of the fiscal year of the city, the amount  required  to
 
 25  be paid by the fund under any such lease, sublease or other agreement on
 
 26  or  before  the  tenth  day  of December of such city fiscal year; [and]
 
 27  (iii) on or before the fifteenth day of May of the fiscal  year  of  the
 
 28  city,  the  amount required to be paid by the fund under any such lease,
 
                                        74                         13001-04-9
 
  1  sublease or other agreement on or before the tenth day of June  of  such
 
  2  city  fiscal  year;  and (iv) on such day or days as shall be prescribed
 
  3  under any such lease, sublease or other agreements, the amount  required
 
  4  to  be  paid  by the fund under any such lease, sublease or other agree-
 
  5  ments  entered  into  on  or  after  April   first,   nineteen   hundred
 
  6  ninety-nine.
 
  7    The  state shall, in addition to any other state financial assistance,
 
  8  annually appropriate and pay to the fund an amount equal to one-half the
 
  9  aggregate of all rentals and such other payments due  to  the  dormitory
 
 10  authority  from the fund pursuant to any lease, sublease or other agree-
 
 11  ment entered into between the dormitory authority and the fund prior  to
 
 12  July  first,  nineteen  hundred eighty-five or pursuant to any agreement
 
 13  supplemental thereto, pursuant to  which  the  fund  and  the  dormitory
 
 14  authority provide community college facilities, for the city fiscal year
 
 15  commencing July first succeeding the filing of the report required to be
 
 16  submitted by the fund pursuant to subdivision seven of section sixty-two
 
 17  hundred  seventy-four  of this article, which amount shall be payable as
 
 18  follows: (a) fifty per centum of such amount shall be payable, (i)  with
 
 19  respect to any portion thereof required to be paid by the fund under any
 
 20  such  lease,  sublease  or other agreement on or before the first day of
 
 21  August of such city fiscal year, on or before the fifteenth day of July,
 
 22  and (ii) with respect to any portion thereof so required to be  paid  by
 
 23  the  fund  on  or  before  the tenth day of December of such city fiscal
 
 24  year, on or before the fifteenth day of November; [and]  (b)  fifty  per
 
 25  centum of such amount shall be payable on or before the fifteenth day of
 
 26  May  of  such  city fiscal year; and (c) fifty per centum of such amount
 
 27  shall be payable on such day or days as shall be  prescribed  under  any
 
 28  such lease, sublease or other agreements, the amount required to be paid
 
                                        75                         13001-04-9
 
  1  by  the  fund under any such lease, sublease or other agreements entered
 
  2  into on or after April first, nineteen hundred ninety-nine.
 
  3    §  24.  Subdivisions 4, 5 and 6 of section 97-bbb of the state finance
 
  4  law, as added by chapter 413 of the laws of 1996, are amended to read as
 
  5  follows:
 
  6    4. On or before [the fifth day of each month,  the  comptroller  shall
 
  7  certify  to]  each  April  first, and at least quarterly thereafter, the
 
  8  director of the budget shall certify to the comptroller, the chairperson
 
  9  of the senate finance committee and the chairperson of the assembly ways
 
 10  and means committee a monthly amount  [which  the  comptroller  and  the
 
 11  director  of  the  budget project] projected to be necessary to meet the
 
 12  total annual debt service requirements for the current  fiscal  year  on
 
 13  any  bonds [and notes] issued as authorized by the Clean Water/Clean Air
 
 14  Bond Act of 1996. Such amount shall  be  calculated  by  estimating  the
 
 15  total  annual  debt service for the current fiscal year less any amounts
 
 16  already retained to meet such  requirement  divided  by  the  number  of
 
 17  months  remaining  in  such  year. Such monthly amount shall be retained
 
 18  within such fund for transfer to  the  general  debt  service  fund  for
 
 19  reimbursement of debt service on such bonds [and notes].
 
 20    5.  The  comptroller  shall  transfer,  as needed, to the general debt
 
 21  service fund such moneys as are necessary to reimburse such fund for any
 
 22  debt service disbursements made on such bonds [or notes]. In  the  event
 
 23  that moneys retained in the clean water/clean air fund are less than the
 
 24  amount  needed for such reimbursement, the comptroller shall offset such
 
 25  shortfall from subsequent deposits in the clean water/clean air fund  as
 
 26  soon as the revenue is available.
 
 27    6.  No  later  than  the  last day of the month, the comptroller shall
 
 28  transfer to the general fund any moneys received in such fund during the
 
                                        76                         13001-04-9
 
  1  month that are in excess of the monthly amount certified by  the  [comp-
 
  2  troller  for  such  month]  director of the budget.  Notwithstanding any
 
  3  other provision of law, the comptroller shall, on the last day  of  each
 
  4  fiscal  year  pay  to the general fund all moneys remaining in such fund
 
  5  that are not needed for reimbursement of debt service  for  the  current
 
  6  fiscal year.
 
  7    §  25. Section 97-rrr of the state finance law, as added by section 36
 
  8  of part B of chapter 57 of the laws of  1998,  is  amended  to  read  as
 
  9  follows:
 
 10    § 97-rrr. Debt reduction reserve fund.  1. There is hereby established
 
 11  in the joint custody of the comptroller and the commissioner of taxation
 
 12  and  finance  a  special  fund to be known as the debt reduction reserve
 
 13  fund.
 
 14    2. Such fund shall consist of all monies credited or transferred ther-
 
 15  eto from the general fund or from any other fund or sources pursuant  to
 
 16  law.
 
 17    3. The monies in such fund, following appropriation by the legislature
 
 18  and allocation by the director of the budget, shall be available for the
 
 19  following purposes:
 
 20    (a)  for  the  payment of principal, interest, and related expenses on
 
 21  general obligation bonds, lease purchase payments, or special contractu-
 
 22  al obligation payments, or for the purposes  of  retiring  or  defeasing
 
 23  bonds previously issued, including any accrued interest thereon, for any
 
 24  state-supported bonding program or programs[.], and;
 
 25    (b)  for  the  funding of capital projects, equipment acquisitions, or
 
 26  similar expenses which have  been  authorized  by  law  to  be  financed
 
 27  through the issuance of bonds, notes, or other obligations.
 
 28    § 26. Section 87 of the state finance law is REPEALED.
 
                                        77                         13001-04-9
 
  1    § 27. Section 123-h of the state finance law is REPEALED.
 
  2    § 28. Section 92-l of the state finance law, as added by chapter 61 of
 
  3  the laws of 1983 is REPEALED.
 
  4    §  29.  Section 92-l of the state finance law, as added by chapter 744
 
  5  of the laws of 1984 is REPEALED.
 
  6    § 30. Section 97-m of the state finance law is REPEALED.
 
  7    § 31. Section 97-ii of the state finance law is REPEALED.
 
  8    § 32. Chapter 110 of the laws of 1983 relating to the city  of  Lacka-
 
  9  wanna debt service assistance reserve fund is REPEALED.
 
 10    § 33. Section 92-t of the state finance law is REPEALED.
 
 11    §  34.  Chapter  256  of  the laws of 1984 relating to school district
 
 12  state aid reserve fund is REPEALED.
 
 13    § 35. Chapter 139 of the laws of  1985  relating  to  school  district
 
 14  state aid reserve fund is REPEALED.
 
 15    §  36.  Chapter  408  of  the laws of 1988 relating to school district
 
 16  state aid reserve fund is REPEALED.
 
 17    § 37. Subdivision 3 of section 227-a of the executive law is REPEALED.
 
 18    § 38. Section 2867 of the public health law is REPEALED.
 
 19    § 39. Section 97-k of the state finance law is REPEALED.
 
 20    § 40.  Section 5 of chapter 211 of the laws of 1990 relating  to  bond
 
 21  authorizations for the youth opportunity centers program is REPEALED.
 
 22    §  41.  The state finance law is amended by adding a  new section 92-x
 
 23  to read as follows:
 
 24    § 92-x. Tobacco settlement fund. 1. There is hereby established in the
 
 25  sole custody of the commissioner of taxation and finance a special fund,
 
 26  to be known as the "tobacco settlement fund."
 
 27    2. Such fund shall consist of moneys  received  by  the  state,  as  a
 
 28  result  of the settlement of litigation in the case of State of New York
 
                                        78                         13001-04-9
 
  1  and Dennis C. Vacco v. Philip  Morris,  Incorporated,  et  al.  (Supreme
 
  2  Court,  New  York  County,  Index No. 400361/97), pursuant to the escrow
 
  3  arrangement provided in the master settlement agreement entered into by,
 
  4  inter alia, the Attorney General of the State of New York and the Tobac-
 
  5  co Industry, on November 23, 1998.
 
  6    3.  Moneys  of the fund shall be available as follows: (a) twenty-five
 
  7  percent shall be, notwithstanding any law, rule  or  regulation  to  the
 
  8  contrary  and  in  accordance with determinations by the commissioner of
 
  9  health as approved by the director of the  budget,  deposited  into  the
 
 10  funds,  accounts  or pools established and maintained in accordance with
 
 11  subdivision nine of section twenty-eight hundred seven-j of  the  public
 
 12  health  law or subdivision seven of section twenty-eight hundred seven-s
 
 13  of the public health law and (b) seventy-five percent  shall  be  trans-
 
 14  ferred  to  the debt reduction reserve fund established by section nine-
 
 15  ty-seven-rrr of this chapter.
 
 16    § 42. This act shall take effect April  1,  1999,  provided,  however,
 
 17  that  sections one through five, seven through fourteen and seventeen of
 
 18  this act shall be deemed in full force and effect through March 31, 2000
 
 19  upon which date such sections shall expire and be deemed repealed.
 
 20     TRANSPORTATION, ECONOMIC DEVELOPMENT AND ENVIRONMENTAL CONSERVATION
 
 21                                   PART I
 
 22    § 1.    Funds  appropriated  from  the  statewide  energy  improvement
 
 23  account,  special revenue fund - other, for services and expenses of the
 
 24  power authority of the state of New York, shall be available for  energy
 
 25  efficiency  projects.    The use of these funds is not intended to limit
 
 26  the right or obligation of the power authority of the state of New  York
 
 27  to  comply  with  the provisions of any contract, including any existing
 
                                        79                         13001-04-9
 
  1  contract with or for the benefit of the holders of  any  obligations  of
 
  2  the power authority.
 
  3    §  2.    The  power  authority of the state of New York shall transfer
 
  4  $3,000,000 to New York state on or before March 31, 2000.
 
  5    § 3.  Notwithstanding section 1010-a of the  public  authorities  law,
 
  6  the  comptroller  is  hereby  authorized and directed to transfer to the
 
  7  power authority of the state of New York $3,000,000, constituting monies
 
  8  appropriated to the statewide energy improvement account for  the  power
 
  9  authority  of the state of New York pursuant to a chapter of the laws of
 
 10  1999 enacting the transportation, economic development and environmental
 
 11  conservation bill, and the power authority of the state of New  York  is
 
 12  authorized  to  hold such monies for the purposes specified in a chapter
 
 13  of the laws of 1999.
 
 14    § 4.  In accordance with section 4 of the state finance law, the comp-
 
 15  troller is hereby authorized and directed to transfer, upon  request  of
 
 16  the  director of the budget, up to $3,000,000 from the federal operating
 
 17  grants fund (290) to  the  miscellaneous  special  revenue  fund  (339),
 
 18  statewide energy improvement account, on or before March 31, 2000.
 
 19    § 5.  This act shall take effect April 1, 1999.
 
 20                                    PART J
 
 21    § 1. Paragraph a of subdivision 2 of section 92-s of the state finance
 
 22  law,  as added by chapter 610 of the laws of 1993, is amended to read as
 
 23  follows:
 
 24    a. The comptroller shall establish the following separate and distinct
 
 25  accounts within the environmental protection fund:
 
 26    (i) solid waste account;
 
 27    (ii) parks, recreation and historic preservation account;
 
 28    (iii) open space account; [and]
 
                                        80                         13001-04-9
 
  1    (iv) environmental protection transfer account; and
 
  2    (v) the Hudson River estuary trust account.
 
  3    §  2.  Paragraphs (b), (c) and (d) of subdivision 6 of section 92-s of
 
  4  the state finance law, as amended by chapter 432 of the  laws  of  1997,
 
  5  are amended to read as follows:
 
  6    (b)  Moneys  from the solid waste account shall be available, pursuant
 
  7  to appropriation and upon certificate of approval of availability by the
 
  8  director of the budget, for any non-hazardous municipal landfill closure
 
  9  project; municipal waste reduction or recycling project, as  defined  in
 
 10  article  fifty-four  of  the  environmental  conservation  law;  for the
 
 11  purposes of section  two  hundred  sixty-one  and  section  two  hundred
 
 12  sixty-four of the economic development law; any project for the develop-
 
 13  ment,  updating or revision of local solid waste management plans pursu-
 
 14  ant to sections 27-0107 and 27-0109 of  the  environmental  conservation
 
 15  law; and for the development of the pesticide sales and use data base in
 
 16  conjunction  with Cornell University pursuant to title twelve of article
 
 17  thirty-three of the environmental conservation law, and for projects  to
 
 18  assess and recover any natural resource damages to the Hudson River.
 
 19    (c)  Moneys  from  the  parks,  recreation  and  historic preservation
 
 20  account shall be available, pursuant to appropriation, for any municipal
 
 21  park  project,  historic  preservation  project,  urban  cultural   park
 
 22  project,   waterfront  revitalization  program,  coastal  rehabilitation
 
 23  project, state parks and lands infrastructure and  stewardship  project,
 
 24  and  Hudson  River  Park  projects consistent with provisions of chapter
 
 25  five hundred ninety-two of the laws of nineteen hundred ninety-eight.
 
 26    (d) Moneys from the open space account shall be available, pursuant to
 
 27  appropriation, for any open space land conservation project,  bio-diver-
 
 28  sity  stewardship  and  research pursuant to chapter five hundred fifty-
 
                                        81                         13001-04-9
 
  1  four of the laws of nineteen hundred ninety-three, for the  purposes  of
 
  2  agricultural and farmland protection activities as authorized by article
 
  3  twenty-five-AAA  of  the  agriculture  and markets law, non-point source
 
  4  abatement  and control projects pursuant to section 17-1409 of the envi-
 
  5  ronmental conservation law and section eleven-b of the  soil  and  water
 
  6  conservation  districts  law,  for  soil and water conservation district
 
  7  activities as authorized for reimbursement in section  eleven-a  of  the
 
  8  soil  and water conservation districts law, for Long Island Central Pine
 
  9  Barrens area planning or Long Island south shore estuary  reserve  plan-
 
 10  ning  pursuant  to  title thirteen of article fifty-four of the environ-
 
 11  mental conservation law[. Moneys from the open space account shall  also
 
 12  be  available  until  March  thirty-first, nineteen hundred ninety-nine,
 
 13  pursuant to appropriation], for the state reimbursement for  forest  tax
 
 14  exemptions pursuant to section four hundred eighty-b of the real proper-
 
 15  ty  tax  law,  and  for operation and management of the Albany Pine Bush
 
 16  preserve commission pursuant to subdivision two of  section  54-0303  of
 
 17  the environmental conservation law.
 
 18    § 3. Subdivision 6 of section 92-s of the state finance law is amended
 
 19  by adding a new paragraph (f) to read as follows:
 
 20    (f) Moneys from the Hudson River estuary trust account shall be avail-
 
 21  able,  pursuant  to  appropriation, for projects to implement the Hudson
 
 22  River estuary management plan prepared pursuant to  section  11-0306  of
 
 23  the environmental conservation law.
 
 24    §  4.  Paragraph b of subdivision 2 of section 54-0303 of the environ-
 
 25  mental conservation law, as amended by chapter 309 of the laws of  1996,
 
 26  is amended to read as follows:
 
 27    b.  [Until  March thirty-first, nineteen hundred ninety-nine, the] The
 
 28  commissioner, pursuant to appropriation therefor and in order to further
 
                                        82                         13001-04-9
 
  1  the purposes of article forty-six of this chapter, may make available to
 
  2  the Albany Pine Bush preserve commission, established by article  forty-
 
  3  six  of  this  chapter,  moneys  for  the  operation of such commission,
 
  4  including the management of lands under the jurisdiction of such commis-
 
  5  sion  in  accordance  with  a  management  plan prepared as specified in
 
  6  section 46-0111 of this chapter.
 
  7    § 5. Article 54 of the environmental conservation law  is  amended  by
 
  8  adding a new title 14 to read as follows:
 
  9                                  TITLE 14
 
 10            STATE PARKS AND LANDS INFRASTRUCTURE AND STEWARDSHIP
 
 11  Section 54-1401. Definitions.
 
 12          54-1402. Approval and execution of projects.
 
 13  § 54-1401. Definitions.
 
 14    As used in this title the following terms shall mean and include:
 
 15    1.  "Stewardship"  shall  mean  the  care of the lands, facilities and
 
 16  natural and cultural resources entrusted to the department  and  to  the
 
 17  office  of  parks, recreation and historic preservation on behalf of the
 
 18  public, and provision of public access thereto.
 
 19    2. "State parks  and  lands  infrastructure"  shall  mean  state  park
 
 20  resources,  recreational  facilities  and  historic  sites and any other
 
 21  property, real or personal, under the jurisdiction of the department and
 
 22  the office of parks, recreation and historic preservation, together with
 
 23  machinery, equipment, furnishings and fixtures relating thereto or  used
 
 24  in connection therewith.
 
 25    3.  "State  parks  and  lands  infrastructure and stewardship project"
 
 26  shall mean all costs incurred or to be incurred by or on behalf  of  the
 
 27  department  or the office of parks, recreation and historic preservation
 
                                        83                         13001-04-9
 
  1  for the purpose of preserving, improving or  rehabilitating  state  park
 
  2  and  lands  infrastructure.    Such  activities may include, but are not
 
  3  limited to: natural resource protection activities  such  as  protecting
 
  4  and  managing  biological, land, geological and other natural resources,
 
  5  survey and inventory, scientific research, planning  and  analysis,  and
 
  6  development  of unit management plans; projects to improve public access
 
  7  by developing, restoring, rehabilitating and maintaining physical facil-
 
  8  ities, including but not limited to buildings, roads, bridges and  waste
 
  9  disposal  systems;  projects  to  develop,  maintain,  or improve marine
 
 10  resource facilities, trails, campgrounds, day use areas,  fish  hatcher-
 
 11  ies, visitor centers, interpretive and education facilities and security
 
 12  systems; and historic preservation projects to improve, restore or reha-
 
 13  bilitate  property listed on the state or national registers of historic
 
 14  places to protect the historic, cultural or  architectural  significance
 
 15  thereof.
 
 16  § 54-1402.  Approval and execution of projects.
 
 17    No  monies  shall  be  expended  for any project as defined in section
 
 18  54-1401 of this title except pursuant to an appropriation thereof.
 
 19    § 6. Subdivision 7 of  section  92-s  of  the  state  finance  law  is
 
 20  REPEALED.
 
 21    §  7.  Subdivision 2 of section 54-0509 of the environmental conserva-
 
 22  tion law, as amended by section 18 of part A of chapter 58 of  the  laws
 
 23  of 1998, is amended to read as follows:
 
 24    2.  An agreement by the commissioner to make state assistance payments
 
 25  toward the cost of the project by periodically reimbursing  the  munici-
 
 26  pality  for costs incurred during the progress of the project to a maxi-
 
 27  mum of either fifty  percent  of  the  cost,  or  [seventy-five]  ninety
 
 28  percent  of  the  cost for a municipality with a population smaller than
 
                                        84                         13001-04-9
 
  1  thirty-five hundred as  determined  by  the  current  federal  decennial
 
  2  census,  or two million dollars, whichever is less. The commissioner may
 
  3  consider landfill  gas  management  projects  separately  from  landfill
 
  4  closure projects. Such costs are subject to final computation and deter-
 
  5  mination  by  the commissioner upon completion of the project, and shall
 
  6  not exceed the maximum cost set forth in the contract. For  purposes  of
 
  7  this  subdivision,  the  approved  project  cost shall be reduced by the
 
  8  amount of any specific state assistance payments  for  landfill  closure
 
  9  purposes  received by the municipality from any source; provided, howev-
 
 10  er, that non-specific state assistance payments, such  as  amounts  paid
 
 11  pursuant  to  section  fifty-four of the state finance law, shall not be
 
 12  included in such cost reduction.
 
 13    § 8. This act shall take effect April 1, 1999.
 
 14                                    PART K
 
 15    § 1. The real property tax law is amended  by  adding  a  new  section
 
 16  480-b to read as follows:
 
 17    §  480-b.  State reimbursement for forest tax exemptions. 1. A county,
 
 18  town or school district containing eligible private forest  lands  shall
 
 19  be  eligible  for  state  reimbursement as provided by this section. For
 
 20  purposes of this section, "eligible private forest lands" means  private
 
 21  forest  tracts  receiving  an exemption pursuant to section four hundred
 
 22  eighty or four hundred eighty-a of this title, excluding any tract which
 
 23  is or had been a certified tract on which penalties are imposed pursuant
 
 24  to section four hundred eighty or four hundred eighty-a of this title.
 
 25    2. The county treasurer of  any  county  containing  eligible  private
 
 26  forest  lands  shall  submit to the state board a list of any changes to
 
 27  the assessed value, taxable status or acreage of  all  such  lands  made
 
 28  subsequent  to  the  filing  of those assessment rolls upon which county
 
                                        85                         13001-04-9
 
  1  taxes are extended, and the county tax rate and town tax  rate  extended
 
  2  against any parcel receiving one of those exemptions.
 
  3    3.  The  business  manager  of any school district containing eligible
 
  4  private forest lands shall submit to the  state  board  a  list  of  any
 
  5  changes  to  the  assessed  value, taxable status or acreage of all such
 
  6  lands made subsequent to the filing of those assessment rolls upon which
 
  7  school taxes are extended, and the school tax rate extended against  any
 
  8  parcel receiving one of those exemptions.
 
  9    4.  The state board shall compute the amount of state assistance paya-
 
 10  ble to or for the benefit of  a  county,  town  or  school  district  on
 
 11  account of eligible private forest lands.
 
 12    5. (a) The amount of state assistance paid to a county, town or school
 
 13  district pursuant to this section shall equal the taxes which would have
 
 14  been  levied  for  county,  town  or  school  district purposes upon the
 
 15  assessed valuation partially exempt from taxation on  the  latest  final
 
 16  assessment  roll of the eligible private forest lands, minus one percent
 
 17  of the total real property tax levy for county, town or school  district
 
 18  purposes  for  the current year, provided that the amount payable to any
 
 19  county, town or school district  pursuant  to  this  section  shall  not
 
 20  exceed  the maximum payment prescribed by paragraph (b) of this subdivi-
 
 21  sion.
 
 22    (b) The maximum payment to a county, town or school district  pursuant
 
 23  to this section shall be determined as follows:
 
 24    (i) Multiply the total acreage of the eligible private forest lands in
 
 25  the  county, town or school district on the latest final assessment roll
 
 26  by the average forest land value per acre, as determined  by  the  state
 
 27  board  based on sales of forest parcels of at least fifty acres through-
 
 28  out the region;
 
                                        86                         13001-04-9
 
  1    (ii) Multiply the result by the full value tax rate for  county,  town
 
  2  or school district purposes for the current year; and
 
  3    (iii) Subtract from the product one percent of the total real property
 
  4  tax  levy  for  county, town or school district purposes for the current
 
  5  year.
 
  6    6. The state board shall certify to the state comptroller  the  amount
 
  7  of  state  assistance payable pursuant to this section, and shall mail a
 
  8  copy of such certification to the county treasurer of  each  county  and
 
  9  business  manager  of  each  school district containing eligible private
 
 10  forest tracts. Such state assistance shall be paid on audit and  warrant
 
 11  of  the  comptroller  out  of monies appropriated by the legislature for
 
 12  state assistance to counties,  towns  and  school  districts  containing
 
 13  eligible private forest tracts.
 
 14    7.  If  it  should appear to the state board that an error was made in
 
 15  the calculation of state assistance pursuant to subdivision five of this
 
 16  section and as a result of that  error  an  incorrect  amount  of  state
 
 17  assistance  was  paid  to  a  county, town or school district, the state
 
 18  board shall determine the difference between the assistance paid and the
 
 19  assistance that should have been paid and shall adjust  the  next  state
 
 20  assistance  certified  for  such county, town or school district by that
 
 21  difference.
 
 22    § 2. This act shall take effect April 1,  1999,  provided  that  state
 
 23  assistance  payments  pursuant to section 480-b of the real property tax
 
 24  law, as added by section one of  this  act,  shall  be  limited  to  the
 
 25  amounts  appropriated  by the legislature for this purpose, and shall be
 
 26  submitted based upon the assessment rolls with final completion dates on
 
 27  or after July 1, 1999.
 
 28                                    PART L
 
                                        87                         13001-04-9
 
  1    § 1. Subdivisions a, b and c of section 33-0705 of  the  environmental
 
  2  conservation  law,  as separately amended by chapters 194 and 309 of the
 
  3  laws of 1996, are amended to read as follows:
 
  4    a.  [On  or  before  July  1,  1999, one] One hundred dollars for each
 
  5  pesticide proposed to be registered, provided  that  the  applicant  has
 
  6  submitted  to  the  department proof in the form of a federal income tax
 
  7  return for the previous year showing gross  annual  sales,  for  federal
 
  8  income  tax  purposes, of three million five hundred thousand dollars or
 
  9  less;
 
 10    b. [On or before July 1, 1999  for]  For  all  others,  three  hundred
 
 11  dollars for each pesticide proposed to be registered[;
 
 12    c. After July 1, 1999, fifty dollars for each pesticide proposed to be
 
 13  registered].
 
 14    §  2.  Section 9 of chapter 67 of the laws of 1992, amending the envi-
 
 15  ronmental conservation law relating to  pesticide  product  registration
 
 16  timetables  and  fees,  as separately amended by chapters 194 and 309 of
 
 17  the laws of 1996, is amended to read as follows:
 
 18    § 9. This act shall take effect April 1, 1992 provided, however,  that
 
 19  section  3  of this act shall take effect July 1, 1993 [and shall expire
 
 20  and be deemed repealed on July 1, 1999].
 
 21    § 3. This act shall take effect April 1, 1999.
 
 22                                   PART M
 
 23    § 1. Subdivisions 1 and 3 of  section  72-0303  of  the  environmental
 
 24  conservation  law,  as  amended  by chapter 432 of the laws of 1997, are
 
 25  amended to read as follows:
 
 26    1. a. Commencing January  first,  nineteen  hundred  ninety-four  [and
 
 27  every  year  thereafter] through December thirty-first, nineteen hundred
 
 28  ninety-eight, all  sources  of  regulated  air  contaminants  identified
 
                                        88                         13001-04-9
 
  1  pursuant  to  subdivision  one  of section 19-0311 of this chapter shall
 
  2  submit to the department a fee not to exceed twenty-five dollars per ton
 
  3  up to six thousand tons annually  of  each  regulated  air  contaminant.
 
  4  Such fee shall be sufficient to support an appropriation approved by the
 
  5  legislature  for the direct and indirect costs associated with the oper-
 
  6  ating permit program established in section  19-0311  of  this  chapter.
 
  7  Such  fee shall be established by the department and shall be calculated
 
  8  by dividing the amount of the current year appropriation  by  the  total
 
  9  tons  of emissions of regulated air contaminants from sources subject to
 
 10  the operating permit program pursuant to section 19-0311 of this chapter
 
 11  up to six thousand tons annually of each regulated air contaminant  from
 
 12  each  source;  provided that, in making such calculation, the department
 
 13  shall consider any deficit or surplus in the  operating  permit  program
 
 14  account  of  the  clean air fund established pursuant to section ninety-
 
 15  seven-oo of the state finance law; any loan repayment  from  the  mobile
 
 16  source  account  of  the  [clear] clean air fund established pursuant to
 
 17  section ninety-seven-oo of the  state  finance  law;  and  the  rate  of
 
 18  collection  by  the  department  of the bills issued for the fee for the
 
 19  prior year.
 
 20    Notwithstanding the provisions of the state  administrative  procedure
 
 21  act, such calculation and fee shall be established as a rule by publica-
 
 22  tion  in  the  Environmental  Notice  Bulletin no later than thirty days
 
 23  after the budget bills making appropriations for the support of  govern-
 
 24  ment are enacted or July first, whichever is later, of the year such fee
 
 25  will  be  effective. In no event shall the fee established herein be any
 
 26  greater than the maximum fee identified pursuant to this section.
 
 27    b. Commencing January first, nineteen hundred ninety-nine, all sources
 
 28  of regulated air contaminants identified pursuant to subdivision one  of
 
                                        89                         13001-04-9
 
  1  section  19-0311 of this chapter shall submit to the department a fee of
 
  2  forty-eight dollars per ton up to six thousand  tons  annually  of  each
 
  3  regulated air contaminant.
 
  4    3.  Effective  January  first,  nineteen  hundred ninety-seven through
 
  5  December thirty-first, nineteen hundred ninety-eight, and  notwithstand-
 
  6  ing  the requirements of the state administrative procedure act, the cap
 
  7  of twenty-five dollars per ton shall increase by the percentage, if any,
 
  8  by which the consumer price index exceeds the consumer price  index  for
 
  9  the calendar year nineteen hundred eighty-nine.
 
 10    a.  The  consumer  price index for any calendar year is the average of
 
 11  the consumer price index for all urban consumers published by the United
 
 12  States department of labor, as of the close of the  twelve-month  period
 
 13  ending on August thirty-first of each calendar year.
 
 14    b.  The  revision  of  the  consumer price index for the calendar year
 
 15  nineteen hundred eighty-nine shall be used in the event  the  department
 
 16  of labor revises its method of determining the consumer price index.
 
 17    §  2.  Subdivisions  6  and  7 of section 19-0319 of the environmental
 
 18  conservation law are REPEALED.
 
 19    § 3. This act shall take effect April 1, 1999.
 
 20                                   PART N
 
 21    § 1.  Subdivision 2 of section 17-1009 of the environmental  conserva-
 
 22  tion  law,  as  amended by chapter 83 of the laws of 1995, is amended to
 
 23  read as follows:
 
 24    2.  All owners shall register the facility with  the  department.  The
 
 25  department  is  authorized to assess a fee according to a schedule based
 
 26  on the size and type of facility, not to exceed [two hundred fifty] five
 
 27  hundred dollars per facility. Such fee shall be  paid  at  the  time  of
 
 28  registration  or  registration  renewal.  Registration  shall be renewed
 
                                        90                         13001-04-9
 
  1  every five years or whenever title to a facility is transferred,  which-
 
  2  ever occurs first. All fees collected pursuant to this subdivision shall
 
  3  be  deposited  in the New York environmental and spill compensation fund
 
  4  established  pursuant to section one hundred seventy-nine of the naviga-
 
  5  tion law.
 
  6    The owner must submit with each application for registration or regis-
 
  7  tration renewal, a five-year fee as follows:
 
  8  Combined Storage Capacity at Facility            5-Year Fee
 
  9  Greater than 1,100 to 2,000 gallons              $100 per facility
 
 10  Greater than 2,000 gallons to                    $300 per facility
 
 11    Less than 5,000 gallons
 
 12  5,000 gallons to less than 400,000 gallons       $500 per facility
 
 13    § 2. Paragraph (a) of subdivision 4 of section 174 of  the  navigation
 
 14  law,  as  amended  by  section 20 of Part A of chapter 58 of the laws of
 
 15  1998, is amended to read as follows:
 
 16    (a) The license fee shall be one cent per barrel transferred until the
 
 17  balance in such account established by paragraph (a) of subdivision  two
 
 18  of  section  one  hundred seventy-nine of this article equals or exceeds
 
 19  twenty-five million dollars, provided, however,  that  the  fee  on  any
 
 20  barrel,  including  any  products derived therefrom, subject to multiple
 
 21  transfer, shall be imposed only once at the point of first transfer.  In
 
 22  each fiscal year following any year in which the balance of such account
 
 23  equals  or  exceeds twenty-five million dollars, no license fee shall be
 
 24  imposed unless (a) the current balance in  such  account  is  less  than
 
 25  twenty million dollars or (b) pending claims against such account exceed
 
 26  fifty percent of the existing balance of such account. The provisions of
 
                                        91                         13001-04-9
 
  1  the  foregoing notwithstanding, should claims paid from such account not
 
  2  exceed five million dollars within three years after the license fee  is
 
  3  first  imposed, the license fee shall be one cent per barrel transferred
 
  4  until  the  balance  in  such account equals or exceeds eighteen million
 
  5  dollars, and thereafter shall not be imposed  unless:  (1)  the  current
 
  6  balance  in  such  account  is  less than fifteen million dollars or (2)
 
  7  pending claims against such account exceed fifty percent of the existing
 
  8  balance of such account. In the event of either such occurrence and upon
 
  9  certification thereof by the state comptroller, the administrator  shall
 
 10  within  ten  days of the date of such certification reimpose the license
 
 11  fee, which shall take effect on the first day  of  the  month  following
 
 12  such  relevy.  In the event of a major discharge or series of discharges
 
 13  resulting in claims against such account exceeding the existing  balance
 
 14  of  such account, the license fee shall be imposed at the rate of [four]
 
 15  eight cents per barrel transferred until the  balance  in  such  account
 
 16  equals  pending claims against such account; provided, however, that the
 
 17  rate may be set at less than [four] eight cents per  barrel  transferred
 
 18  if  the administrator determines that the revenue produced by such lower
 
 19  rate shall be sufficient to pay outstanding claims against such  account
 
 20  within  one  year  of  such  imposition  of the license fee. Should such
 
 21  account exceed eighteen million dollars or twenty-five million  dollars,
 
 22  as  herein  provided, as a result of interest, the administrator and the
 
 23  commissioner of environmental conservation shall report to the  legisla-
 
 24  ture  and the governor concerning the options for the use of such inter-
 
 25  est. The fee established by this paragraph shall not be imposed upon any
 
 26  barrel which is transferred to a  land  based  facility  but  thereafter
 

 27  exported  from  this  state  for use outside the state and is shipped to
 
                                        92                         13001-04-9
 
  1  facilities outside the state regardless of whether the delivery or  sale
 
  2  of such petroleum occurs in this state.
 
  3    §  3.  Subdivision 3 of section 362 of chapter 83 of the laws of 1995,
 
  4  amending the environmental conservation law and other laws  relating  to
 
  5  the  registration  of  petroleum  bulk storage facilities, as amended by
 
  6  chapter 432 of the laws of 1997, is amended to read as follows:
 
  7    3.  Sections fifteen through seventeen of this act shall  take  effect
 
  8  immediately and shall be deemed to have been in full force and effect on
 
  9  and  after April 1, 1995[, and shall expire and be deemed repealed April
 
 10  1, 2001];
 
 11    § 4. This act shall take effect April 1, 1999.
 
 12                                    PART O
 
 13    § 1.  Expenditures of moneys appropriated in a chapter of the laws  of
 
 14  1999  to the energy research and development authority from  the special
 
 15  revenue  funds-other/state  operations, miscellaneous   special  revenue
 
 16  fund-339,  energy research  and  planning  account  under  the research,
 
 17  development  and  demonstration  and  policy  and  planning programs for
 
 18  services and expenses for the research,  development  and  demonstration
 
 19  and   policy   and planning  programs shall be subject to the provisions
 
 20  of this section.   Notwithstanding the provisions  of   subdivision  4-a
 
 21  of section  18-a  of  the  public  service  law:    all moneys committed
 
 22  or  expended shall be reimbursed  by assessment against gas corporations
 
 23  and electric corporations as defined in section 2 of the public  service
 
 24  law,  and  the  total amount which may be charged to any gas corporation
 
 25  and any electric corporation shall not exceed one cent per   one   thou-
 
 26  sand  cubic  feet   of gas sold and .010 cent per kilowatt-hour of elec-
 
 27  tricity sold by such corporations in their intrastate utility operations
 
 28  in  calendar year 1997.   Such amounts shall be excluded from the gener-
 
                                        93                         13001-04-9
 
  1  al assessment provisions of subdivision 2 of section 18-a of the  public
 
  2  service    law,  but shall be billed and paid in the manner set forth in
 
  3  such subdivision and  upon  receipt shall be paid  to  the  state  comp-
 
  4  troller  for  deposit  in the state treasury for credit to the miscella-
 
  5  neous special revenue fund.  The director of the budget shall not  issue
 
  6  a  certificate  of approval with  respect  to the commitment and expend-
 
  7  iture  of  moneys  hereby  appropriated until the chair of the authority
 
  8  shall have submitted, and  the director   of     the budget  shall  have
 
  9  approved,  a comprehensive financial plan encompassing all moneys avail-
 
 10  able to and  all  anticipated commitments   and   expenditures   by  the
 
 11  authority  from  any source for the operations of the authority.  Copies
 
 12  of the  approved  comprehensive  financial  plan  shall  be  immediately
 
 13  submitted by the director of the budget to the chairs and secretaries of
 
 14  the legislative fiscal committees.
 
 15    §  2.  Such state agencies receiving reimbursement under  section 18-a
 
 16  of the public service  law  for  expenditures  deemed  expenses  of  the
 
 17  department    of    public  service  other than the department of public
 
 18  service and such public benefit corporation receiving      reimbursement
 
 19  under section 18-a  of  the  public service law shall report on February
 
 20  first  of  each  year  the  following information to the director of the
 
 21  division of   the budget,   chairs of the  senate  and  assembly  energy
 
 22  committees, the senate finance committee and the assembly ways and means
 
 23  committee:    (1)  a list of all chargeable activities engaged in during
 
 24  the previous fiscal year; (2)  a list of all regulatory  proceedings  in
 
 25  which  the agency or corporation  participated related to the regulation
 
 26  of utilities; (3) a list of  all positions involved in these activities,
 
 27  and, the percentage  of chargeable time.
 
 28    § 3. This act shall take effect April 1, 1999.
 
                                        94                         13001-04-9
 
  1                                   PART P
 
  2    §  1.  The  section  heading of section 902 of the racing, pari-mutuel
 
  3  wagering and breeding law, as amended by chapter 60 of the laws of 1993,
 
  4  is amended to read as follows:
 
  5    Equine drug testing [and expenses].
 
  6    § 2.  Subdivision 2 of section 902 of the racing, pari-mutuel wagering
 
  7  and breeding law is REPEALED.
 
  8    § 3.  The racing, pari-mutuel wagering and breeding law is amended  by
 
  9  adding a new section 909 to read as follows:
 
 10    §  909.    Funding for the oversight of racing activities and industry
 
 11  assistance.  1. All costs incurred by  the  state  racing  and  wagering
 
 12  board  for  regulation and enforcement of the provisions of this chapter
 
 13  shall be paid from an account funded from a fee on the sums deposited in
 
 14  any pari-mutuel pools developed as a result of exotic and  super  exotic
 
 15  bets.   The funding of this account shall be a fee determined by retain-
 
 16  ing two per centum from the total exotic and super exotic betting pools.
 
 17  "Exotic bets" and "super exotic bets" shall have the  same  meanings  as
 
 18  set  forth  in  sections  five hundred nineteen and three hundred one of
 
 19  this chapter, respectively.
 
 20    2. The payment of this fee shall be made to the commissioner of  taxa-
 
 21  tion  and finance on the last business day of each month and shall cover
 
 22  fees due for the period from the sixteenth day of  the  preceding  month
 
 23  through  the fifteenth day of the current month, provided, however, that
 
 24  such payments required to be made on March  thirty-first  shall  include
 
 25  all taxes due and accruing through the last full week of racing in March
 
 26  of  the current year or as otherwise determined by the commissioner, and
 
 27  shall be accompanied by a report under oath, showing such information as
 
 28  the commissioner may require.  The payment shall be deposited  with  the
 
                                        95                         13001-04-9
 
  1  state  comptroller in the regulation of racing account.  Notwithstanding
 
  2  any provision of this section to the contrary, an amount not  to  exceed
 
  3  twelve  and one-half percent of the funds deposited in the regulation of
 
  4  racing account shall be used for purposes that benefit the racing indus-
 
  5  try  in  the  State of New York as determined by the racing and wagering
 
  6  board.
 
  7    § 4.  The state finance law is amended by adding a new section  97-sss
 
  8  to read as follows:
 
  9    §  97-sss.  Regulation  of racing account.  1.  There is hereby estab-
 
 10  lished in the joint custody of the state comptroller and the commission-
 
 11  er of taxation and finance an account to be known as the  regulation  of
 
 12  racing account.
 
 13    2.    Such  account  shall  consist of all monies received pursuant to
 
 14  section nine hundred nine of the racing, pari-mutuel wagering and breed-
 
 15  ing law, and all other monies credited or transferred thereto  from  any
 
 16  other fund or source pursuant to law.
 
 17    3.  Moneys of the account, following appropriation by the legislature,
 
 18  shall  be available to the racing and wagering board upon certificate of
 
 19  approval of availability by the director of the budget for  expenses  as
 
 20  specified in section nine hundred nine of the racing, pari-mutuel wager-
 
 21  ing and breeding law.
 
 22    §  5. Subdivision 1 of section 228 of the racing, pari-mutuel wagering
 
 23  and breeding law, as amended by chapter 281 of  the  laws  of  1994,  is
 
 24  amended to read as follows:
 
 25    1.  Every  corporation or association authorized under this chapter to
 
 26  conduct pari-mutuel betting at a race  meeting  on  races  run  thereat,
 
 27  except  as  provided  in section two hundred twenty-nine of this chapter
 
 28  with respect to nonprofit racing associations, shall distribute all sums
 
                                        96                         13001-04-9
 
  1  deposited in any pari-mutuel pool to  the  holders  of  winning  tickets
 
  2  therein,  providing  such  tickets be presented for payment before April
 
  3  first of the year following the year of their purchase,  less  seventeen
 
  4  per  centum  of  the  total  deposits  in  pools  resulting from regular
 
  5  on-track bets and less nineteen per centum  of  the  total  deposits  in
 
  6  pools resulting from multiple on-track bets and less [twenty-five] twen-
 
  7  ty-seven per centum of the total deposits in pools resulting from exotic
 
  8  on-track bets and less [thirty-six] thirty-eight per centum of the total
 
  9  pools resulting from super exotic on-track bets, plus the breaks. "Exot-
 
 10  ic  bets"  and  "multiple  bets"  shall  have  the meanings set forth in
 
 11  section five hundred nineteen of this  chapter  and  breaks  are  hereby
 
 12  defined  as  the  odd cents over any multiple of ten, or for exotic bets
 
 13  over any multiple of fifty, or for super exotic bets, over any  multiple
 
 14  of one hundred, calculated on the basis of one dollar, otherwise payable
 
 15  to  a  patron provided, however, that effective after October fifteenth,
 
 16  nineteen hundred ninety-four breaks are hereby defined as the odd  cents
 
 17  over any multiple of five for payoffs greater than one dollar five cents
 
 18  but less than five dollars, over any multiple of ten for payoffs greater
 
 19  than  five  dollars but less than twenty-five dollars, over any multiple
 
 20  of twenty-five for payoffs greater than  twenty-five  dollars  but  less
 
 21  than  two  hundred  fifty  dollars,  or  over  any multiple of fifty for
 
 22  payoffs over two hundred fifty dollars. "Super exotic bets"  shall  have
 
 23  the  meaning  set forth in section three hundred one of this chapter. Of
 
 24  the amount so retained there shall be paid by such corporation or  asso-
 
 25  ciation to the state tax commission as a reasonable tax by the state for
 
 26  the  privilege of conducting pari-mutuel betting on the races run at the
 
 27  race meeting held by such corporation or association, which tax is here-
 
 28  by levied, the following percentages of the total pool, plus  fifty-five
 
                                        97                         13001-04-9
 
  1  per  centum of the breaks; the applicable rates for regular and multiple
 
  2  bets shall be one and one-half per  centum;  the  applicable  rates  for
 
  3  exotic bets shall be six and three-quarter per centum and the applicable
 
  4  rate  for super exotic bets shall be seven and three-quarter per centum.
 
  5  Effective on and after September first,  nineteen  hundred  ninety-four,
 
  6  the  applicable tax rate shall be one per centum of all wagers, provided
 
  7  that, an amount equal to one-half the difference  between  the  taxation
 
  8  rate for on-track regular, multiple and exotic bets as of December thir-
 
  9  ty-first,  nineteen  hundred ninety-three and the rates on such on-track
 
 10  wagers  as  herein  provided  shall  be  used  exclusively  for  purses.
 
 11  Provided,  however,  that for any twelve-month period beginning on April
 
 12  first in nineteen hundred ninety and any year thereafter,  each  of  the
 
 13  applicable  rates  set  forth above shall be increased by one-quarter of
 
 14  one per centum on all on-track bets of any such  racing  association  or
 
 15  corporation  that did not expend an amount equal to at least one-half of
 
 16  one per centum of its on-track bets  during  the  immediately  preceding
 
 17  calendar  year  for  enhancements  consisting of capital improvements as
 
 18  defined by section two hundred twenty-eight-a of this  article,  repairs
 
 19  to  its  physical plant, structures, and equipment used in its racing or
 
 20  wagering operations as certified by the state racing and wagering  board
 
 21  to  the  commissioner  of taxation and finance no later than eighty days
 
 22  after the close of such calendar year, and five special events  at  each
 
 23  track  in  each  calendar  year, not otherwise conducted in the ordinary
 
 24  course of business, the purpose of which shall be to encourage,  attract
 
 25  and  promote track attendance and encourage new and continued patronage,
 
 26  which events shall be approved by the  racing  and  wagering  board  for
 
 27  purposes  of  this  subdivision.  In  the  determination  of the amounts
 
 28  expended for such enhancements, the board may consider  the  immediately
 
                                        98                         13001-04-9
 
  1  preceding  twelve  month calendar period or the average of the two imme-
 
  2  diately preceding twelve month  calendar  periods.    Provided  further,
 
  3  however,  that  of the portion of the increased amounts retained by such
 
  4  association  or  corporation  above  those  amounts retained in nineteen
 
  5  hundred eighty-four, an amount of such increase shall be distributed  to
 
  6  purses in the same proportion as commissions and purses were distributed
 
  7  during  nineteen  hundred  eighty-four  as  certified by the board. Such
 
  8  corporation or association in the second zone  shall  receive  a  credit
 
  9  against  the daily tax imposed by this subdivision in an amount equal to
 
 10  one per centum of total daily pools resulting from the simulcast of such
 
 11  corporation’s or association’s races to licensed facilities operated  by
 
 12  regional  off-track  betting corporations in accordance with section one
 
 13  thousand eight of this chapter, provided however, that sixty per  centum
 
 14  of the amount of such credit shall be used exclusively to increase purs-
 
 15  es  for  overnight  races  conducted by such corporation or association;
 
 16  and, provided further, that in no event shall such  total  daily  credit
 
 17  exceed  one  per  centum  of the total daily pool of such association or
 
 18  corporation. Provided, however, that on and after September first, nine-
 
 19  teen hundred ninety-four such credit shall  be  four-tenths  percent  of
 
 20  total  daily pools resulting from such simulcasting and that in no event
 
 21  shall such total daily credit equal four-tenths  percent  of  the  total
 
 22  daily pool of such association or corporation. Such corporation or asso-
 
 23  ciation shall pay to the New York state thoroughbred breeding and devel-
 
 24  opment fund one-half of one per centum of the total daily on-track pari-
 
 25  mutuel  pools  from  regular,  multiple  and  exotic bets, and three per
 
 26  centum of super exotic bets.    The  corporation  or  association  shall
 
 27  receive  credit as a reduction of the tax by the state for the privilege
 
 28  of conducting pari-mutuel betting for the amounts, except  amounts  paid
 
                                        99                         13001-04-9
 
  1  from super exotic betting pools, paid to the New York state thoroughbred
 
  2  breeding  and  development  fund  after  January first, nineteen hundred
 
  3  seventy-eight.
 
  4    Such  corporation  or association shall distribute to purses an amount
 
  5  equal to fifty per centum of any compensation it  receives  from  simul-
 
  6  casting or from wagering conducted outside the United States.
 
  7    §  6. Paragraph a of subdivision 1 of section 229 of the racing, pari-
 
  8  mutuel wagering and breeding law, as amended by section 1 of part  E  of
 
  9  chapter 56 of the laws of 1998, is amended to read as follows:
 
 10    a. Every nonprofit racing association authorized under this chapter to
 
 11  conduct pari-mutuel betting at a race meeting or races run thereat shall
 
 12  distribute  all sums deposited in any pari-mutuel pool to the holders of
 
 13  winning tickets therein, provided such tickets be presented for  payment
 
 14  before  April  first  of  the year following the year of their purchase,
 
 15  less seventeen per centum of the total deposits in pools resulting  from
 
 16  on-track  regular  and  multiple bets and [twenty-five] twenty-seven per
 
 17  centum of the total deposits in pools  resulting  from  on-track  exotic
 
 18  bets  and  [thirty-six] thirty-eight per centum of the total deposits in
 
 19  pools resulting from on-track super exotic bets, provided, however, that
 
 20  during  the  period  July  twenty-first,  nineteen  hundred  ninety-five
 
 21  through  June  thirtieth,  two thousand two, fifteen per centum of total
 
 22  deposits in pools resulting from on-track regular bets  and  twenty  per
 
 23  centum  of total deposits in pools resulting from on-track multiple bets
 
 24  shall be retained by such nonprofit racing association plus the  breaks.
 
 25  "Exotic  bets"  and "multiple bets" shall have the meanings set forth in
 
 26  section five hundred nineteen of this chapter. "Super exotic bets" shall
 
 27  have the meaning set forth in section three hundred one of this chapter.
 
 28  The breaks are hereby defined as the odd cents over any multiple of five
 
                                        100                        13001-04-9
 
  1  for payoffs greater than one  dollar  five  cents  but  less  than  five
 
  2  dollars,  over any multiple of ten for payoffs greater than five dollars
 
  3  but less than twenty-five dollars, over any multiple of twenty-five  for
 
  4  payoffs greater than twenty-five dollars but less than two hundred fifty
 
  5  dollars,  or  over  any  multiple  of fifty for payoffs over two hundred
 
  6  fifty dollars. Out of the amount so retained there shall be paid by such
 
  7  nonprofit  racing  association  to  the  commissioner  of  taxation  and
 
  8  finance,  as a reasonable tax by the state for the privilege of conduct-
 
  9  ing pari-mutuel betting on the races run at the race  meetings  held  by
 
 10  such  nonprofit  racing  association,  the  following percentages of the
 
 11  total pool for regular and multiple bets five per centum of regular bets
 
 12  and four per centum of multiple bets  plus  twenty  per  centum  of  the
 
 13  breaks;  for exotic wagers seven and one-half per centum plus twenty per
 
 14  centum of the breaks, and for super exotic bets seven and  one-half  per
 
 15  centum  plus  fifty per centum of the breaks, provided, however, that in
 
 16  the event the nonprofit  racing  association  notifies  the  racing  and
 
 17  wagering  board  by  July fifteenth, nineteen hundred ninety-four of its
 
 18  intent to conduct a racing meet at Aqueduct  racetrack  between  October
 
 19  nineteenth,  nineteen  hundred ninety-four and April thirtieth, nineteen
 
 20  hundred ninety-five, from August  first,  nineteen  hundred  ninety-four
 
 21  through  June  tenth,  nineteen hundred ninety-five, such tax on regular
 
 22  wagers shall be four per centum. For the  period  June  first,  nineteen
 
 23  hundred  ninety-five  through June thirtieth, two thousand two, such tax
 
 24  on regular wagers shall be three per centum and  such  tax  on  multiple
 
 25  wagers  shall  be two and one-half per centum, plus twenty per centum of
 
 26  the breaks. Payment to the New  York  state  thoroughbred  breeding  and
 
 27  development fund by such association shall be one-half of one per centum
 
                                        101                        13001-04-9
 
  1  of total daily on-track pari-mutuel pools resulting from regular, multi-
 
  2  ple and exotic bets and three per centum of super exotic bets.
 
  3    §  7. Subdivision 4 of section 301 of the racing, pari-mutuel wagering
 
  4  and breeding law, as amended by chapter  2  of  the  laws  of  1995,  is
 
  5  amended to read as follows:
 
  6    4.  The  term  "super  exotic bet" or "super exotic wager", as used in
 
  7  this chapter, shall mean a single bet or wager on six  or  more  horses,
 
  8  evidenced  by  a single ticket and representing an interest in a betting
 
  9  pool hereby authorized to be conducted by licensed  racing  associations
 
 10  or  corporations  or regional off-track betting corporations pursuant to
 
 11  rules and regulations of the state racing and wagering board. Such rules
 
 12  and regulations shall provide the manner in  which  winning  tickets  in
 
 13  such pool shall be determined and may provide that a portion only of the
 
 14  amounts  otherwise available to winners of such pools be paid to holders
 
 15  of consolation tickets combining the most winning horses as provided  in
 
 16  such  rules  and  regulations  and that the balance of amounts otherwise
 
 17  available to winners from such pool be carried forward and deposited  in
 
 18  any subsequent super exotic pools. Such rules and regulations shall also
 
 19  provide  that an amount not to exceed six per centum of the total wagers
 
 20  in each super exotic pool may be used or accumulated  to  reimburse  any
 
 21  such  association  or  corporation  conducting such pool for the cost of
 
 22  assuring an advertised winning pay-out for winning wagers or for a capi-
 
 23  tal improvement fund or to reimburse any such association or corporation
 
 24  for amounts it has contributed to the amounts  otherwise  available  for
 
 25  winning  wagers  to  increase the pay-out therefor. Such rules and regu-
 
 26  lations may further provide  that  all  of  the  amounts  available  for
 
 27  winning  tickets and accumulations therefor shall be distributed period-
 
 28  ically to holders of tickets  combining  the  most  winners  in  a  pool
 
                                        102                        13001-04-9
 
  1  conducted  upon  a  date specified by the board and, in any event, shall
 
  2  provide for complete disposition of all amounts  available  for  winning
 
  3  tickets  and  accumulations therefor before the end of the licensed meet
 
  4  during  which such super exotic pools are conducted. Notwithstanding the
 
  5  foregoing or any other provisions of law, if a nonprofit racing  associ-
 
  6  ation,  a  thoroughbred  racing  association  or  corporation, a harness
 
  7  racing association or corporation or an  off-track  betting  corporation
 
  8  chooses  to  reduce  the  take out on super exotic bets to [twenty-five]
 
  9  twenty-seven per centum, all distributions and taxes shall  be  distrib-
 
 10  uted  as though the bet were an exotic bet, except that a balance may be
 
 11  retained and deposited in subsequent pools.
 
 12    § 8. The opening paragraph of subdivision 1  of  section  318  of  the
 
 13  racing, pari-mutuel wagering and breeding law, as amended by chapter 281
 
 14  of the laws of 1994, is amended to read as follows:
 
 15    Except  as otherwise provided by law, every association or corporation
 
 16  authorized under this  article  to  conduct  pari-mutuel  betting  at  a
 
 17  harness  horse  race  meeting  on races run thereat shall distribute all
 
 18  sums deposited in any pari-mutuel pool to the holders of winning tickets
 
 19  therein, provided such tickets be presented for payment prior  to  April
 
 20  first  of  the year following the year of their purchase, less seventeen
 
 21  per centum of the total deposits in pools resulting from  regular  bets,
 
 22  less  nineteen  per centum of the total deposits in pools resulting from
 
 23  multiple bets, less [twenty-five] twenty-seven per centum of  the  total
 
 24  deposits  in  pools  resulting  from  exotic bets, and less [thirty-six]
 
 25  thirty-eight per centum of the total betting deposits in pools resulting
 
 26  from super exotic bets, plus the breaks. In accordance with section nine
 
 27  hundred one of this chapter, the board may approve an  application  from
 
 28  any  harness  racing  association  or corporation to reduce the retained
 
                                        103                        13001-04-9
 
  1  percentages as herein required by no more than six percentage points for
 
  2  each pari-mutuel pool resulting from regular, multiple or  exotic  bets.
 
  3  Except  as  otherwise  provided  in this section, such application shall
 
  4  require  the  written  consent of such track’s horsemen’s association or
 
  5  corporation.
 
  6    § 9. Subdivision 1 of section 418 of the racing, pari-mutuel  wagering
 
  7  and breeding law is amended to read as follows:
 
  8    1.  Every  association  or  corporation  authorized under sections two
 
  9  hundred twenty-two through seven hundred five of this chapter to conduct
 
 10  pari-mutuel betting at a quarter horse race meeting on races run thereat
 
 11  shall distribute all sums deposited in any pari-mutuel pool to the hold-
 
 12  ers of winning tickets therein provided such tickets  be  presented  for
 
 13  payment  before  April  first  of  the  year following the year of their
 
 14  purchase, less seventeen per centum  of  the  total  deposits  in  pools
 
 15  resulting from regular on-track bets and less nineteen per centum of the
 
 16  total  deposits  in pools resulting from multiple bets and less [twenty-
 
 17  five] twenty-seven per centum of the total deposits in  pools  resulting
 
 18  from  exotic on-track bets, plus the breaks. "Multiple bet" or "multiple
 
 19  wager" shall mean a single bet or wager on two horses,  evidenced  by  a
 
 20  single  ticket  and  representing  an interest in a single betting pool.
 
 21  "Exotic bet" or "exotic wager" shall mean a single bet or wager on three
 
 22  or more horses, evidenced by a single ticket and representing an  inter-
 
 23  est  in  a single betting pool. The breaks for regular bets and multiple
 
 24  bets are hereby defined as the odd cents over any multiple of ten or for
 
 25  exotic bets, over any multiple of fifty calculated on the basis  of  one
 
 26  dollar  and  otherwise  payable  to a patron. Of the sum so retained the
 
 27  applicable tax rates for regular bets shall be  three  per  centum;  the
 
 28  applicable  tax  rates for multiple bets shall be three and one-half per
 
                                        104                        13001-04-9
 
  1  centum; the applicable tax rates for exotic  bets  shall  be  eight  per
 
  2  centum,  plus  sixty-five  per  centum  of the amount of the breaks from
 
  3  on-track regular, multiple and exotic bets shall be paid by such  corpo-
 
  4  ration or association to the state tax commission as a reasonable tax by
 
  5  the  state  for  the  privilege of conducting pari-mutuel betting on the
 
  6  races run at the quarter horse race meetings held by such corporation or
 
  7  association, which tax is hereby levied, and the balance of the retained
 
  8  percentage of such pool and of the breaks may be  held  by  such  corpo-
 
  9  ration  or association for its own use and purposes. The payment of such
 
 10  state tax shall be made to the state  tax  commission  at  such  regular
 
 11  intervals  as the said tax commission may require, and shall be accompa-
 
 12  nied by a report under oath showing the total of all such  contributions
 
 13  together  with  such  other  information  as the said tax commission may
 
 14  require. A penalty of five per centum and interest at the  rate  of  one
 
 15  per centum per month from the date the report is required to be filed to
 
 16  the  date of payment of the tax shall be payable in case any tax imposed
 
 17  by this section is not paid when due. If the state tax commission deter-
 
 18  mines that any moneys received under this section were paid in error, it
 
 19  may cause the same to be refunded without interest  out  of  any  moneys
 
 20  collected  thereunder, provided an application therefor is filed with it
 
 21  within one year from the time  the  erroneous  payment  was  made.  Such
 
 22  taxes,  interest  and  penalties  when collected, after the deduction of
 
 23  refunds of taxes erroneously paid,  shall  be  paid  by  the  state  tax
 
 24  commission  into  the general fund of the state treasury. Ten per centum
 
 25  of the breaks shall be paid to the New York state quarter horse breeding
 
 26  and development fund.
 
                                        105                        13001-04-9
 
  1    § 10. The opening paragraph of section 527 of the racing,  pari-mutuel
 
  2  wagering  and breeding law, as amended by section 3 of part E of chapter
 
  3  56 of the laws of 1998, is amended to read as follows:
 
  4    Each  regional corporation conducting off-track betting shall distrib-
 
  5  ute all sums deposited in any pari-mutuel pool through such  corporation
 
  6  to  the  holders  of  winning tickets therein, providing such tickets be
 
  7  presented for payment prior to April first of  the  year  following  the
 
  8  year  of their purchase, less seventeen per centum of the total deposits
 
  9  in pools resulting from regular bets, less nineteen per  centum  of  the
 
 10  total  deposits  in pools resulting from multiple bets except such pools
 
 11  on races conducted by a nonprofit  racing  association  which  shall  be
 
 12  seventeen  per centum, less [twenty-five] twenty-seven per centum of the
 
 13  total deposits in pools resulting from exotic bets,  and  less  [thirty-
 
 14  six]  thirty-eight  per  centum of the total deposits in pools resulting
 
 15  from super exotic bets plus the  breaks;  less  an  additional  two  per
 
 16  centum  of the total deposits in all pools of bets on thoroughbred races
 
 17  conducted by a thoroughbred track in the Catskill  region  conducting  a
 
 18  mixed  meeting.   The board may approve an application from any regional
 
 19  off-track betting corporation to reduce the   retained percentages  from
 
 20  any  regional  harness  track  as  herein  required  by no more than six
 
 21  percentage points for each  pari-mutuel  pool  resulting  from  regular,
 
 22  multiple  or  exotic  bets.   Provided, however, from July twenty-first,
 
 23  nineteen hundred ninety-five through June thirtieth, two  thousand  two,
 
 24  all such regional corporations shall retain fifteen percent of the total
 
 25  deposits  in pools resulting from regular bets and twenty percent of the
 
 26  total deposits in pools resulting from multiple bets plus the breaks  on
 
 27  races conducted by a nonprofit racing association.
 
                                        106                        13001-04-9
 
  1    § 11. Paragraph c of subdivision 1 of section 905 of the racing, pari-
 
  2  mutuel  wagering and breeding law, as amended by chapter 524 of the laws
 
  3  of 1991, is amended to read as follows:
 
  4    c.  Every  association,  corporation and non-profit racing association
 
  5  shall distribute all sums deposited in any pari-mutuel pool to the hold-
 
  6  ers of winning tickets therein, providing such tickets be presented  for
 
  7  payment  before  April  first  of  the  year following the year of their
 
  8  purchase, less seventeen per centum  of  the  total  deposits  in  pools
 
  9  resulting  from  regular bets and multiple bets less [twenty-five] twen-
 
 10  ty-seven per centum of the total deposits in pools resulting from exotic
 
 11  bets, and, with respect to super exotic wagers on the [Breeder’s] Breed-
 
 12  ers' Cup events, less [thirty-six]  thirty-eight  per  centum  plus  the
 
 13  breaks.
 
 14    §  12.  The opening paragraph of subdivision 2 of section 905-a of the
 
 15  racing, pari-mutuel wagering and breeding law, as amended by chapter 503
 
 16  of the laws of 1992, is amended to read as follows:
 
 17    For purposes of this subdivision, such racing associations, or  corpo-
 
 18  rations  licensed  or franchised in accordance with article two or three
 
 19  of this chapter and every regional off-track betting  corporation  shall
 
 20  distribute all sums deposited in any pari-mutuel pools to the holders of
 
 21  winning  tickets therein, provided however such tickets be presented for
 
 22  payment prior to April first of the year following  the  year  of  their
 
 23  purchase,  less  eighteen  per  centum  of  the  total deposits in pools
 
 24  resulting from regular bets, less twenty per centum of the total  depos-
 
 25  its  in  pools resulting from multiple bets, and less [twenty-six] twen-
 
 26  ty-eight per centum of the total deposits in pools resulting from exotic
 
 27  bets and super exotic bets, plus the breaks.
 
                                        107                        13001-04-9
 
  1    § 13. Paragraph a of subdivision 1 of section 906 of the racing, pari-
 
  2  mutuel wagering and breeding law, as amended by chapter 524 of the  laws
 
  3  of 1991, is amended to read as follows:
 
  4    a. Each such betting operator taking such wagers, including any racing
 
  5  association  or corporation conducting such a race, shall distribute all
 
  6  sums deposited in any pari-mutuel pool to the holders of winning tickets
 
  7  therein, provided such tickets be presented  for  payment  before  April
 
  8  first  of  the  year following the year of their purchase, less eighteen
 
  9  per centum of the total deposits in pools resulting from  regular  bets,
 
 10  less  twenty  per  centum  of the total deposits in pools resulting from
 
 11  multiple bets, and less [twenty-five] twenty-seven  per  centum  of  the
 
 12  total deposits in pools resulting from exotic bets, and, with respect to
 
 13  super  exotic  wagers  on  the  [Breeder’s] Breeders' Crown events, less
 
 14  [thirty-six] thirty-eight per centum plus the breaks.
 
 15    § 14. The opening paragraph of paragraph j of subdivision 1 of section
 
 16  1015 of the racing, pari-mutuel wagering and breeding law, as amended by
 
 17  chapter 2 of the laws of 1995, is amended to read as follows:
 
 18    Any facility authorized to accept wagers on out-of-state tracks  shall
 
 19  distribute  all sums deposited in any pari-mutuel pool to the holders of
 
 20  winning tickets therein, provided such tickets are presented for payment
 
 21  prior to April first of the year following the year  of  their  purchase
 
 22  less  eighteen  per centum of the total deposits in pools resulting from
 
 23  regular bets, less twenty-one per centum of the total deposits in  pools
 
 24  resulting  from multiple bets, less [twenty-six] twenty-eight per centum
 
 25  of the total deposits in pools resulting from exotic bets,  less  [thir-
 
 26  ty-six] thirty-eight per centum of the total deposits in pools resulting
 
 27  from super exotic bets plus the breaks as defined in section two hundred
 
 28  twenty-eight  of this chapter except that the retention rates and breaks
 
                                        108                        13001-04-9
 
  1  shall be as prescribed by another state or country if  such  wagers  are
 
  2  combined  with  those  in the other state or country pursuant to section
 
  3  nine hundred seven of this chapter.
 
  4    §  15. Subdivision 3 of section 1016 of the racing, pari-mutuel wager-
 
  5  ing and breeding law, as amended by chapter 281 of the laws of 1994,  is
 
  6  amended to read as follows:
 
  7    3.  Any  facility  authorized  to accept wagers on out-of-state tracks
 
  8  shall distribute all sums deposited in any pari-mutuel pool to the hold-
 
  9  ers of any tickets therein  provided  such  tickets  are  presented  for
 
 10  payment  prior  to  April  first of the year following the year of their
 
 11  purchase less nineteen per centum of total deposits in  pools  resulting
 
 12  from regular bets, less twenty-one per centum of total deposits of pools
 
 13  resulting from multiple bets, less [twenty-seven] twenty-nine per centum
 
 14  of total deposits of pools resulting from exotic bets, less [thirty-six]
 
 15  thirty-eight  per centum of total deposits of pools resulting from super
 
 16  exotic bets plus the breaks as defined in section three hundred eighteen
 
 17  of this chapter except that the retention rates and breaks shall  be  as
 
 18  prescribed  by another state or country if such wagers are combined with
 
 19  those in the other state or country pursuant  to  section  nine  hundred
 
 20  seven of this chapter.
 
 21    a.  Distribution  of  retained  commissions  for  all licensed harness
 
 22  tracks shall be in accordance with article three of this chapter.
 
 23    b. For off-track betting facilities, (1) of the sums so retained,  the
 
 24  applicable tax rate shall be one percent of all such wagers;
 
 25    (2) of the sum so retained, one percent of all wagers shall be paid to
 
 26  the New York state agricultural and horse breeding and development fund;
 
                                        109                        13001-04-9
 
  1    (3) of the sum so retained, five percent shall be paid to the regional
 
  2  licensed  harness  track  to be distributed in the same manner as though
 
  3  such payments were on races conducted at such track;
 
  4    (4)  of  the  sum so retained, an additional one percent of all wagers
 
  5  shall be paid to the regional licensed harness track for the purpose  of
 
  6  increasing purses.
 
  7    c.  In those regions in which there is more than one regional licensed
 
  8  harness track, the payments required under subparagraphs three and  four
 
  9  of  paragraph  b of this subdivision shall be made to the regional track
 
 10  conducting a meet on the day out-of-state simulcasting occurs. If either
 
 11  no track is conducting a meet, or more than one track  is  conducting  a
 
 12  meet, the distribution shall be made in the proportion that each track’s
 
 13  handle  bore  to the total regional licensed harness track handle during
 
 14  the preceding calendar month or in accordance with a contractual  agree-
 
 15  ment between the regional tracks and the off-track betting corporation.
 
 16    d.  For wagers placed at an off-track betting facility in that portion
 
 17  of the western  region  located  with  a  thoroughbred  special  betting
 
 18  district,  but  not  included in a harness special betting district, one
 
 19  and one-half per centum of such wagers shall be paid to the racing asso-
 
 20  ciation located in such district provided such  association  is  neither
 
 21  accepting  wagers  nor  simulcasting  out-of-state  harness  races.  Any
 
 22  payments required by this subdivision shall reduce payments required  to
 
 23  be  made  to the regional licensed harness track under the provisions of
 
 24  subparagraph three of paragraph b of this subdivision.
 
 25    § 16. Paragraph b of subdivision 1 of  section  1017  of  the  racing,
 
 26  pari-mutuel  wagering  and  breeding law, as added by chapter 445 of the
 
 27  laws of 1997, is amended to read as follows:
 
                                        110                        13001-04-9
 
  1    b. Any facility authorized to accept  wagers  on  out-of-state  tracks
 
  2  shall distribute all sums deposited in any pari-mutuel pool to the hold-
 
  3  ers  of winning tickets therein, provided such tickets are presented for
 
  4  payment prior to April first of the year following  the  year  of  their
 
  5  purchase less eighteen per centum of the total deposits in pools result-
 
  6  ing  from regular bets, less twenty-one per centum of the total deposits
 
  7  in pools resulting from multiple bets,  less  [twenty-six]  twenty-eight
 
  8  per  centum  of  the total deposits in pools resulting from exotic bets,
 
  9  and less [twenty-seven] twenty-nine per centum of the total deposits  in
 
 10  pools  resulting  from  super exotic bets, plus the breaks as defined in
 
 11  section two  hundred  twenty-eight  of  this  chapter  except  that  the
 
 12  retention  rates  and  breaks shall be as prescribed by another state or
 
 13  country if such wagers are combined with those in the   other  state  or
 
 14  country pursuant to section nine hundred seven of this chapter.
 
 15    § 17. This act shall take effect April 1, 1999.
 
 16                                   PART Q
 
 17    §  1.   The dormitory authority of the state of New York is authorized
 
 18  to enter into an agreement with Cornell university for  the  support  of
 
 19  operation  of the parallel computing supercomputers at the theory center
 
 20  for supercomputers in connection with  the  business  of  the  dormitory
 
 21  authority  in an amount not to exceed $1,200,000 over amounts previously
 
 22  authorized.
 
 23    § 2.  This act shall take effect April 1, 1999.
 
 24                                   PART R
 
 25    § 1. The sum of three hundred twenty-seven million two  hundred  nine-
 
 26  ty-five  thousand dollars ($327,295,000), in accordance with subdivision
 
 27  (a) of section 11 of chapter 329 of the laws of 1991 as amended,  or  so
 
 28  much thereof as shall be necessary, and in addition to amounts previous-
 
                                        111                        13001-04-9
 
  1  ly  appropriated  by  law,  is  hereby  made available, according to the
 
  2  following schedule. Payments pursuant to subdivisions (a), (c)  and  (d)
 
  3  of  this  section shall be made available as moneys become available for
 
  4  such  payments.  Payments  pursuant  to  subdivision (b) of this section
 
  5  shall be made on the fifteenth day  of  June,  September,  December  and
 
  6  March  or  as  soon  thereafter  as  moneys  become  available  for such
 
  7  payments. No moneys of the state in the state treasury  or  any  of  its
 
  8  funds shall be available for payments pursuant to this section:
 
  9                                  SCHEDULE
 
 10    (a) Thirty-five million thirty thousand dollars ($35,030,000) to muni-
 
 11  cipalities  for  repayment  of  eligible  costs of federal aid municipal
 
 12  street and highway projects pursuant to section 15 of chapter 329 of the
 
 13  laws of 1991, as added by section 9 of chapter 330 of the laws of  1991,
 
 14  as amended. The department of transportation shall provide such informa-
 
 15  tion  to  the municipalities as may be necessary to maintain the federal
 
 16  tax exempt status of any bonds, notes, or other  obligations  issued  by
 
 17  such  municipalities to provide for the non-federal share of the cost of
 
 18  projects pursuant to chapter 330 of the laws of 1991 or section 80-b  of
 
 19  the highway law.
 
 20    (b)  One  hundred  ninety-two  million two hundred sixty-five thousand
 
 21  dollars ($192,265,000) to  counties,  cities,  towns  and  villages  for
 
 22  reimbursement  of  eligible  costs  of local highway and bridge projects
 
 23  pursuant to sections 16 and 16-a of chapter 329 of the laws of 1991,  as
 
 24  added  by section 9 of chapter 330 of the laws of 1991, as amended.  For
 
 25  the purposes of computing  allocations  to  municipalities,  the  amount
 
 26  distributed  pursuant  to  section 16 of chapter 329 of the laws of 1991
 
 27  shall be deemed to be $115,271,000. The amount distributed  pursuant  to
 
 28  section  16-a  of  chapter 329 of the laws of 1991 shall be deemed to be
 
                                        112                        13001-04-9
 
  1  $102,629,000. Notwithstanding the provisions of any general  or  special
 
  2  law,  the  amounts  deemed  distributed in accordance with section 16 of
 
  3  chapter 329 of the laws of 1991 shall be adjusted so that  such  amounts
 
  4  will  not  be less than 79.497 percent of the "funding level" as defined
 
  5  in subdivision 5 of section 10-c of the highway law for each such  muni-
 
  6  cipality.  In  order  to achieve the objectives of section 16 of chapter
 
  7  329 of the laws of 1991, to the extent necessary, the amounts in  excess
 
  8  of  79.497 percent of the funding level to be deemed distributed to each
 
  9  municipality under this paragraph shall be reduced in equal proportion.
 
 10  Following the above computation of municipal allocations deemed distrib-
 
 11  uted pursuant to sections 16 and 16-a of chapter  329  of  the  laws  of
 
 12  1991,  and notwithstanding the provisions of any general or special law,
 
 13  each municipality’s individual allocation shall  be  reduced  by  11.765
 
 14  percent  for  an  aggregate  reduction of $25,635,000, and these reduced
 
 15  allocations shall represent the maximum reimbursement of eligible  costs
 
 16  of  local  highway  and  bride  projects  for each county, city, town or
 
 17  village pursuant to sections 16 and 16-a of chapter 329 of the  laws  of
 
 18  1991.
 
 19    (c)  Seventy-five  million  dollars  ($75,000,000)  for  repayment  to
 
 20  project sponsors for project costs  for:  construction,  reconstruction,
 
 21  improvement,  reconditioning and preservation of rail freight facilities
 
 22  and intercity rail passenger  facilities  and  equipment;  construction,
 
 23  reconstruction,  improvement,  reconditioning  and  preservation  of the
 
 24  ports of Albany, Ogdensburg, Oswego,  and  the  gateway  metro  port  in
 
 25  Buffalo;  construction,  reconstruction, improvement, reconditioning and
 
 26  preservation  of  municipal  airports;  privately  owned  airports   and
 
 27  aviation capital facilities, excluding airports operated by the state or
 
 28  operated  by  a  bi-state  municipal corporate instrumentality for which
 
                                        113                        13001-04-9
 
  1  federal funding is not available provided the project is consistent with
 
  2  an approved  airport  layout  plan;  and  construction,  reconstruction,
 
  3  enhancement,   improvement,  replacement,  reconditioning,  restoration,
 
  4  rehabilitation and preservation of state, county, town, city and village
 
  5  roads, highways, parkways and bridges.
 
  6    The director of the budget shall certify to the New York state thruway
 
  7  authority  the  amount  of  bonds,  notes  or other obligations for this
 
  8  purpose to be sold pursuant to section 380 of the public authorities law
 
  9  as amended.
 
 10    (d) Twenty-five million dollars ($25,000,000) for repayment to project
 
 11  sponsors for project costs for: construction,  reconstruction,  improve-
 
 12  ment,  reconditioning  and  preservation  of rail freight facilities and
 
 13  intercity rail passenger facilities and equipment; construction,  recon-
 
 14  struction,  improvement, reconditioning and preservation of the ports of
 
 15  Albany, Ogdensburg, Oswego, and  the  gateway  metro  port  in  Buffalo;
 
 16  construction,  reconstruction, improvement, reconditioning and preserva-
 
 17  tion of municipal airports; privately owned airports and aviation  capi-
 
 18  tal  facilities, excluding airports operated by the state or operated by
 
 19  a bi-state municipal corporate instrumentality for which federal funding
 
 20  is not available provided the project is  consistent  with  an  approved
 
 21  airport  layout  plan;  and  construction,  reconstruction, enhancement,
 
 22  improvement, replacement,  reconditioning,  restoration,  rehabilitation
 
 23  and  preservation  of state, county, town, city and village roads, high-
 
 24  ways, parkways and bridges.
 
 25    The director of the budget shall certify to the New York state thruway
 
 26  authority the amount of bonds,  notes  or  other  obligations  for  this
 
 27  purpose to be sold pursuant to section 380 of the public authorities law
 
 28  as amended.
 
                                        114                        13001-04-9
 
  1    §  2.  Section 41 of part A of chapter 58 of the laws of 1998 relating
 
  2  to the authorization of local highway and bridge programs is amended  to
 
  3  read as follows:
 
  4    §  41. The sum of three hundred [eighty-seven] fifty-seven million six
 
  5  hundred thousand dollars [($387,600,000)] ($357,600,000), in  accordance
 
  6  with subdivision (a) of section 11 of chapter 329 of the laws of 1991 as
 
  7  amended,  or  so  much thereof as shall be necessary, and in addition to
 
  8  amounts previously  appropriated  by  law,  is  hereby  made  available,
 
  9  according  to  the following schedule. Payments pursuant to subdivisions
 
 10  (a), (c) and (d) of this section  shall  be  made  available  as  moneys
 
 11  become  available  for such payments.   Payments pursuant to subdivision
 
 12  (b) of this section shall be made on the fifteenth day of June,  Septem-
 
 13  ber, December and March or as soon thereafter as moneys become available
 
 14  for  such  payments. No moneys of the state in the state treasury or any
 
 15  of its funds shall be available for payments pursuant to this section:
 
 16                                  SCHEDULE
 
 17    (a) Thirty-nine million seven hundred thousand  dollars  ($39,700,000)
 
 18  to municipalities for repayment of eligible costs of federal aid munici-
 
 19  pal street and highway projects pursuant to section 15 of chapter 329 of
 
 20  the  laws  of  1991, as added by section 9 of chapter 330 of the laws of
 
 21  1991, as amended. The department of transportation  shall  provide  such
 
 22  information  to  the  municipalities as may be necessary to maintain the
 
 23  federal tax exempt status of any  bonds,  notes,  or  other  obligations
 
 24  issued  by  such  municipalities to provide for the non-federal share of
 
 25  the cost of projects pursuant to chapter 330 of  the  laws  of  1991  or
 
 26  section  80-b  of  the  highway  law. The program authorized pursuant to
 
 27  section 15 of chapter 329 of the laws of 1991 as added by section  9  of
 
                                        115                        13001-04-9
 
  1  chapter  330  of  the  laws  of  1991 as amended shall additionally make
 
  2  payments for reimbursement according to the following schedule:
 
  3       State Fiscal Year             Amount
 
  4       1999-2000                     $39,700,000
 
  5    (b)  Two  hundred  seventeen  million  nine  hundred  thousand dollars
 
  6  ($217,900,000) to counties, cities, towns and villages for reimbursement
 
  7  of eligible costs of local  highway  and  bridge  projects  pursuant  to
 
  8  sections  16  and  16-a  of chapter 329 of the laws of 1991, as added by
 
  9  section 9 of chapter 330 of the laws of  1991,  as  amended.    For  the
 
 10  purposes of computing allocations to municipalities, the amount distrib-
 
 11  uted  pursuant to section 16 of chapter 329 of the laws of 1991 shall be
 
 12  deemed to be $115,271,000. The amount distributed  pursuant  to  section
 
 13  16-a  of  chapter  329  of  the  laws  of  1991  shall  be  deemed to be
 
 14  $102,629,000. Notwithstanding the provisions of any general  or  special
 
 15  law,  the  amounts  deemed  distributed in accordance with section 16 of
 
 16  chapter 329 of the laws of 1991 shall be adjusted so that  such  amounts
 
 17  will  not  be less than 79.497 percent of the "funding level" as defined
 
 18  in subdivision 5 of section 10-c of the highway law for each such  muni-
 
 19  cipality.  In  order  to achieve the objectives of section 16 of chapter
 
 20  329 of the laws of 1991, to the extent necessary, the amounts in  excess
 
 21  of  79.497 percent of the funding level to be deemed distributed to each
 
 22  municipality under this paragraph shall be reduced in equal  proportion.
 
 23  The  program  authorized pursuant to sections 16 and 16-a of chapter 329
 
 24  of the laws of 1991 as added by section 9 of chapter 330 of the laws  of
 
 25  1991,  as  amended  shall  additionally  make payments for reimbursement
 
 26  according to the following schedule:
 
 27       State Fiscal Year             Amount
 
 28       1999-2000                     $217,900,000
 
                                        116                        13001-04-9
 
  1    (c) [One hundred five] Seventy-five million  dollars  [($105,000,000)]
 
  2  ($75,000,000)  for  repayment to project sponsors for project costs for:
 
  3  construction, reconstruction, improvement, reconditioning and  preserva-
 
  4  tion  of rail freight facilities and intercity rail passenger facilities
 
  5  and equipment; construction, reconstruction, improvement, reconditioning
 
  6  and  preservation  of  the  ports of Albany, Ogdensburg, Oswego, and the
 
  7  gateway metro port in Buffalo;  construction,  reconstruction,  improve-
 
  8  ment,  reconditioning  and preservation of municipal airports; privately
 
  9  owned airports and aviation capital facilities, excluding airports oper-
 
 10  ated by the state or operated by a bi-state municipal corporate  instru-
 
 11  mentality  for  which  federal  funding  is  not  available provided the
 
 12  project  is  consistent  with  an  approved  airport  layout  plan;  and
 
 13  construction,  reconstruction,  enhancement,  improvement,  replacement,
 
 14  reconditioning, restoration, rehabilitation and preservation  of  state,
 
 15  county,  town,  city  and village roads, highways, parkways and bridges.
 
 16  The program authorized by chapter 637 of the laws of  1996  shall  addi-
 
 17  tionally be made available as follows:
 
 18       State Fiscal Year             Amount
 
 19       1999-2000                     [$105,000,000] $75,000,000
 
 20    The director of the budget shall certify to the New York state thruway
 
 21  authority  the  amount  of  bonds,  notes  or other obligations for this
 
 22  purpose to be sold pursuant to section 380 of the public authorities law
 
 23  as amended.
 
 24    (d) Twenty-five million dollars ($25,000,000) for repayment to project
 
 25  sponsors for project costs for: construction,  reconstruction,  improve-
 
 26  ment,  reconditioning  and  preservation  of rail freight facilities and
 
 27  intercity rail passenger facilities and equipment; construction,  recon-
 
 28  struction,  improvement, reconditioning and preservation of the ports of
 
                                        117                        13001-04-9
 
  1  Albany, Ogdensburg, Oswego, and  the  gateway  metro  port  in  Buffalo;
 
  2  construction,  reconstruction, improvement, reconditioning and preserva-
 
  3  tion of municipal airports; privately owned airports and aviation  capi-
 
  4  tal  facilities, excluding airports operated by the state or operated by
 
  5  a bi-state municipal corporate instrumentality for which federal funding
 
  6  is not available provided the project is  consistent  with  an  approved
 
  7  airport  layout  plan;  and  construction,  reconstruction, enhancement,
 
  8  improvement, replacement,  reconditioning,  restoration,  rehabilitation
 
  9  and  preservation  of state, county, town, city and village roads, high-
 
 10  ways, parkways and bridges. The program authorized by chapter 637 of the
 
 11  laws of 1996 shall additionally be made available as follows:
 
 12       State Fiscal Year             Amount
 
 13       1999-2000                     $25,000,000
 
 14    The director of the budget shall certify to the New York state thruway
 
 15  authority the amount of bonds,  notes  or  other  obligations  for  this
 
 16  purpose to be sold pursuant to section 380 of the public authorities law
 
 17  as amended.
 
 18    §  3. Section 9 of chapter 637 of the laws of 1996 amending the trans-
 
 19  portation law and other laws relating to transportation, as  amended  by
 
 20  section  43  of  part A of chapter 58 of the laws of 1998, is amended to
 
 21  read as follows:
 
 22    § 9. The sum of six  hundred  [eighty-six]  twenty-six  million  seven
 
 23  hundred  thousand  dollars  [($686,700,000)]  ($626,700,000)  or so much
 
 24  thereof as shall be necessary, is hereby made available,  in  accordance
 
 25  with  subdivision  1  of  section  380  of the public authorities law as
 
 26  amended by this chapter of the laws of 1996, according to the  following
 
 27  schedule.  Payments  pursuant  to  subdivisions (a), (e) and (f) of this
 
 28  section shall be made available as  moneys  become  available  for  such
 
                                        118                        13001-04-9
 
  1  payments.  Payments pursuant to subdivision (b) of this section shall be
 
  2  made on the fifteenth day of June, September, December and March  or  as
 
  3  soon  thereafter  as moneys become available for such payments. Payments
 
  4  pursuant  to subdivisions (c) and (d) of this section shall be made on a
 
  5  quarterly basis, or as soon thereafter as moneys  become  available  for
 
  6  such  payments.  No  moneys of the state in the state treasury or any of
 
  7  its funds shall be available for payments pursuant to this section:
 
  8                                  SCHEDULE
 
  9    (a) Thirty-six million seven hundred thousand dollars ($36,700,000) to
 
 10  municipalities for repayment of eligible costs of federal aid  municipal
 
 11  street and highway projects pursuant to section 15 of chapter 329 of the
 
 12  laws  of 1991, as added by section 9 of chapter 330 of the laws of 1991,
 
 13  as amended.  The department of transportation shall provide such  infor-
 
 14  mation to the municipalities as may be necessary to maintain the federal
 
 15  tax  exempt  status  of any bonds, notes, or other obligations issued by
 
 16  such municipalities to provide for the non-federal share of the cost  of
 
 17  projects  pursuant to chapter 330 of the laws of 1991 or section 80-b of
 
 18  the highway law.
 
 19    The program authorized pursuant to section 15 of chapter  329  of  the
 
 20  laws of 1991 as added by section 9 of chapter 330 of the laws of 1991 as
 
 21  amended  shall additionally make payments for reimbursement according to
 
 22  the following schedule:
 
 23       State Fiscal Year             Amount
 
 24       1997-98                       $38,200,000
 
 25       1998-99                       $39,700,000
 
 26       1999-2000                     $39,700,000
 
 27    (b)  Two  hundred  one   million   five   hundred   thousand   dollars
 
 28  ($201,500,000) to counties, cities, towns and villages for reimbursement
 
                                        119                        13001-04-9
 
  1  of  eligible  costs  of  local  highway  and bridge projects pursuant to
 
  2  sections 16 and 16-a of chapter 329 of the laws of  1991,  as  added  by
 
  3  section  9  of  chapter  330  of  the laws of 1991, as amended.  For the
 
  4  purposes of computing allocations to municipalities, the amount distrib-
 
  5  uted  pursuant to section 16 of chapter 329 of the laws of 1991 shall be
 
  6  deemed to be $113,379,000. The amount distributed  pursuant  to  section
 
  7  16-a  of  chapter  329  of  the  laws  of  1991  shall  be  deemed to be
 
  8  $88,121,000. Notwithstanding the provisions of any  general  or  special
 
  9  law,  the  amounts  deemed  distributed in accordance with section 16 of
 
 10  chapter 329 of the laws of 1991 shall be adjusted so that  such  amounts
 
 11  will  not be less than 78.1926 percent of the "funding level" as defined
 
 12  in subdivision 5 of section 10-c of the highway law for each such  muni-
 
 13  cipality.  In  order  to achieve the objectives of section 16 of chapter
 
 14  329 of the laws of 1991, to the extent necessary, the amounts in  excess
 
 15  of 78.1926 percent of the funding level to be deemed distributed to each
 
 16  municipality under this paragraph shall be reduced in equal proportion.
 
 17    The program authorized pursuant to sections 16 and 16-a of chapter 329
 
 18  of  the laws of 1991 as added by section 9 of chapter 330 of the laws of
 
 19  1991, as amended shall  additionally  make  payments  for  reimbursement
 
 20  according to the following schedule:
 
 21       State Fiscal Year             Amount
 
 22       1997-98                       $209,500,000
 
 23       1998-99                       $217,900,000
 
 24       1999-2000                     $217,900,000
 
 25    (c)   Thirteen   million   seven   hundred   fifty   thousand  dollars
 
 26  ($13,750,000) for repayment to municipalities for the eligible costs  of
 
 27  the  Long  Island  suburban  highway  improvement  program authorized by
 
 28  section 10-f of the highway law, as added by chapter 56 of the  laws  of
 
                                        120                        13001-04-9
 
  1  1993.  The  director  of  the budget shall certify to the New York state
 
  2  thruway authority the amount of bonds, notes or  other  obligations  for
 
  3  this  purpose  to be sold pursuant to section 380 of the public authori-
 
  4  ties law, as amended by this chapter of the laws of 1996.
 
  5    (d)   Twenty-four   million   seven  hundred  fifty  thousand  dollars
 
  6  ($24,750,000) for repayment to municipalities for the eligible costs  of
 
  7  the  Hudson  Valley  suburban  highway improvement program authorized by
 
  8  section 10-g of the highway law, as added by chapter 56 of the  laws  of
 
  9  1993.  The  director  of  the budget shall certify to the New York state
 
 10  thruway authority the amount of bonds, notes or  other  obligations  for
 
 11  this  purpose  to be sold pursuant to section 380 of the public authori-
 
 12  ties law as amended by this chapter of the laws of 1996.
 
 13    (e)  [Three  hundred  ten]   Two   hundred   fifty   million   dollars
 
 14  [($310,000,000)]  ($250,000,000)  for  repayment to project sponsors for
 
 15  project costs for: construction, reconstruction,  improvement,  recondi-
 
 16  tioning  and  preservation of rail freight facilities and intercity rail
 
 17  passenger  facilities  and  equipment;   construction,   reconstruction,
 
 18  improvement,  reconditioning  and  preservation  of the ports of Albany,
 
 19  Ogdensburg, Oswego, and the gateway metro port in Buffalo; construction,
 
 20  reconstruction, improvement, reconditioning and preservation of  munici-
 
 21  pal  airports; privately owned airports and aviation capital facilities,
 
 22  excluding airports operated by the  state  or  operated  by  a  bi-state
 
 23  municipal  corporate  instrumentality  for  which federal funding is not
 
 24  available provided the project is consistent with  an  approved  airport
 
 25  layout plan; and construction, reconstruction, enhancement, improvement,
 
 26  replacement,  reconditioning,  restoration, rehabilitation and preserva-
 
 27  tion of state, county, town, city and village roads, highways,  parkways
 
                                        121                        13001-04-9
 
  1  and  bridges.  Amounts  authorized  under this subdivision shall be made
 
  2  available as follows:
 
  3        State Fiscal Year             Amount
 
  4        1996-97                       $25,000,000
 
  5        1997-98                       $75,000,000
 
  6        1998-99                      [$105,000,000]  $75,000,000
 
  7        1999-00                      [$105,000,000]  $75,000,000
 
  8  The  director  of the budget shall certify to the New York state thruway
 
  9  authority the amount of bonds,  notes  or  other  obligations  for  this
 
 10  purpose to be sold pursuant to section 380 of the public authorities law
 
 11  as amended by this act.
 
 12    (f)  $100,000,000  for repayment to project sponsors for project costs
 
 13  for: construction, reconstruction, improvement, reconditioning and pres-
 
 14  ervation of rail freight facilities and intercity rail passenger facili-
 
 15  ties and equipment; construction, reconstruction, improvement,  recondi-
 
 16  tioning and preservation of the ports of Albany, Ogdensburg, Oswego, and
 
 17  the   gateway  metro  port  in  Buffalo;  construction,  reconstruction,
 
 18  improvement, reconditioning  and  preservation  of  municipal  airports;
 
 19  privately  owned  airports  and  aviation  capital facilities, excluding
 
 20  airports operated by the state  or  operated  by  a  bi-state  municipal
 
 21  corporate  instrumentality  for  which  federal funding is not available
 
 22  provided the project is consistent with an approved airport layout plan;
 
 23  and construction, reconstruction, enhancement, improvement, replacement,
 
 24  reconditioning, restoration, rehabilitation and preservation  of  state,
 
 25  county,  town,  city  and village roads, highways, parkways and bridges.
 
 26  Amounts authorized under this subdivision shall  be  made  available  as
 
 27  follows:
 
 28       State Fiscal Year             Amount
 
                                        122                        13001-04-9
 
  1       1996-97                       $25,000,000
 
  2       1997-98                       $25,000,000
 
  3       1998-99                       $25,000,000
 
  4       1999-00                       $25,000,000
 
  5    The director of the budget shall certify to the New York state thruway
 
  6  authority  the  amount  of  bonds,  notes  or other obligations for this
 
  7  purpose to be sold pursuant to section 380 of the public authorities law
 
  8  as amended by this act.
 
  9    (g) It is the intent of the governor, the temporary president  of  the
 
 10  senate  and  the  speaker  of the assembly to enter into a memorandum of
 
 11  understanding with respect to the implementation of the moneys scheduled
 
 12  in subdivisions (e) and (f) of this section. However, this memorandum of
 
 13  understanding  shall  not  be  executed  until  thirty  days  after  the
 
 14  execution  of  the  memorandum of understanding on the state highway and
 
 15  bridge program as is set forth in section eleven of this act.
 
 16    § 4. This act shall take effect April 1, 1999.
 
 17                 PUBLIC PROTECTION, HEALTH AND MENTAL HYGIENE
 
 18                                   PART S
 
 19    § 1. Subparagraph 1 of paragraph (a) of subdivision 4 of  section  541
 
 20  of  the  executive  law, as added by chapter 132 of the laws of 1979, is
 
 21  amended to read as follows:
 
 22    (1)   within the  amounts  appropriated  therefor,  counties  with  an
 
 23  approved  county  plan  shall  be  eligible  for  reimbursement  of [one
 
 24  hundred] seventy-five per centum of the annual approved expenditures for
 
 25  the preparation and revision of such county plan, evaluation of projects
 
 26  contained within such county plan, execution of  interagency  agreements
 
 27  necessary  to  carry  out  the  plan, actions to consolidate, combine or
 
 28  [colocate] collocate services within the county, and such other costs of
 
                                        123                        13001-04-9
 
  1  the designated agency necessary to implement such county plan,  provided
 
  2  that  the  total  annual[amount  payable to] approved expenditures for a
 
  3  county pursuant to this subparagraph shall not exceed  the  sum  of  one
 
  4  dollar  for  each elderly person residing in the county, or seventy-five
 
  5  thousand dollars, whichever is less, and further provided that  for  the
 
  6  city of New York such amount shall not exceed one dollar for each elder-
 
  7  ly  person  residing  in the city or three hundred seventy-five thousand
 
  8  dollars, whichever is less.  Notwithstanding the foregoing  limitations,
 
  9  counties  with a population of less than twenty thousand elderly persons
 
 10  shall be eligible for reimbursement of [one  hundred]  seventy-five  per
 
 11  centum  of  such  annual  approved  expenditures provided that the total
 
 12  annual amount of such [reimbursement] approved expenditures  per  county
 
 13  shall not exceed twenty thousand dollars.
 
 14    §  2.  Subparagraph 1 of paragraph (b) of subdivision 4 of section 541
 
 15  of the executive law, as amended by chapter 545 of the laws of 1989,  is
 
 16  amended to read as follows:
 
 17    (1)    within  the  amounts  appropriated therefor, counties having an
 
 18  approved county plan shall be eligible for reimbursement  by  the  state
 
 19  for  expenditures  for  approved  community service projects pursuant to
 
 20  this section.  Such state reimbursement shall  not  exceed  thirty-three
 
 21  thousand  six  hundred  dollars  or  four  dollars twenty cents for each
 
 22  elderly person residing in the county, whichever is greater.  The direc-
 
 23  tor shall proportionately reduce such sum for each county in  any  years
 
 24  for  which  appropriations  are  not  sufficient  to fully fund approved
 
 25  community service projects in all counties with approved  county  plans.
 
 26  The  director,  with  the  approval  of  the director of the budget, may
 
 27  authorize state reimbursement in excess of these levels  to  the  extent
 
 28  appropriations  are  available therefor.  The [initial twenty-five thou-
 
                                        124                        13001-04-9
 
  1  sand six hundred dollars or  three  dollars  twenty  cents  per  elderly
 
  2  person  of  such]  annual  state reimbursement eligibility shall be at a
 
  3  rate of seventy-five percent of the total annual expenditures  for  such
 
  4  approved  programs.  [The  remainder  of  such reimbursement eligibility
 
  5  shall be at a rate of fifty percent for such expenditures.]
 
  6    § 3. Subdivision 6 of section 541 of the executive law,  as  added  by
 
  7  chapter 894 of the laws of 1986, is amended to read as follows:
 
  8    6. Implementation of home care plans.  Within the amounts appropriated
 
  9  therefor,  counties  authorized  to provide expanded non-medical in-home
 
 10  services, non-institutional respite services, case management  services,
 
 11  and  ancillary services pursuant to paragraph (i) of subdivision four of
 
 12  this section shall be eligible for reimbursement by the  state  of  [one
 
 13  hundred]  seventy-five  per  centum of allowable expenditures for imple-
 
 14  menting the approved county home care  plan  for  functionally  impaired
 
 15  elderly, limited to a sum equivalent to one-half the amount available to
 
 16  such county pursuant to subparagraph one of paragraph (a) of subdivision
 
 17  four of this section.
 
 18    § 4.  This act shall take effect immediately.
 
 19                                   PART T
 
 20    § 1. Subdivision 1 of section 865 of the correction law, as amended by
 
 21  chapter 55 of the laws of 1992, is amended to read as follows:
 
 22    1. "Eligible inmate" means a person sentenced to an indeterminate term
 
 23  of  imprisonment  who  has  not  reached  the age of [thirty-five] forty
 
 24  years, who will become eligible  for  release  on  parole  within  three
 
 25  years,  who  has not previously been convicted of a felony upon which an
 
 26  indeterminate term of imprisonment was imposed who was between the  ages
 
 27  of  sixteen  and  [thirty-five]  forty  at the time of commission of the
 
 28  crime upon which his or her present sentence was based.  Notwithstanding
 
                                        125                        13001-04-9
 
  1  the foregoing, no person who is convicted of any of the following crimes
 
  2  shall be deemed eligible to participate in this program: (a)  a  violent
 
  3  felony  offense  as  defined in article seventy of the penal law, (b) an
 
  4  A-I  felony  offense,  (c)  manslaughter in the second degree, vehicular
 
  5  manslaughter in the second degree, vehicular manslaughter in  the  first
 
  6  degree,  and  criminally  negligent  homicide  as defined in article one
 
  7  hundred twenty-five of the penal law, (d) rape  in  the  second  degree,
 
  8  rape  in  the  third  degree, sodomy in the second degree, sodomy in the
 
  9  third degree, attempted sexual abuse in the first degree, attempted rape
 
 10  in the second degree and  attempted  sodomy  in  the  second  degree  as
 
 11  defined  in articles one hundred ten and one hundred thirty of the penal
 
 12  law and (e) any escape or absconding offense as defined in  article  two
 
 13  hundred five of the penal law.
 
 14    § 2. This act shall take effect April 1, 1999.
 
 15                                   PART U
 
 16    §  1. Subdivision 1 of section 601-c of the correction law, as amended
 
 17  by chapter 494 of the laws of 1985, is amended to read as follows:
 
 18    1. The expense of maintaining persons convicted of a felony who  shall
 
 19  be  sentenced  to  imprisonment  in  a [penitentiary] local correctional
 
 20  facility prior to April first, nineteen  hundred  ninety-nine  shall  be
 
 21  paid by the state at the actual per day per capita cost, as certified to
 
 22  the commissioner by the appropriate local official, for the care of such
 
 23  prisoner but, in any case, the reimbursement rate shall not exceed twen-
 
 24  ty  dollars  per  day  per  capita  to the county or city operating such
 
 25  facility.
 
 26    § 2. This act shall take effect immediately and  shall  be  deemed  to
 
 27  have been in full force and effect on and after April 1, 1999.
 
 28                                   PART V
 
                                        126                        13001-04-9
 
  1    §  1. Subdivision 2 of section 259-m of the executive law, as added by
 
  2  chapter 904 of the laws of 1977, is amended to read as follows:
 
  3    2.  The [chairman of the board of parole] director of criminal justice
 
  4  services shall have power and shall be charged with the duty of  promul-
 
  5  gating  such  rules  and regulations as may be deemed necessary to carry
 
  6  out the terms of a compact entered into by the state  pursuant  to  this
 
  7  section.
 
  8    § 2. This act shall take effect immediately.
 
  9                                   PART W
 
 10    §  1.  Paragraphs (a) and (b) of subdivision 2 of section 168-a of the
 
 11  correction law, as added by chapter 192 of the laws of 1995, are amended
 
 12  to read as follows:
 
 13    (a) a conviction of or a conviction for an attempt to  commit  any  of
 
 14  the  provisions  of  sections  130.25,  130.30,  130.40, 130.45, 130.60,
 
 15  130.66, 130.80 and 255.25 or article [263] two  hundred  sixty-three  of
 
 16  the  penal  law, or section 135.05, 135.10, 135.20 or 135.25 of such law
 
 17  relating to kidnaping offenses, provided the victim of such kidnaping or
 
 18  related offense is less than seventeen years old; or
 
 19    (b) a conviction of an  offense  in  any  other  jurisdiction  [of  an
 
 20  offense] which includes all of the essential elements of any such [felo-
 
 21  ny] crime provided for in paragraph (a) of this subdivision [for which a
 
 22  sentence  to  a term of imprisonment in excess of one year or a sentence
 
 23  of death was authorized and is authorized in this state irrespective  of
 
 24  whether  such  sentence  was imposed] or conviction of an offense in any
 
 25  other jurisdiction which requires the offender  to  register  as  a  sex
 
 26  offender in the jurisdiction in which the conviction occurred.
 
                                        127                        13001-04-9
 
  1    §  2.  Paragraphs (a) and (b) of subdivision 3 of section 168-a of the
 
  2  correction law, as added by chapter 192 of the laws of 1995, are amended
 
  3  to read as follows:
 
  4    (a)  a  conviction  of or a conviction for an attempt to commit any of
 
  5  the provisions of sections 130.35, 130.50, 130.65, 130.67 [and],  130.70
 
  6  and 130.75 of the penal law; or
 
  7    (b)  a  conviction  of an offense of the law in any other jurisdiction
 
  8  [of an offense] which includes all of the essential elements of any such
 
  9  [felony] crime provided for in paragraph (a) of  this  subdivision  [for
 
 10  which  a  sentence  to a term of imprisonment in excess of one year or a
 
 11  sentence of death was authorized and is authorized in this  state  irre-
 
 12  spective  of  whether  such  sentence  was  imposed] or conviction of an
 
 13  offense in any other jurisdiction which requires the offender to  regis-
 
 14  ter  as  a  sex  offender  in  the  jurisdiction in which the conviction
 
 15  occurred.
 
 16    § 3. Subdivision 4 of section 168-a of the correction law, as added by
 
 17  chapter 192 of the laws of 1995, is amended to read as follows:
 
 18    4. "Law enforcement agency having jurisdiction" means  the  chief  law
 
 19  enforcement  officer in the village, town [or], city, or county in which
 
 20  the offender expects to reside upon his discharge, probation, parole  or
 
 21  upon  any  form  of  state  or  local conditional release and shall also
 
 22  include the division of state police.
 
 23    § 4. Subdivision 7 of section 168-a of the correction law, as added by
 
 24  chapter 192 of the laws of 1995, is amended to read as follows:
 
 25    7. "Sexually violent predator" means a person who has  been  convicted
 
 26  of  a  sexually  violent offense as defined herein, or a sex offender as
 
 27  defined herein who suffers from a mental  abnormality  that  makes  such
 
 28  person likely to engage in predatory sexual conduct, or a person who has
 
                                        128                        13001-04-9
 
  1  been  convicted  of  a  sex offense as defined in this section where the
 
  2  risk of repeat offense by such person is high and there exists a  threat
 
  3  to the public safety.
 
  4    §  5.  Section  168-a of the correction law is amended by adding a new
 
  5  subdivision 12 to read as follows:
 
  6    12. Probation means a sentence of probation imposed pursuant to  arti-
 
  7  cle  sixty-five  of  the  penal  law and shall include interim probation
 
  8  supervision and shall also include a sentence  of  imprisonment  imposed
 
  9  with a sentence of probation.
 
 10    § 6. Subdivision 2 of section 168-d of the correction law, as added by
 
 11  chapter 192 of the laws of 1995, is amended to read as follows:
 
 12    2.  Any  sex offender, who is released on probation or discharged upon
 
 13  payment of a fine,  conditional  discharge  or  unconditional  discharge
 
 14  shall,  prior  to  such release or discharge, be informed of his duty to
 
 15  register under this article by the court  in  which  he  was  convicted.
 
 16  Where  the court orders a sex offender released on probation, such order
 
 17  must include a provision requiring that he comply with the  requirements
 
 18  of  this  article.  Where  such  sex  offender  violates such provision,
 
 19  probation may be immediately revoked in the manner provided  by  article
 
 20  four  hundred ten of the criminal procedure law. The court shall require
 
 21  the sex offender to read and sign such form as may be  required  by  the
 
 22  division stating the duty to register and the procedure for registration
 
 23  has  been  explained  to him and to complete the registration portion of
 
 24  such form.  The court shall on such form obtain the  address  where  the
 
 25  sex  offender  expects  to reside upon his release, and shall report the
 
 26  address to the division. The court shall give one copy of  the  form  to
 
 27  the  sex  offender and shall send two copies to the division which shall
 
 28  forward [one copy] the information to the law enforcement agency  having
 
                                        129                        13001-04-9
 
  1  jurisdiction  where the sex offender expects to reside upon his release.
 
  2  [Within] At least ten calendar days [of]  prior  to  being  released  on
 
  3  probation or discharged upon payment of a fine, conditional discharge or
 
  4  unconditional  discharge such sex offender shall register with the divi-
 
  5  sion [for purposes of verifying such sex offender’s  intended  place  of
 
  6  residence] on a form prepared by the division.
 
  7    § 7. Subdivision 3 of section 168-d of the correction law, as added by
 
  8  chapter 192 of the laws of 1995, is amended to read as follows:
 
  9    3.  For  sex offenders under this section, it shall be the duty of the
 
 10  court applying the guidelines established in subdivision five of section
 
 11  one hundred sixty-eight-1 of this article to determine the  duration  of
 
 12  registration pursuant to section one hundred sixty-eight-h of this arti-
 
 13  cle and level of notification pursuant to subdivision six of section one
 
 14  hundred  sixty-eight-1  of this article.   [In making the determination,
 
 15  the court shall review any victim’s statement and any materials  submit-
 
 16  ted  by the sex offender. The court shall also allow the sex offender to
 
 17  appear and be heard, and inform the sex offender of his  right  to  have
 
 18  counsel  appointed,  if  necessary]  At  least fifteen days prior to the
 
 19  determination proceeding, the state shall provide to the court  and  the
 
 20  sex offender a written statement setting forth the duration of registra-
 
 21  tion  and  level  of  notification sought by the state together with the
 
 22  reasons for seeking such determinations. The court shall allow  the  sex
 
 23  offender  to appear and be heard, and in appropriate cases, the court in
 
 24  its discretion, may assign counsel pursuant to the provisions of section
 
 25  eleven hundred two of the civil practice law and rules. The state  shall
 
 26  appear  by the district attorney, or his or her designee, who shall bear
 
 27  the burden of proving the facts supporting the duration of  registration
 
 28  and  level  of  notification sought by clear and convincing evidence. In
 
                                        130                        13001-04-9
 
  1  making the determination, the court shall review any victim’s  statement
 
  2  and  any  materials submitted by the sex offender and the state, and the
 
  3  court shall render an order setting forth its determinations. A copy  of
 
  4  the order shall be submitted by the court to the division.  Either party
 
  5  may  appeal from the order pursuant to the provisions of articles fifty-
 
  6  five and fifty-six of the civil practice law and rules.
 
  7    § 8. Subdivision 1 of section 168-e of the correction law, as added by
 
  8  chapter 192 of the laws of 1995, is amended to read as follows:
 
  9    1. Any sex offender, to be discharged, paroled or  released  from  any
 
 10  state  or  local correctional facility, hospital or institution where he
 
 11  was confined or committed, shall within forty-five calendar  days  prior
 
 12  to  discharge,  parole  or  release, be informed of his duty to register
 
 13  under this article, by the facility in which he was confined or  commit-
 
 14  ted.  The  facility shall require the sex offender to read and sign such
 
 15  form as may be required by the division stating the duty to register and
 
 16  the procedure for registration has been explained to him.  The  facility
 
 17  shall  obtain on such form the address where the sex offender expects to
 
 18  reside upon his discharge,  parole  or  release  and  shall  report  the
 
 19  address to the division. The facility shall give one copy of the form to
 
 20  the  sex  offender and shall send two copies to the division which shall
 
 21  forward one copy to the law enforcement agency having jurisdiction where
 
 22  the sex offender  expects  to  reside  upon  his  discharge,  parole  or
 
 23  release.  In  addition,  the facility shall give the sex offender a form
 
 24  prepared by the division, to register with the division [within ten]  at
 
 25  least  fifteen  calendar  days  [for  purposes  of  verifying  such  sex
 
 26  offender’s intended place of residence] prior to release and  such  form
 
 27  shall  be completed, signed by the sex offender and sent to the division
 
 28  at least ten days prior to release.
 
                                        131                        13001-04-9
 
  1    § 9. Subdivision 1 of section 168-f of the correction law, as added by
 
  2  chapter 192 of the laws of 1995, is amended to read as follows:
 
  3    1.  Any  sex offender[, who is discharged, paroled or released] shall,
 
  4  at least ten calendar days prior to (a)  discharge,  parole  or  release
 
  5  from  any  state or local correctional facility, hospital or institution
 
  6  where he was confined or committed, [shall] or, (b) release on probation
 
  7  or discharge upon payment of a fine, conditional discharge  or  uncondi-
 
  8  tional  discharge,  register with the division [within ten calendar days
 
  9  for purposes of verifying such sex offender’s intended  place  of  resi-
 
 10  dence] on a form prepared by the division.
 
 11    §  10.  Paragraph  (c)  of  subdivision  2  of  section  168-f  of the
 
 12  correction law, as added by chapter 192 of the laws of 1995, is  amended
 
 13  to read as follows:
 
 14    (c)  If the sex offender fails to mail the signed verification form to
 
 15  the division within ten calendar days after  receipt  of  the  form,  he
 
 16  shall  be in violation of this section [unless he proves that he has not
 
 17  changed his residence address].
 
 18    § 11. Section 168-h of the correction law, as added by chapter 192  of
 
 19  the laws of 1995, is amended to read as follows:
 
 20    §  168-h.  Duration  of registration and verification. The duration of
 
 21  registration and verification for a sex offender shall be annually for a
 
 22  period of ten years from the initial  date  of  registration,  provided,
 
 23  however, that for a sexually violent predator, he shall annually [regis-
 
 24  ter and verify quarterly] verify his address with the division and shall
 
 25  also  personally  verify his address every ninety calendar days with the
 
 26  local law enforcement agency  having  jurisdiction  where  the  offender
 
 27  resides  for  a  minimum  of  ten  years  unless the court determines in
 
 28  accordance with section one hundred sixty-eight-o of this article,  that
 
                                        132                        13001-04-9
 
  1  the  person  no longer suffers from a mental abnormality that would make
 
  2  him likely to engage in a predatory sexually violent offense.
 
  3    §  12. Section 168-i of the correction law, as added by chapter 192 of
 
  4  the laws of 1995, is amended to read as follows:
 
  5    § 168-i. Registration and verification requirements.  Registration and
 
  6  verification as required by this article shall consist of a statement in
 
  7  writing signed by the  sex  offender  giving  the  information  that  is
 
  8  required  by  the  division and the division shall enter the information
 
  9  into an appropriate electronic data base or file.
 
 10    § 13. The opening paragraph of section 168-k of the correction law  is
 
 11  designated  subdivision  1  and  a new subdivision 2 is added to read as
 
 12  follows:
 
 13    2. The division shall also advise the board that the sex offender  has
 
 14  established  residence  in  this state and has registered with the divi-
 
 15  sion. After reviewing any information obtained by the board, and  apply-
 
 16  ing  the  guidelines  established  in  subdivision  five  of section one
 
 17  hundred sixty-eight-l of this article, the  board  shall,  within  sixty
 
 18  calendar  days make a recommendation regarding the duration of registra-
 
 19  tion pursuant to section one hundred sixty-eight-h of this  article  and
 
 20  level of notification pursuant to subdivision six of section one hundred
 
 21  sixty-eight-l of this article. Such recommendation shall be submitted by
 
 22  the  board  to  the  county  court  or supreme court and to the district
 
 23  attorney in the county of residence of the sex offender. A determination
 
 24  with respect to the duration of registration  pursuant  to  section  one
 
 25  hundred sixty-eight-h of this article and level of notification pursuant
 
 26  to  subdivision six of section one hundred sixty-eight-l of this article
 
 27  shall be made by the county court or the supreme court in the county  of
 
 28  residence of the sex offender. At least fifteen days prior to making the
 
                                        133                        13001-04-9
 
  1  determination,  such court shall notify the sex offender, in writing, of
 
  2  the date of the  determination  proceeding  and  the  court  shall  also
 
  3  provide the sex offender with a copy of the recommendation received from
 
  4  the  board  and  any  statement  of  the  reasons for the recommendation
 
  5  received from the board. If the district attorney seeks a  determination
 
  6  that  differs  from the recommendations submitted by the board, at least
 
  7  ten days prior to the determination proceeding the state  shall  provide
 
  8  to the court and the sex offender a statement setting forth the duration
 
  9  of  registration  and level of notification sought by the state together
 
 10  with the reasons for seeking such determinations. The court shall  allow
 
 11  the  sex  offender to appear and be heard, and in appropriate cases, the
 
 12  court in its discretion, may assign counsel pursuant to  the  provisions
 
 13  of  section  eleven hundred two of the civil practice law and rules. The
 
 14  state shall appear by the district attorney, or his or her designee, who
 
 15  shall bear the burden of proving the facts supporting  the  duration  of
 
 16  registration  and  level  of notification sought by clear and convincing
 
 17  evidence. In  making  the  determination  the  court  shall  review  any
 
 18  victim’s  statement  and any materials submitted by the sex offender and
 
 19  the recommendation and any materials submitted by the board as  well  as
 
 20  any  other evidence produced by the state, and the court shall render an
 
 21  order setting forth its determinations. A copy of  the  order  shall  be
 
 22  submitted by the court to the division. Either party may appeal from the
 
 23  order pursuant to the provisions of articles fifty-five and fifty-six of
 
 24  the civil practice law and rules.
 
 25    §  14.  Subdivision 6 of section 168-l of the correction law, as added
 
 26  by chapter 192 of the laws of 1995, is amended to read as follows:
 
 27    6. Applying these guidelines, the board shall  within  sixty  calendar
 
 28  days  prior to the discharge, parole or release of a sex offender make a
 
                                        134                        13001-04-9
 
  1  recommendation which shall be confidential and shall  not  be  available
 
  2  for  public  inspection,  to the sentencing court as to whether such sex
 
  3  offender warrants the designation of sexually violent predator. In addi-
 
  4  tion, the guidelines shall be applied by the board to make a recommenda-
 
  5  tion  to  the sentencing court, providing for one of the following three
 
  6  levels of  notification  notwithstanding  any  other  provision  of  law
 
  7  depending upon the degree of the risk of re-offense by the sex offender.
 
  8  The  board  may  provide  a  copy  of  its recommendation to a parole or
 
  9  probation officer who is or will be supervising the sex offender and  to
 
 10  the  district  attorney representing the state in a proceeding to deter-
 
 11  mine the duration of registration and level of notification.
 
 12    § 15. Section 168-l of the correction law is amended by adding  a  new
 
 13  subdivision 8 to read as follows:
 
 14    8.  A  failure  by a state or local agency to act or render a determi-
 
 15  nation within the time period specified in this article shall not affect
 
 16  the obligation of the sex offender to  register  or  verify  under  this
 
 17  article  nor  shall  such failure prevent a court from making a determi-
 
 18  nation regarding the sex offender’s duration of registration  and  level
 
 19  of notification.
 
 20    §  16. Section 168-m of the correction law, as added by chapter 192 of
 
 21  the laws of 1995, is amended to read as follows:
 
 22    § 168-m. Review. Notwithstanding any other provision  of  law  to  the
 
 23  contrary,  any  state  or  local  correctional  facility, hospital [or],
 
 24  institution,  district  attorney,  law  enforcement  agency,   probation
 
 25  department,  division  of parole, court or child protective agency shall
 
 26  forward  relevant  information  pertaining  to  a  sex  offender  to  be
 
 27  discharged,  paroled  or  released to the board for review no later than
 
 28  one hundred twenty days prior to the release or discharge and the  board
 
                                        135                        13001-04-9
 
  1  shall make recommendations as provided in subdivision six of section one
 
  2  hundred  sixty-eight-l  of  this article within sixty days of receipt of
 
  3  the information. Information may include but may not be limited  to  the
 
  4  commitment  file,  medical  file  and  treatment file pertaining to such
 
  5  person. Such person shall be permitted to submit to the board any infor-
 
  6  mation relevant to the review.
 
  7    § 17. Subdivisions 1, 2 and 3 of section 168-n of the correction  law,
 
  8  as  added  by  chapter  192  of the laws of 1995, are amended to read as
 
  9  follows:
 
 10    1. A determination that an offender is a sex offender  or  a  sexually
 
 11  violent predator shall be made prior to the discharge, parole or release
 
 12  of  such offender by the sentencing court applying the guidelines estab-
 
 13  lished in subdivision five of section one hundred sixty-eight-l of  this
 
 14  article  after  receiving  a  recommendation  from the board pursuant to
 
 15  section one hundred sixty-eight-l of this article.
 
 16    2. In addition, applying the  guidelines  established  in  subdivision
 
 17  five  of section one hundred sixty-eight-l of this article, the sentenc-
 
 18  ing court shall also make a determination with respect to the  level  of
 
 19  notification,  after  receiving a recommendation from the board pursuant
 
 20  to section one hundred sixty-eight-l  of  this  article.  Both  determi-
 
 21  nations of the sentencing court shall be made thirty calendar days prior
 
 22  to discharge, parole or release.
 
 23    3.  [In making the determination, the court shall, review any victim’s
 
 24  statement and any materials submitted by the  sex  offender.  The  court
 
 25  shall also allow the sex offender to appear and be heard, and inform the
 
 26  sex  offender  of  his right to have counsel appointed, if necessary] At
 
 27  least fifteen days prior to making  the  determination,  the  sentencing
 
 28  court  shall  notify  the  sex  offender, in writing, of the date of the
 
                                        136                        13001-04-9
 
  1  determination proceeding and the sentencing court shall also provide the
 
  2  sex offender with a copy of the recommendation received from  the  board
 
  3  and  any  statement  of the reasons for the recommendation received from
 
  4  the  board.  If the district attorney seeks a determination that differs
 
  5  from the recommendations submitted by the board, at least ten days prior
 
  6  to the determination proceeding the state shall provide to the court and
 
  7  the sex offender a statement setting forth the duration of  registration
 
  8  and  level of notification sought by the state together with the reasons
 
  9  for seeking such determinations. The court shall allow the sex  offender
 
 10  to  appear  and  be  heard,  and  in  appropriate cases the court in its
 
 11  discretion, may assign counsel pursuant to  the  provisions  of  section
 
 12  eleven  hundred two of the civil practice law and rules. The state shall
 
 13  appear by the district attorney, or his or her designee, who shall  bear
 
 14  the  burden of proving the facts supporting the duration of registration
 
 15  and level of notification sought by clear and  convincing  evidence.  In
 
 16  making  the  determination the court shall review any victim’s statement
 
 17  and any materials submitted by the sex offender and  the  recommendation
 
 18  and  any  materials submitted by the board as well as any other evidence
 
 19  produced by the state, and the court shall render an order setting forth
 
 20  its determinations. A copy of the order shall be submitted by the  court
 
 21  to  the division. Either party may appeal from the order pursuant to the
 
 22  provisions of articles fifty-five and fifty-six of  the  civil  practice
 
 23  law and rules.
 
 24    §  18. Section 168-o of the correction law, as added by chapter 192 of
 
 25  the laws of 1995, is amended to read as follows:
 
 26    § 168-o. Petition for relief. Any sex offender required to register or
 
 27  verify pursuant to this article may be relieved of any further  duty  to
 
 28  register  or  verify  upon  the granting of a petition for relief by the
 
                                        137                        13001-04-9
 
  1  sentencing court or by the court which made the determination  regarding
 
  2  duration  of  registration  and  level of notification if a petition for
 
  3  relief is filed by a sex offender who is required to  register  pursuant
 
  4  to  the provisions of section one hundred sixty-eight-k of this article.
 
  5  Upon receipt of the petition for relief,  the  court  shall  notify  the
 
  6  board  and  request  an  updated  report pertaining to the sex offender.
 
  7  After receiving the report from the board, the court may grant  or  deny
 
  8  the  relief  sought  or  amend the offender’s risk level.  The court may
 
  9  consult with the victim prior to making a determination on the petition.
 
 10  Such petition, if granted, shall not relieve the petitioner of the  duty
 
 11  to  register  pursuant  to  this  article upon conviction of any offense
 
 12  requiring registration in the future.   Such a  petition  shall  not  be
 
 13  considered  more  than  annually.  It shall be the obligation of the sex
 
 14  offender to file a copy of the court’s determination with the division.
 
 15    § 19. Subdivision 1 of section 168-q of the correction law,  as  added
 
 16  by chapter 192 of the laws of 1995, is amended to read as follows:
 
 17    1. The division [of criminal justice services] shall maintain a subdi-
 
 18  rectory  of  sexually  violent predators. The subdirectory shall include
 
 19  the exact address and photograph of the  sex  offender  along  with  the
 
 20  following information, if available: name, physical description, age and
 
 21  distinctive   markings.   Background   information   including  the  sex
 
 22  offender’s crime of conviction,  modus  of  operation,  type  of  victim
 
 23  targeted,  and  a  description  of special conditions imposed on the sex
 
 24  offender shall also be included. The subdirectory shall have sex  offen-
 
 25  der listings categorized by county and zip code. A copy of the subdirec-
 
 26  tory shall annually be distributed to the offices of local village, town
 
 27  [or],  city  [police departments], county or state law enforcement agen-
 
 28  cies for purposes of public access. Such  [departments]  agencies  shall
 
                                        138                        13001-04-9
 
  1  require  that  a  person  in  writing express a purpose in order to have
 
  2  access to the subdirectory and such [department] agencies shall maintain
 
  3  these requests. Any information identifying the victim  by  name,  birth
 
  4  date, address or relation to the sex offender shall be excluded from the
 
  5  subdirectory distributed for purposes of public access. The subdirectory
 
  6  provided  for herein shall be updated periodically to maintain its effi-
 
  7  ciency and usefulness and may be computer accessible.
 
  8    § 20. Section 168-t of the correction law, as added by chapter 192  of
 
  9  the laws of 1995, is amended to read as follows:
 
 10    §  168-t.  Failure  to  register  or verify; penalty. Any [person] sex
 
 11  offender required to register or to verify pursuant to the provisions of
 
 12  this article who fails to register or verify in the  manner  and  within
 
 13  the time periods provided for herein shall be guilty of a class A misde-
 
 14  meanor  for  the  first  offense, and for a second or subsequent offense
 
 15  shall be guilty of a class D felony. Any such  failure  to  register  or
 
 16  verify  may  also  be  the  basis  for  revocation of parole pursuant to
 
 17  section two hundred fifty-nine-i of the executive law or the  basis  for
 
 18  revocation  of  probation  pursuant  to  article four hundred ten of the
 
 19  criminal procedure law.
 
 20    § 21. This act shall take effect immediately.
 
 21                                    PART X
 
 22    § 1.  Subdivision 11 of section 700 of the county law, as  amended  by
 
 23  chapter 309 of the laws of 1996, is amended to read as follows:
 
 24    11. (a) In addition to the state aid provided in subdivision ten here-
 
 25  of,  each county, the salary of the district attorney of which is deter-
 
 26  mined pursuant to section one hundred eighty-three-a  of  the  judiciary
 
 27  law,  shall  be  entitled to receive state aid in an amount equal to the
 
 28  difference between: (i) the salary required to be paid to  the  district
 
                                        139                        13001-04-9
 
  1  attorney  of  such  county  pursuant to such section one hundred eighty-
 
  2  three-a on October first, nineteen hundred  ninety-four,  not  including
 
  3  any  additional  compensation  which may have been provided by local law
 
  4  pursuant to such section one hundred eighty-three-a, and (ii) the salary
 
  5  required  to  be paid to such district attorney pursuant to such section
 
  6  one hundred eighty-three-a immediately prior to October first,  nineteen
 
  7  hundred  eighty-seven,  or the salary actually paid immediately prior to
 
  8  such date, if higher, less the amount  of  any  additional  compensation
 
  9  which  may  have been provided thereafter by any such local law prior to
 
 10  April first, nineteen hundred ninety-six.  Provided, however, where  the
 
 11  salary  of  the  district  attorney of a county first becomes determined
 
 12  pursuant to section one hundred eighty-three-a of the judiciary  law  on
 
 13  or after April first, nineteen hundred ninety-six, the state aid payable
 
 14  to  such  county pursuant to this paragraph shall equal thirty-one thou-
 
 15  sand dollars.
 
 16    (b) In addition to the state aid provided in  paragraph  (a)  of  this
 
 17  subdivision,  each  county, the salary of the district attorney of which
 
 18  is determined pursuant to section  one  hundred  eighty-three-a  of  the
 
 19  judiciary  law,  shall be entitled to receive state aid in the amount of
 
 20  forty-one percent of the difference between the amount  required  to  be
 
 21  paid  to  such district attorney pursuant to section one hundred eighty-
 
 22  three-a of the judiciary  law  on  and  after  January  first,  nineteen
 
 23  hundred  ninety-nine and the amount required to be paid pursuant to such
 
 24  section immediately prior to such date, except that  in  the  county  of
 
 25  Dutchess the amount shall be forty-two percent of such difference in the
 
 26  county of Putnam the amount shall be forty percent of such difference in
 
 27  the  county  of  Monroe  the amount shall be thirty-nine percent of such
 
                                        140                        13001-04-9
 
  1  difference and in the counties of Erie, Nassau, Suffolk and  Westchester
 
  2  the amount shall be thirty-six percent of such difference.
 
  3    (c)  Commencing  with the nineteen hundred eighty-seven calendar year,
 
  4  the comptroller shall annually determine the amount of state aid payable
 
  5  to each county pursuant to [paragraph] paragraphs (a) and (b) hereof for
 
  6  each calendar year and shall pay such amount on his audit and warrant to
 
  7  the chief fiscal officer of each such county during the month of Septem-
 
  8  ber in each such year. Where a county first becomes  entitled  to  state
 
  9  aid pursuant to [paragraph] paragraphs (a) and (b) hereof on a day other
 
 10  than [April] January first, nineteen hundred [ninety-six] ninety-nine or
 
 11  [April]  January first of any other year thereafter, the amount of state
 
 12  aid payable to such county in the year it first becomes entitled to such
 
 13  state aid shall be prorated accordingly.
 
 14    § 2. This act shall take effect immediately and  shall  be  deemed  to
 
 15  have been in effect on and after January 1, 1999.
 
 16                                   PART Y
 
 17    §  1.  Paragraph  (a)  of  subdivision  3 of section 366 of the social
 
 18  services law, as amended by chapter 110 of the laws of 1971, is  amended
 
 19  to read as follows:
 
 20    (a)  Medical  assistance  shall  be  furnished  to applicants in cases
 
 21  where, although such applicant has a responsible  relative  with  suffi-
 
 22  cient  income  and resources to provide medical assistance as determined
 
 23  by the regulations of the department, the income and  resources  of  the
 
 24  responsible  relative are not available to such applicant because of the
 
 25  absence of such relative [or] and the refusal or failure of  such  rela-
 
 26  tive  to  provide  the  necessary  care and assistance.   In such cases,
 
 27  however, the furnishing of  such  assistance  shall  create  an  implied
 
 28  contract  with such relative, and the cost thereof may be recovered from
 
                                        141                        13001-04-9
 
  1  such relative in accordance with title six  of  article  three  of  this
 
  2  chapter and other applicable provisions of law.
 
  3    §  2.  Paragraph  (b)  of subdivision 6 of section 367-a of the social
 
  4  services law, as added by chapter 41 of the laws of  1992  and  subpara-
 
  5  graph (iii) as amended by chapter 843 of the laws of 1992, is amended to
 
  6  read as follows:
 
  7    (b)  Co-payments  shall apply to all eligible persons for the services
 
  8  defined in paragraph (d) of this subdivision with the exception of:
 
  9    (i) individuals under twenty-one years of age;
 
 10    (ii) pregnant women;
 
 11    (iii) individuals who are inpatients in a medical  facility  who  have
 
 12  been  required  to  spend  all  of their income for medical care, except
 
 13  their personal needs allowance or residents of community based  residen-
 
 14  tial facilities licensed by the office of mental health or the office of
 
 15  mental retardation and developmental disabilities who have been required
 
 16  to spend all of their income, except their personal needs allowance;
 
 17    (iv) individuals enrolled in health maintenance organizations or other
 
 18  entities  which  provide comprehensive health services, or other managed
 
 19  care programs for services covered by such programs;  provided,  however
 
 20  that  such  individuals shall not be exempt from copayments for services
 
 21  and supplies that are excluded from the capitation payment  pursuant  to
 
 22  the provisions of section three hundred sixty-five-i of this title; and
 
 23    (v)  any  other  individuals required to be excluded by federal law or
 
 24  regulations.
 
 25    § 3. Subdivision (x) of section 165 of chapter 41 of the laws of  1992
 
 26  amending  the  public  health law and other laws relating to health care
 
 27  providers, as amended by chapter 433 of the laws of 1997, is amended  to
 
 28  read as follows:
 
                                        142                        13001-04-9
 
  1    (x)  provided  further  that  the provisions of [paragraph] paragraphs
 
  2  (a), (b), (d), (e), (f), and (g) of subdivision 6 of  section  367-a  of
 
  3  the  social  services  law,  as added by, and the amendatory language of
 
  4  paragraph (c) of such subdivision as added by section ninety-one of this
 
  5  act,  shall  expire  and  be deemed repealed on and after July 1, [1999]
 
  6  2000 and on such date the provisions of paragraph (c) shall be  read  as
 
  7  set out immediately preceding the effective date of this act.
 
  8    §  4.  Subdivision 1 of section 211 of chapter 474 of the laws of 1996
 
  9  amending the education law and other laws relating to rates for residen-
 
 10  tial health care facilities, as amended by chapter 433 of  the  laws  of
 
 11  1997, is amended to read as follows:
 
 12    1.  Notwithstanding any inconsistent provision of law or regulation to
 
 13  the  contrary,  effective beginning January 1, 1997, and thereafter, the
 
 14  department of health is authorized  to  pay  public  general  hospitals,
 
 15  other  than those operated by the state of New York or the state univer-
 
 16  sity of New  York, as defined in subdivision 10 of section 2801  of  the
 
 17  public  health  law,  located  in  a  city  with  a population of over 1
 
 18  million, additional payments for inpatient hospital services  of    $120
 
 19  million  during  each state fiscal year until March 31, 1999 and the sum
 
 20  of $190 million during the state fiscal year ending March 31,  2000,  as
 
 21  medical  assistance  payments  pursuant  to title 11 of article 5 of the
 
 22  social services law for patients eligible for federal financial  partic-
 
 23  ipation  under  title XIX of the federal  social security act in medical
 
 24  assistance pursuant  to  the  federal  laws  and  regulations  governing
 
 25  disproportionate share payments to hospitals based on the relative share
 
 26  of  each  such  non-state  operated  public  general hospital of medical
 
 27  assistance and uninsured patient losses after all other medical  assist-
 
 28  ance, including disproportionate share[,] payments to such public gener-
 
                                        143                        13001-04-9
 
  1  al    hospitals  for  payments  made during the state fiscal year ending
 
  2  March 31, 1997, based initially on  reported  1994  reconciled  data  as
 
  3  further reconciled to actual reported 1997 reconciled data, for payments
 
  4  made during the state fiscal year ending March 31, 1998, based initially
 
  5  on  reported  1995  reconciled  data  as  further  reconciled  to actual
 
  6  reported 1997 or 1998 reconciled data, [and] for  payments  made  during
 
  7  the state fiscal year ending March 31, 1999, based initially on reported
 
  8  1995  reconciled  data  as further reconciled to actual reported 1998 or
 
  9  1999 data, and for payments made during the  state  fiscal  year  ending
 
 10  March  31,  2000,  based  initially  on reported 1996 reconciled data as
 
 11  further reconciled to actual reported 1998 or 1999 data.   The  payments
 
 12  may be added to rates of payment or made aggregate payments to an eligi-
 
 13  ble public general hospital.
 
 14    §  5.  Subdivision 1 of section 212 of chapter 474 of the laws of 1996
 
 15  amending the education law and other laws relating to rates for residen-
 
 16  tial health care facilities, as amended by chapter 433 of  the  laws  of
 
 17  1997, is amended to read as follows:
 
 18    1.  Notwithstanding any inconsistent provision of law or regulation to
 
 19  the  contrary, effective beginning August 1, 1996, April 1, 1997 for the
 
 20  period April 1, 1997 through March 31, 1998, [and] April 1, 1998 for the
 
 21  period April 7, 1998 through March 31, 1999, and April 1, 1999, for  the
 
 22  period April 1, 1999 through March 31, 2000, the department of health is
 
 23  authorized to pay public general hospitals, as defined in subdivision 10
 
 24  of  section 2801  of the public health law, operated by the state of New
 
 25  York or by the state university of New York or by a county, which  shall
 
 26  not  include  a city with a population of over one million, of the state
 
 27  of New York, and those public general hospitals located in the county of
 
 28  Westchester or the county of Nassau, additional payments  for  inpatient
 
                                        144                        13001-04-9
 
  1  hospital services as medical assistance payments pursuant to title 11 of
 
  2  article  5  of the social services law for patients eligible for federal
 
  3  financial participation under title XIX of the federal  social  security
 
  4  act  in  medical assistance pursuant to the federal laws and regulations
 
  5  governing disproportionate share payments to  hospitals  based  on  each
 
  6  such  public general hospital’s medical assistance and uninsured patient
 
  7  losses after all other medical  assistance,  including  disproportionate
 
  8  share[,]  payments to such public general hospital for 1996, 1997 [and],
 
  9  1998, and 1999, based initially for 1996  on  reported  1994  reconciled
 
 10  data  as further reconciled to actual reported 1996 reconciled data, and
 
 11  for 1997 based initially on reported 1995  reconciled  data  as  further
 
 12  reconciled to actual reported 1997 reconciled data, [and] for 1998 based
 
 13  initially  on  reported  1995  reconciled  data as further reconciled to
 
 14  actual reported 1998 reconciled data, and for 1999  based  initially  on
 
 15  reported  1996  reconciled data as further reconciled to actual reported
 
 16  1999 reconciled data.  The payments may be added to rates of payment  or
 
 17  made as aggregate payments to an eligible public general hospital.
 
 18    §  6.  Subdivision  12  of  section 2808 of the public health  law, as
 
 19  amended by chapter 433 of the laws  of  1997,  is  amended  to  read  as
 
 20  follows:
 
 21    12.  (a)  Notwithstanding  any  inconsistent provision of law or regu-
 
 22  lation, the commissioner shall increase  rates  of  payment  established
 
 23  pursuant  to  this  article  for  non-state  operated public residential
 
 24  health care facilities in an aggregate amount not to exceed one  hundred
 
 25  million  dollars  in  additional reimbursement for payments for services
 
 26  provided during the period  July  first,  nineteen  hundred  ninety-five
 
 27  through  March  thirty-first,  nineteen hundred ninety-six.  The commis-
 
                                        145                        13001-04-9
 
  1  sioner may adopt rules and regulations necessary to implement this para-
 
  2  graph.
 
  3    (b)  Notwithstanding  any inconsistent provision of law or regulation,
 
  4  the commissioner shall provide, in addition  to    payments  established
 
  5  pursuant  to  this  article  prior to application of this section, addi-
 
  6  tional payments under the medical assistance program pursuant  to  title
 
  7  eleven of article five of the social services law for non-state operated
 
  8  public  residential health care facilities, excluding public residential
 
  9  health care facilities operated by a town or city within a county, in an
 
 10  aggregate  amount  of  two  hundred fifty-seven million dollars in addi-
 
 11  tional payments in the period August first, nineteen hundred  ninety-six
 
 12  through March thirty-first, nineteen hundred ninety-seven.
 
 13    (c)  Notwithstanding  any inconsistent provision of law or regulation,
 
 14  the commissioner shall provide,  in  addition  to  payments  established
 
 15  pursuant  to  this  article  prior to application of this section, addi-
 
 16  tional payments under the medical assistance program pursuant  to  title
 
 17  eleven of article five of the social services law for non-state operated
 
 18  public  residential health care facilities, including public residential
 
 19  health care facilities located in the county of Nassau and the county of
 
 20  Westchester, but excluding public  residential  health  care  facilities
 
 21  operated  by  a  town or city within a county, in an aggregate amount of
 
 22  $631.1 million in additional payments in the period April  first,  nine-
 
 23  teen  hundred  ninety-seven through March thirty-first, nineteen hundred
 
 24  ninety-eight, and a like amount in  the  period  April  first,  nineteen
 
 25  hundred  ninety-eight through March thirty-first, nineteen hundred nine-
 
 26  ty-nine.
 
 27    (d) Notwithstanding any inconsistent provision of law  or  regulation,
 
 28  the  commissioner  shall  provide,  in  addition to payments established
 
                                        146                        13001-04-9
 
  1  pursuant to this article prior to application  of  this  section,  addi-
 
  2  tional  payments  under the medical assistance program pursuant to title
 
  3  eleven of article five of the social services law for non-state operated
 
  4  public  residential health care facilities, including public residential
 
  5  health care facilities located in the county of Nassau and the county of
 
  6  Westchester, but excluding public  residential  health  care  facilities
 
  7  operated  by  a  town or city within a county, in an aggregate amount of
 
  8  $982 million in additional payments in the period April first,  nineteen
 
  9  hundred ninety-nine through March thirty-first, two thousand.
 
 10    (e)  The  amount  allocated to each eligible public residential health
 
 11  care facility for each period shall be calculated as the result  of  (A)
 
 12  the total payment for each period multiplied by (B) the ratio of patient
 
 13  days  for  patients  eligible  for  medical assistance pursuant to title
 
 14  eleven of article five of the social services law provided by the public
 
 15  residential health care facility, divided by the total of  such  patient
 
 16  days  summed for all eligible public residential health care facilities.
 
 17  For the period August first, nineteen hundred ninety-six  through  March
 
 18  thirty-first,  nineteen  hundred  ninety-seven, nineteen hundred ninety-
 
 19  four patient days shall be utilized for the period April first, nineteen
 
 20  hundred ninety-seven through March thirty-first, nineteen hundred  nine-
 
 21  ty-eight,  nineteen  hundred  ninety-five patient days shall be utilized
 
 22  [and] for the period April first, nineteen hundred ninety-eight  through
 
 23  March thirty-first, nineteen hundred ninety-nine, nineteen hundred nine-
 
 24  ty-six  patient  days shall be utilized; and for the period April first,
 
 25  nineteen hundred ninety-nine through March thirty-first,  two  thousand,
 
 26  nineteen hundred ninety-seven patient days shall be utilized.
 
                                        147                        13001-04-9
 
  1    [(e)]  (f)  Payments  may  be  made  based  on adjustments to rates of
 
  2  payment for services provided during the applicable period  or  as  lump
 
  3  sum payments to an eligible residential health care facility.
 
  4    §  7.    Section  219  of chapter 474 of the laws of 1996 amending the
 
  5  education law and other laws relating to rates  for  residential  health
 
  6  care  facilities,  as  amended  by  chapter  433 of the laws of 1997, is
 
  7  amended to read as follows:
 
  8    § 219.  For purposes of proportionate share payments pursuant to para-
 
  9  graph (b) of subdivision 12 of section 2808 of the  public  health  law,
 
 10  two   hundred   thirty-one   million   one   hundred   thousand  dollars
 
 11  [631,100,000] ($231,100,000) for the period August 1, 1996 through March
 
 12  31, 1997, and  six  hundred  thirty-one  million  one  hundred  thousand
 
 13  dollars  ($631,100,000)  for  the period April 1, 1997 through March 31,
 
 14  1998, and a like sum for the period April  1,  1998  through  March  31,
 
 15  1999, and nine hundred eighty-two million dollars ($982,000,000) for the
 
 16  period  April  1,  1999 through March 31, 2000, shall be utilized within
 
 17  funds available, including federal funds, for payments under the medical
 
 18  assistance program and allocated for such purposes.
 
 19    § 8. Section 220 of chapter 474 of  the  laws  of  1996  amending  the
 
 20  education  law  and  other laws relating to rates for residential health
 
 21  care facilities, is amended to read as follows:
 
 22    § 220.  Notwithstanding any inconsistent provision  of  law  or  regu-
 
 23  lation  to the contrary, the social services district in which an eligi-
 
 24  ble public residential health care facility is physically located  shall
 
 25  be  responsible for the payments for such public residential health care
 
 26  facility as determined in accordance with [paragraph (b) of] subdivision
 
 27  12 of section 2808 of the public health law for all  residential  health
 
 28  care  facility  services provided by such public residential health care
 
                                        148                        13001-04-9
 
  1  facility in accordance with section 365-a of the  social  services  law,
 
  2  regardless of whether another social services district or the department
 
  3  of  social  services may otherwise be responsible for furnishing medical
 
  4  assistance to the eligible persons receiving such services.
 
  5    §  9.  Section  222  of  chapter  474 of the laws of 1996 amending the
 
  6  education law and other laws relating to rates  for  residential  health
 
  7  care  facilities,  as  amended  by  chapter  433 of the laws of 1997, is
 
  8  amended to read as follows:
 
  9    § 222. Notwithstanding any inconsistent provision of law or regulation
 
 10  to the contrary, beginning April 1, 1997, and thereafter,  a  county  or
 
 11  the  city of New York in which a public residential health care facility
 
 12  is participating in a payment pursuant to  [paragraph  (b)  or  (c)  of]
 
 13  subdivision  12  of  section  2808 of the public health law shall, on or
 
 14  before a date specified by the department of health,  in  each  year  in
 
 15  which  such county shall participate in such payments, transfer by elec-
 
 16  tronic funds transfer to or  through  the  state  comptroller,  a  total
 
 17  amount  equal  to  forty  percent  of the projected payments pursuant to
 
 18  [paragraph (b) or (c) of] subdivision 12 of section 2808 of  the  public
 
 19  health law for such public residential health care facility.
 
 20    §  10.  Subdivision (a) of section 222-a of chapter 474 of the laws of
 
 21  1996 amending the education law and other laws  relating  to  rates  for
 
 22  residential  health care facilities, as added by chapter 433 of the laws
 
 23  of 1997, is amended to read as follows:
 
 24    (a) All payments made by the state or a county as  medical  assistance
 
 25  pursuant  to [paragraph (b) or (c) of] subdivision 12 of section 2808 of
 
 26  the public health law and  sections  two  hundred  eleven,  two  hundred
 
 27  twelve,  two hundred fourteen, two hundred sixteen, two hundred eighteen
 
 28  and two hundred twenty-one of this act,  shall  be  made  by  electronic
 
                                        149                        13001-04-9
 
  1  funds transfer under the supervision of and pursuant to the rules, regu-
 
  2  lations and practices of the state comptroller.
 
  3    §  11. Subparagraph (ii) of paragraph (c) of subdivision 11 of section
 
  4  2807-d, paragraph (c) of subdivision 11 of section 3614-a  and  subdivi-
 
  5  sion 11 of section 3614-b of the public health law are REPEALED.
 
  6    § 12. Notwithstanding any provisions of law, rule or regulation, there
 
  7  shall  be  no  refunds due to any provider of services of collections or
 
  8  payments made on account of the assessments, additional assessments,  or
 
  9  further  additional  assessments,  imposed  pursuant to sections 2807-d,
 
 10  3614-a and 3614-b of the public health law for the period April 1,  1997
 
 11  through March 31, 1999, whenever collected or paid.
 
 12    §  13.    This  act  shall  take effect April 1, 1999, except that the
 
 13  provisions of section eight of this act shall be deemed to have been  in
 
 14  full  force  and  effect  on the same date as chapter 433 of the laws of
 
 15  1997 took effect; provided, however, that the  amendments  to  paragraph
 
 16  (b) of subdivision 6 of section 367-a of the social services law made by
 
 17  section  two of this act shall not affect the repeal of such subdivision
 
 18  and shall be deemed repealed therewith.
 
 19                                   PART Z
 
 20    § 1. Chapter 174 of the laws of 1990,  relating  to  establishing  the
 
 21  youth opportunity program, is REPEALED.
 
 22    § 2. This act shall take effect July 1, 1999.
 
 23                                   PART AA
 
 24    §  1.    Section 1.03 of the mental hygiene law is amended by adding a
 
 25  new subdivision 25 to read as follows:
 
 26    25. "Chemical abuse" means the use  of  alcohol  and/or  one  or  more
 
 27  substances  to the extent that there is impairment of normal development
 
 28  or functioning due to such use in one or more of the  major  life  areas
 
                                        150                        13001-04-9
 
  1  including  but  not  limited  to the social, emotional, familial, educa-
 
  2  tional, vocational, or physical. The term "chemical  abuse"  shall  mean
 
  3  and include alcohol and/or substance abuse.
 
  4    §  2.  Subdivision  44  of  section 1.03 of the mental hygiene law, as
 
  5  added by chapter 223 of the laws of 1992, is amended to read as follows:
 
  6    44. "Chemical dependence" [shall mean  the  use  of  both]  means  the
 
  7  repeated  use  of  alcohol  [and]  and/or one or more substances [or, in
 
  8  categories of programs identified by the commissioner in regulation, the
 
  9  use of alcohol or substances or both,]  to  the  extent  that  there  is
 
 10  evidence  of  physical  or  psychological  reliance  on  alcohol  and/or
 
 11  substances, the existence of physical withdrawal symptoms  from  alcohol
 
 12  and/or  one or more substances, a pattern of compulsive use, and impair-
 
 13  ment of normal development or functioning due to such use in one or more
 
 14  of the major life  areas  including  but  not  limited  to  the  social,
 
 15  emotional,  familial,  educational,  vocational,  and physical.   Unless
 
 16  otherwise provided, for the purposes of this chapter, the term "chemical
 
 17  dependence" shall mean and include alcoholism and/or  substance  depend-
 
 18  ence.
 
 19    § 3. Section 1.03 of the mental hygiene law is amended by adding a new
 
 20  subdivision 55 to read as follows:
 
 21    55. "Chemical dependence services" shall mean examination, evaluation,
 
 22  diagnosis,  care,  treatment,  rehabilitation,  or  training  of persons
 
 23  suffering from alcohol and/or  substance  abuse  and/or  dependence  and
 
 24  significant  others. Unless otherwise provided, for the purposes of this
 
 25  chapter, the term "chemical dependence services" shall mean and  include
 
 26  alcoholism and/or substance abuse services.
 
                                        151                        13001-04-9
 
  1    §  4.  The  opening  paragraph  of  paragraph  1 of subdivision (a) of
 
  2  section 5.07 of the mental hygiene law, as amended by chapter 208 of the
 
  3  laws of 1996, is amended to read as follows:
 
  4    The mental health services council and the advisory councils on mental
 
  5  retardation  and developmental disabilities and alcoholism and substance
 
  6  abuse services shall each establish statewide goals  and  objectives  to
 
  7  guide  comprehensive  planning, resource allocation and evaluation proc-
 
  8  esses for state and  local  services  for  the  mentally  ill,  mentally
 
  9  retarded and developmentally disabled and those suffering from [alcohol-
 
 10  ism  and  substance]  chemical  abuse  or dependence, respectively. Such
 
 11  goals and objectives shall:
 
 12    § 5. Subdivision (e) of section 19.07 of the mental  hygiene  law,  as
 
 13  amended  by  chapter  208  of  the  laws  of 1996, is amended to read as
 
 14  follows:
 
 15    (e) Consistent with the requirements of  subdivision  (b)  of  section
 
 16  5.05 of this chapter, the office shall carry out the provisions of arti-
 
 17  cle  [thirty-one] thirty-two of this chapter as such article pertains to
 
 18  regulation and quality control of [alcoholism and substance abuse] chem-
 
 19  ical dependence services, including but not limited to the establishment
 
 20  of standards for determining the necessity and appropriateness  of  care
 
 21  and  services  provided  by  [alcoholism, substance abuse, and] chemical
 
 22  dependence providers of services. In implementing this subdivision,  the
 
 23  commissioner,  in  consultation  with  the commissioner of health, shall
 
 24  adopt standards including necessary rules and regulations including  but
 
 25  not  limited to those for determining the necessity or appropriate level
 
 26  of admission, controlling the  length  of  stay  and  the  provision  of
 
 27  services,  and  establishing  the methods and procedures for making such
 
 28  determination.
 
                                        152                        13001-04-9
 
  1    § 6. Subdivisions (b), (d) and (g) of  section  19.09  of  the  mental
 
  2  hygiene  law, as amended by chapter 208 of the laws of 1996, are amended
 
  3  to read as follows:
 
  4    (b)  The  commissioner  may  adopt regulations necessary and proper to
 
  5  implement any matter under his or her jurisdiction. Proposed  rules  and
 
  6  regulations  regarding alcoholism [services] or substance abuse services
 
  7  shall be submitted to the advisory council on alcoholism  and  substance
 
  8  abuse  services  for its advice, in accordance with this article, unless
 
  9  the commissioner finds  that  the  public  health,  safety,  or  general
 
 10  welfare  requires that such [submission be dispensed with] regulation be
 
 11  promulgated as an emergency rulemaking.
 
 12    (d) The commissioner shall survey and analyze the state’s  needs,  and
 
 13  with  the  advice  of  the  advisory council on alcoholism and substance
 
 14  abuse services, shall, in accordance with the  requirements  of  section
 
 15  5.07  and  article  twenty-five  of  this  chapter,  as  it  pertains to
 
 16  substance abuse services, and article forty-one of this chapter,  as  it
 
 17  pertains to alcoholism services, formulate a comprehensive plan for long
 
 18  range  development,  through utilization of a network of federal, state,
 
 19  local and private resources, of adequate services and facilities for the
 
 20  prevention and control of [alcoholism, alcohol abuse,  substance  abuse,
 
 21  substance  dependence and] chemical abuse or dependence and from time to
 
 22  time revise such plan, ensuring that such plans have as  part  of  their
 
 23  goal  the delivery of services to women and children, including pregnant
 
 24  women unless such programs have provided for the treatment  of  pregnant
 
 25  women through a transfer agreement with another provider.
 
 26    (g)   The   commissioner  shall  establish  and  operate  [alcoholism,
 
 27  substance  abuse,  and/or]  chemical  dependence  programs,  [treatment]
 
 28  facilities,  and services for the prevention of [abuse of alcohol and/or
 
                                        153                        13001-04-9
 
  1  substances] chemical abuse  and  the  treatment  and  rehabilitation  of
 
  2  persons  who  abuse  or  are dependent on alcohol and/or substances, and
 
  3  significant others not limited to the psychiatric  model  but  embodying
 
  4  all  recognized or promising approaches.  Alcoholism and substance abuse
 
  5  treatment programs and services may be discrete from one another  unless
 
  6  otherwise  specified  in regulations promulgated by the commissioner who
 
  7  shall seek  the  advice  of  the  advisory  council  on  alcoholism  and
 
  8  substance abuse services.
 
  9    §  7.  Subdivisions  (d),  (e)  and (g) of section 19.17 of the mental
 
 10  hygiene law, subdivisions (d) and (e) as added by  chapter  223  of  the
 
 11  laws  of 1992 and subdivision (g) as added by chapter 393 of the laws of
 
 12  1993, are amended to read as follows:
 
 13    (d) The commissioner shall direct and carry on basic clinical,  epide-
 
 14  miological,  social  science,  evaluative,  and  statistical research in
 
 15  [alcoholism, alcohol abuse, substance abuse, substance dependence,  and]
 
 16  chemical abuse and dependence either individually or in conjunction with
 
 17  other  agencies,  public or private, and, within the amounts made avail-
 
 18  able by appropriation therefor, develop pilot programs. In pursuance  of
 
 19  the foregoing and notwithstanding any other provision of law, the office
 
 20  may establish, direct, and carry on experimental pilot clinical programs
 
 21  providing for early intervention and for treatment of [alcoholism, alco-
 
 22  hol  abuse,  substance  abuse, substance dependence, and] chemical abuse
 
 23  and dependence.  Such treatment may include  the  administration,  under
 
 24  medical supervision and control, of experimental substances.
 
 25    (e)  The  office  shall  have  the authority to gather information and
 
 26  maintain  statistical  and  other  records  relating   to   [alcoholism,
 
 27  substance  abuse,  and]  chemical  abuse  and dependence services in the
 
 28  state. Any person licensed or otherwise permitted to dispense,  adminis-
 
                                        154                        13001-04-9
 
  1  ter,  or  conduct research with respect to a controlled substance in the
 
  2  course of a licensed professional practice or research license  pursuant
 
  3  to  article  thirty-three  of the public health law and all public offi-
 
  4  cials  having duties to perform with respect to controlled substances or
 
  5  users of such substances shall report and supply such information to the
 
  6  office in relation thereto as the office shall by rule,  regulation,  or
 
  7  order require consistent with appropriate state and federal law relative
 
  8  to the confidentiality of patient records.
 
  9    (g)  The  office  shall have the authority to establish an information
 
 10  policy and data reporting procedure for the collection, use, and disclo-
 
 11  sure of data from [alcoholism and/or substance abuse  treatment  facili-
 
 12  ties] providers of chemical dependence services, including procedures to
 
 13  ensure the protection of [client-identifying] patient-identifying infor-
 
 14  mation  and  data  gathered  pursuant  to section 19.16 of this article,
 
 15  which shall be deemed confidential except as otherwise provided  by  law
 
 16  including,  but  not  limited  to,  articles six and six-A of the public
 
 17  officers law.
 
 18    § 8. Subdivision (b) of section 19.21 of the mental  hygiene  law,  as
 
 19  added by chapter 223 of the laws of 1992, is amended to read as follows:
 
 20    (b)  The office shall redefine and develop, establish, promulgate, and
 
 21  enforce certification, inspection, licensing,  and  treatment  standards
 
 22  for  [alcoholism,  substance  abuse, and] chemical dependence facilities
 
 23  and staff, which shall be applied in addition to any other standards for
 
 24  any other services provided by  such  facilities,  and  which  shall  be
 
 25  applicable to any facility providing or purporting to provide as part or
 
 26  all  of  a  program of services, any services for the alleviation of the
 
 27  conditions of alcoholism,  alcohol  abuse,  substance  abuse,  substance
 
 28  dependence,  chemical abuse, or chemical dependence. [Such certification
 
                                        155                        13001-04-9
 
  1  shall include procedures for granting temporary approval of an operating
 
  2  certificate or license for a period not to  exceed  one  hundred  twenty
 
  3  days,  in  the event of a threat or imminent threat of a catastrophic or
 
  4  emergency  loss  of  available  services. Such temporary approval may be
 
  5  extended beyond one hundred twenty  days  as  deemed  necessary  by  the
 
  6  commissioner,  but  not  to  exceed  more than an additional one hundred
 
  7  twenty days.]
 
  8    § 9. Section 19.39 of the mental hygiene law is REPEALED.
 
  9    § 10. Section 19.40 of the mental hygiene law, as added by chapter 384
 
 10  of the laws of 1996, is amended to read as follows:
 
 11  § 19.40 Provision of chemical dependence services.
 
 12    (a) Notwithstanding any other provision of law, the office  [of  alco-
 
 13  holism and substance abuse services] shall have the authority to issue a
 
 14  single  operating  certificate  for the provision of chemical dependence
 
 15  services to providers of  alcoholism  and/or  substance  abuse  services
 
 16  previously  certified  or  licensed  pursuant  to  articles twenty-three
 
 17  and/or thirty-one of this chapter and who are deemed by the commissioner
 
 18  to meet applicable requirements of [articles  twenty-three  and  thirty-
 
 19  one]  article  thirty-two  of  this  chapter  and  operating regulations
 
 20  promulgated thereunder. The commissioner [of  alcoholism  and  substance
 
 21  abuse  services]  shall  have  the  authority  to waive any requirements
 
 22  deemed to be duplicative or unnecessary to implement the  provisions  of
 
 23  this [section] subdivision.
 
 24    [(b)  For  purposes  of  this  article,  the term "chemical dependence
 
 25  services" shall mean examination, diagnosis, care, treatment,  rehabili-
 
 26  tation,   or  training  of  persons  suffering  from  alcoholism  and/or
 
 27  substance abuse and/or dependence.
 
                                        156                        13001-04-9
 
  1    (c) For purposes of this article, the term "chemical dependence" shall
 
  2  mean the repeated use of alcohol and/or substances to  the  extent  that
 
  3  there  is  evidence  of  physical  or  psychological reliance on alcohol
 
  4  and/or substances, the existence of physical  withdrawal  symptoms  from
 
  5  alcohol  and/or  substances, a pattern of compulsive use, and impairment
 
  6  of normal development or functioning due to such  use  in  one  or  more
 
  7  major  life  areas  including  but not limited to the social, emotional,
 
  8  familial, educational, vocational, or physical.]
 
  9    (b) Certificates of approval  and  operating  certificates  previously
 
 10  issued  under  article  twenty-three  and/or  thirty-one of this chapter
 
 11  shall remain in full force and effect until they are converted to  oper-
 
 12  ating  certificates  for  the  provision of chemical dependence services
 
 13  pursuant to this chapter. Conversion shall occur  upon  promulgation  of
 
 14  applicable  chemical dependence operating regulations by the commission-
 
 15  er, taking into consideration time which is reasonably needed by provid-
 
 16  ers of services to come  into  compliance  with  such  applicable  regu-
 
 17  lations.
 
 18    (c)  All  providers  of  chemical dependence services issued operating
 
 19  certificates pursuant to this section shall be subject to all provisions
 
 20  of this chapter applicable to providers of alcoholism  services  and  to
 
 21  all  provisions  of  this  chapter  applicable to providers of substance
 
 22  abuse services.
 
 23    (d) Providers of chemical dependence services not previously certified
 
 24  or licensed pursuant to articles twenty-three and/or thirty-one of  this
 
 25  chapter  shall  be certified for the provision of such services pursuant
 
 26  to article thirty-two of this chapter.
 
 27    § 11.  Article 21 of the mental hygiene law  is  REPEALED  and  a  new
 
 28  article 22 is added to read as follows:
 
                                        157                        13001-04-9
 
  1                                 ARTICLE 22
 
  2      CHEMICAL DEPENDENCE PROGRAMS, TREATMENT FACILITIES, AND SERVICES
 
  3  Section 22.01 Admission   to  chemical  dependence  programs,  treatment
 
  4                  facilities and services.
 
  5          22.03 Patient rights; notice to all patients of their rights.
 
  6          22.05 Patient’s records.
 
  7          22.07 Informal admission.
 
  8          22.09 Emergency services for persons intoxicated,  impaired,  or
 
  9                  incapacitated by alcohol and/or substances.
 
 10          22.11 Treatment of minors.
 
 11  §  22.01 Admission to chemical dependence programs, treatment facilities
 
 12  and services.
 
 13    Unless otherwise  specifically  provided  for  by  statute,  a  person
 
 14  suffering from chemical abuse or dependence shall be admitted to a chem-
 
 15  ical  dependence program, service, or treatment facility pursuant to the
 
 16  provisions of this article. For  purposes  of  this  article,  the  term
 
 17  "chemical  dependence programs, treatment facilities and services" shall
 
 18  mean and include alcoholism and/or substance abuse  programs,  treatment
 
 19  facilities, and services.
 
 20  § 22.03 Patient rights; notice to all patients of their rights.
 
 21    (a)  Notwithstanding  any  other  provision  of  law including but not
 
 22  limited to the election law, no person’s rights  as  a  citizen  of  the
 
 23  United States or of the state of New York shall be forfeited or abridged
 
 24  because  of such person’s participation in chemical dependence programs,
 
 25  treatment facilities or services. Such participation shall  include  but
 
 26  is  not  limited to the certification as substance dependent of a person
 
 27  to the  care  and  custody  of  the  office  under  previously  existing
 
 28  provisions  of  law.  The  fact,  proceedings, application, or treatment
 
                                        158                        13001-04-9
 
  1  relating to a person’s participation in  chemical  dependence  programs,
 
  2  treatment  facilities, or services shall not be used against such person
 
  3  in any action or proceeding in any court.
 
  4    (b)  Immediately  upon  the  admission  of  any  patient to a chemical
 
  5  dependence program, service, or treatment facility, the director of such
 
  6  program, service, or facility, or his or her designee, shall inform  the
 
  7  patient  in  writing of his or her status, including the section of this
 
  8  chapter under which he or she is admitted, and  of  his  or  her  rights
 
  9  under this article.
 
 10    (c)  The  director  of  every chemical dependence program, service, or
 
 11  treatment facility shall post copies of a notice in a form and manner to
 
 12  be determined by the commissioner, at places throughout the facility  or
 
 13  program  where  such  notice  shall  be  conspicuous  and visible to all
 
 14  patients, stating the following:
 
 15    1. a general statement of the rights of  patients  under  the  various
 
 16  admission or retention provisions of this article; and
 
 17    2.  the  right  of  the  patient to communicate with the director, the
 
 18  board of visitors, if any, and the commissioner.
 
 19  § 22.05 Patient’s records.
 
 20    (a) After the admission of any patient, the  director  of  a  chemical
 
 21  dependence program or treatment facility shall, within five days exclud-
 
 22  ing Sunday and holidays, forward to the office such information from the
 
 23  record  in  such  time  and  manner as the commissioner shall require by
 
 24  regulation. Such information from the record  in  the  office  shall  be
 
 25  accessible  only  in the manner set forth in sections 33.13 and 33.16 of
 
 26  this chapter.
 
 27    (b) All records of identity, diagnosis,  prognosis,  or  treatment  in
 
 28  connection with a person’s receipt of chemical dependence services shall
 
                                        159                        13001-04-9
 
  1  be confidential and shall be released only in accordance with applicable
 
  2  provisions  of  the  public health law, any other state law, federal law
 
  3  and court orders.
 
  4  § 22.07 Informal admission.
 
  5    For  purposes of this chapter, the director of any chemical dependence
 
  6  program or treatment facility may  receive  therein  as  a  patient  any
 
  7  person  found  by such director to be suitable for, and in need of, such
 
  8  care and treatment and requesting admission thereto,  provided  however,
 
  9  that  nothing in this section shall be construed to guarantee reimburse-
 
 10  ment for such treatment.
 
 11    (a) Such person may be admitted as a patient without making formal  or
 
 12  written  application  therefor,  and any such person shall be discharged
 
 13  from such program or facility upon his or her request at any time  after
 
 14  admission,  provided,  however, that such action may have other legal or
 
 15  fiscal consequences pursuant to other state  and  federal  laws.  Minors
 
 16  shall  be  admitted  and  discharged in accordance with section 22.11 of
 
 17  this article.
 
 18    (b) Participation in chemical dependence treatment is  voluntary.  The
 
 19  office  or  any  chemical dependence program or treatment facility shall
 
 20  not force or otherwise coerce any person to participate in such  program
 
 21  or treatment. For purposes of this article, "participation in treatment"
 
 22  shall  not  include  receipt  of  emergency  services  for incapacitated
 
 23  persons provided in accordance with section 22.09 of this  article,  and
 
 24  provided  further,  such  term  shall  not include treatment required by
 
 25  judicial mandate.
 
 26    (c) The commissioner shall promulgate rules and regulations  and  take
 
 27  any  other necessary action to insure that the rights of individuals who
 
                                        160                        13001-04-9
 
  1  have  received  or  are  receiving  chemical  dependence  services   are
 
  2  protected.
 
  3  §  22.09 Emergency  services for persons intoxicated, impaired, or inca-
 
  4            pacitated by alcohol and/or substances.
 
  5    (a) As used in this article:
 
  6    1. "Intoxicated or impaired person" means a  person  whose  mental  or
 
  7  physical  functioning is substantially impaired as a result of the pres-
 
  8  ence of alcohol and/or substances in his or her body.
 
  9    2.  "Incapacitated" means that a person, as a result  of  the  use  of
 
 10  alcohol  and/or  substances,  is  unconscious or has his or her judgment
 
 11  otherwise so impaired that he or  she  is  incapable  of  realizing  and
 
 12  making  a  rational  decision with respect to his or her need for treat-
 
 13  ment.
 
 14    3.  "Likelihood to result in harm" or "likely to result in harm" means
 
 15  (i) a substantial risk of physical harm to the person as  manifested  by
 
 16  threats  of  or  attempts  at  suicide  or  serious bodily harm or other
 
 17  conduct demonstrating  that  the  person  is  dangerous  to  himself  or
 
 18  herself, or (ii) a substantial risk of physical harm to other persons as
 
 19  manifested  by  homicidal  or other violent behavior by which others are
 
 20  placed in reasonable fear of serious physical harm.
 
 21    4. "Hospital" means a general hospital as defined in  article  twenty-
 
 22  eight of the public health law.
 
 23    (b)  An  intoxicated or impaired person may come voluntarily for emer-
 
 24  gency treatment to a chemical dependence program or  treatment  facility
 
 25  authorized  by  the  commissioner  to  give  such emergency treatment. A
 
 26  person who appears to be intoxicated or impaired and who consents to the
 
 27  proffered help may be assisted by any peace officer acting  pursuant  to
 
 28  his  or  her  special  duties,  police  officer, or by a designee of the
 
                                        161                        13001-04-9
 
  1  director of community services to return to his or her home, to a chemi-
 
  2  cal dependence program or treatment facility, or to any  other  facility
 
  3  authorized  by  the  commissioner  to  give emergency treatment. In such
 
  4  cases, the peace officer, police officer, or designee of the director of
 
  5  community  services  shall  accompany the intoxicated or impaired person
 
  6  until he or she is inside the door of his or her home or  the  treatment
 
  7  facility or program.
 
  8    (c)    A  person  who  appears  to  be incapacitated by alcohol and/or
 
  9  substances to the degree that there is a likelihood to result in harm to
 
 10  the person or to others may be taken by a peace officer acting  pursuant
 
 11  to his or her special duties, or a police officer who is a member of the
 
 12  state  police  or  of  an  authorized police department or force or of a
 
 13  sheriff’s department or by the  director  of  community  services  or  a
 
 14  person duly designated by him or her to a chemical dependence program or
 
 15  treatment  facility,  general hospital, or to any other place authorized
 
 16  by the commissioner to give emergency treatment, for immediate  observa-
 
 17  tion,  care,  and  emergency treatment. Every reasonable effort shall be
 
 18  made to protect the health and safety of such person, including but  not
 
 19  limited  to  the  requirement that the peace officer, police officer, or
 
 20  director of community services or his or her  designee  shall  accompany
 
 21  the  apparently  incapacitated person until he or she is inside the door
 
 22  of the facility, general hospital, or other authorized place.
 
 23    (d) A person who comes voluntarily or is brought without  his  or  her
 
 24  objection to any such facility or program in accordance with subdivision
 
 25  (c)  of this section shall be given emergency care and treatment at such
 
 26  place if found suitable therefor by authorized personnel, or referred to
 
 27  another suitable facility or treatment program for care  and  treatment,
 
 28  or sent to his or her home.
 
                                        162                        13001-04-9
 
  1    (e)  A person who is brought with his or her objection to any facility
 
  2  or treatment program in accordance with subdivision (c) of this  section
 
  3  shall be examined as soon as possible by an examining physician. If such
 
  4  examining  physician  determines  that  such  person is incapacitated by
 
  5  alcohol  and/or  substances  to the degree that there is a likelihood to
 
  6  result in harm to the person or others, he or she may  be  retained  for
 
  7  emergency  treatment.  If  the  examining physician determines that such
 
  8  person is not incapacitated by alcohol and/or substances to  the  degree
 
  9  that there is a likelihood to result in harm to the person or others, he
 
 10  or  she must be released. Notwithstanding any other law, in no event may
 
 11  such person be retained against his or her objection beyond whichever is
 
 12  the shorter of the following: (i) the time that he or she is  no  longer
 
 13  incapacitated by alcohol and/or substances to the degree that there is a
 
 14  likelihood  to  result  in harm to the person or others or (ii) a period
 
 15  longer than forty-eight hours.
 
 16    1. Every reasonable effort must be made to give prompt notification of
 
 17  a person’s retention in a facility or program pursuant to  this  section
 
 18  to  his  or  her  closest  relative or friend, and, if requested by such
 
 19  person, to his or her attorney and personal physician.
 
 20    2. A person may not be retained pursuant  to  this  section  beyond  a
 
 21  period  of  forty-eight hours without his or her consent.  Persons suit-
 
 22  able therefor may be  voluntarily  admitted  to  a  chemical  dependence
 
 23  program or facility pursuant to this article.
 
 24    (f)  The  commissioner  shall promulgate regulations, after consulting
 
 25  with representatives of appropriate law enforcement and chemical depend-
 
 26  ence providers of services, establishing procedures for  taking  intoxi-
 
 27  cated  or impaired persons and persons apparently incapacitated by alco-
 
 28  hol and/or substances to their residences or to  appropriate  public  or
 
                                        163                        13001-04-9
 
  1  private  facilities  for emergency treatment and for minimizing the role
 
  2  of the police in obtaining treatment of such persons.
 
  3  § 22.11 Treatment of minors.
 
  4    (a)  For  the  purposes of this section, the word "minor" shall mean a
 
  5  person under eighteen years of age, but does not include a person who is
 
  6  the parent of a child or has married or who is emancipated.
 
  7    (b) In treating a minor for chemical dependence on an inpatient, resi-
 
  8  dential, or outpatient basis, the important role of the parents or guar-
 
  9  dians shall be recognized. Steps shall be taken to involve  the  parents
 
 10  or  guardians in the course of treatment, and consent from such a person
 
 11  for inpatient, residential, or outpatient treatment for minors shall  be
 
 12  required,  except  as  otherwise  provided  by  subdivision  (c) of this
 
 13  section.
 
 14    (c) Minors admitted for inpatient, residential or outpatient treatment
 
 15  without parental or guardian involvement.
 
 16    1. If, in the judgment of a physician, parental or  guardian  involve-
 
 17  ment and consent would have a detrimental effect on the course of treat-
 
 18  ment  of  a  minor  who  is  voluntarily  seeking treatment for chemical
 
 19  dependence or if a parent or guardian refuses to consent to such  treat-
 
 20  ment and the physician believes that such treatment is necessary for the
 
 21  best interests of the child, such treatment may be provided to the minor
 
 22  by  a  licensed  physician  on  an  inpatient, residential or outpatient
 
 23  basis, a staff physician in a hospital, or persons operating under their
 
 24  supervision, without the consent or involvement of the parent or guardi-
 
 25  an. Such physician shall fully document the reasons why the requirements
 
 26  of subdivision (b) of this section were  dispensed  within  the  minor’s
 
 27  medical  record, provided, however, that for providers of services which
 
 28  are not required to include physicians on staff, pursuant to regulations
 
                                        164                        13001-04-9
 
  1  promulgated by the commissioner, a  qualified  health  professional,  as
 
  2  defined  in  such regulations, shall fulfill the role of a physician for
 
  3  purposes of this paragraph.
 
  4    2.  If the provider of services cannot locate the parents or guardians
 
  5  of a minor seeking treatment for  chemical  dependence  after  employing
 
  6  reasonable  measures to do so, or if such parents or guardians refuse or
 
  7  fail to communicate with the provider of services  within  a  reasonable
 
  8  time regarding the minor’s treatment, the program director may authorize
 
  9  that  such  minor  be treated on an inpatient, residential or outpatient
 
 10  basis by the provider of services without the consent or involvement  of
 
 11  the  parent  or guardian. Such program director shall fully document the
 
 12  reasons why the requirements of subdivision (b)  of  this  section  were
 
 13  dispensed within the minor’s medical record, including an explanation of
 
 14  all efforts employed to attempt to contact such parents or guardians.
 
 15    3.  Admission  and  discharge  for  inpatient or residential treatment
 
 16  shall be made in accordance with subdivision (d) of this section.
 
 17    (d) Inpatient or residential treatment. 1. Admission procedures. (i) A
 
 18  copy of the patient’s rights established under this  section  and  under
 
 19  section  22.03 of this article shall be given and explained to the minor
 
 20  and to the minor’s consenting parent or guardian at the time  of  admis-
 
 21  sion by the director of the facility or such person’s designee.
 
 22    (ii)  The  minor  shall be required to sign a form indicating that the
 
 23  treatment is being voluntarily sought, and  that  he  or  she  has  been
 
 24  advised of his or her ability to access the mental hygiene legal service
 
 25  and  of  his  or her rights under this section and section 22.03 of this
 
 26  article. The signed form  shall  be  included  in  the  minor’s  medical
 
 27  record.
 
                                        165                        13001-04-9
 
  1    (iii)  At  the  time  of  admission,  any  minor  so admitted shall be
 
  2  informed by the director of the facility  or  the  director’s  designee,
 
  3  orally  and in writing, of the minor’s right to be discharged in accord-
 
  4  ance with the provisions of this section within twenty-four hours of his
 
  5  or her making a request therefor.
 
  6    (iv) Emergency contacts.
 
  7    (A) At the time of admission, the minor’s consenting parent or guardi-
 
  8  an must provide the facility with a telephone number or numbers where he
 
  9  or  she  may  be  reached  by the facility at any time during the day or
 
 10  night. In addition, such parent or guardian must also provide the facil-
 
 11  ity with a name, address and appropriate telephone number or numbers  of
 
 12  an  adult  designated by such parent or guardian as an emergency contact
 
 13  person in the event the facility is unable to reach such parent or guar-
 
 14  dian.
 
 15    (B) If the minor is admitted in accordance  with  subdivision  (c)  of
 
 16  this  section,  the minor shall provide the name, address, and telephone
 
 17  number of an adult who may serve as an emergency contact, and the facil-
 
 18  ity shall verify the existence and availability  of  such  contact  upon
 
 19  notice to and with the prior written consent of the minor.
 
 20    (C)  Failure to obtain emergency contacts, after reasonable effort, in
 
 21  accordance with this section shall not preclude admission of  the  minor
 
 22  to treatment.
 
 23    (v) Notice of admission and discharge procedures.
 
 24    (A)  A copy of the facility’s admission and discharge procedures shall
 
 25  be provided to the minor and to the minor’s consenting parent or guardi-
 
 26  an at the time of admission by the director  of  the  facility  or  such
 
 27  person’s  designee.  Such information shall also be mailed to the desig-
 
 28  nated emergency contact person by regular mail.
 
                                        166                        13001-04-9
 
  1    (B) If the minor is admitted in accordance  with  subdivision  (c)  of
 
  2  this  section,  a  copy of the facility’s admission and discharge proce-
 
  3  dures shall be provided to the minor. Such  information  shall  also  be
 
  4  mailed to the designated emergency contact person by regular mail.
 
  5    (vi) Each minor admitted for inpatient or residential chemical depend-
 
  6  ence treatment pursuant to this subdivision shall be provided with writ-
 
  7  ten  notice  regarding  the  availability  of  the  mental hygiene legal
 
  8  service for legal counsel, and shall be provided access to  the  service
 
  9  upon request.
 
 10    2. Discharge procedures. All minors admitted pursuant to this subdivi-
 
 11  sion shall be discharged in accordance with the following:
 
 12    (i) Any minor admitted to an inpatient or residential chemical depend-
 
 13  ence  treatment  facility  has the right to be discharged within twenty-
 
 14  four hours of his or her request in accordance with  the  provisions  of
 
 15  this subdivision.
 
 16    (ii) If discharge is requested prior to completion of a minor’s treat-
 
 17  ment plan, such minor must request discharge in writing.
 
 18    (A)  Upon  receipt  of  any form of written request for discharge, the
 
 19  director of the facility in which the minor is admitted shall immediate-
 
 20  ly notify the minor’s parent or guardian. If the facility is  unable  to
 
 21  contact  such  parent  or  guardian  within a reasonable time, or if the
 
 22  minor has been admitted pursuant to subdivision (c) of this section, the
 

 23  facility shall notify the designated emergency contact person.
 
 24    (B) The minor shall not be discharged from such facility until  it  is
 
 25  determined:
 
 26    (1)  that  the safety and well being of such minor will not be threat-
 
 27  ened or the expiration of twenty-four hours, whichever is sooner; or
 
                                        167                        13001-04-9
 
  1    (2) that the parent, guardian, or designated emergency contact  person
 
  2  has  made appropriate and timely departure arrangements with the facili-
 
  3  ty. However, unless otherwise directed by the minor’s parent or guardian
 
  4  or designated emergency contact person pursuant to this item, such minor
 
  5  shall  be  discharged  within  twenty-four hours after submission of the
 
  6  request.
 
  7    (iii) Writing materials for use in requesting  a  discharge  shall  be
 
  8  made  available  at all times to all minors admitted under this section.
 
  9  The staff of the facility shall  assist  such  minors  in  preparing  or
 
 10  submitting requests for discharge.
 
 11    § 12. Article 23 of the mental hygiene law is REPEALED.
 
 12    §  13.  Subdivision (a) of section 25.03 of the mental hygiene law, as
 
 13  amended by chapter 223 of the laws  of  1992,  is  amended  to  read  as
 
 14  follows:
 
 15    (a)  In accordance with the provisions of this article, the office may
 
 16  provide financial support to a substance abuse program or a local agency
 
 17  up to one hundred per centum of the operating costs of such  program  or
 
 18  agency,  and  either  fifty  per centum of the capital cost or fifty per
 
 19  centum of the debt service, for approved services by way of  advance  or
 
 20  reimbursement,  through  contracts  entered  into between the office and
 
 21  such program or agency, upon such terms and  conditions  as  the  office
 
 22  shall  deem  appropriate,  except  as  provided in section 25.07 of this
 
 23  article, provided, however, that  the  office  shall  provide  financial
 
 24  support  for  approved  chemical  dependence  services,  as such term is
 
 25  defined in article twenty-six of this title,  in  accordance  with  such
 
 26  article twenty-six of this title.
 
 27    § 14.  The mental hygiene law is amended by adding a new article 26 to
 
 28  read as follows:
 
                                        168                        13001-04-9
 
  1                                  ARTICLE 26
 
  2                   FUNDING OF CHEMICAL DEPENDENCE SERVICES
 
  3  Section 26.00 Funding of chemical dependence services.
 
  4          26.01 Financial support and disbursement of funds.
 
  5  § 26.00 Funding of chemical dependence services.
 
  6    (a)  This  article  sets forth provisions enabling the commissioner of
 
  7  the office of alcoholism and substance abuse services to provide  finan-
 
  8  cial support for chemical dependence services.
 
  9    (b)  For  purposes  of  this  article,  the  term "chemical dependence
 
 10  services" shall mean such term as defined in section 1.03 of this  chap-
 
 11  ter,  provided, however, that such term shall not mean and include alco-
 
 12  holism services or substance abuse services.
 
 13  § 26.01 Financial support and disbursement of funds.
 
 14    The commissioner of the  office  of  alcoholism  and  substance  abuse
 
 15  services  is  authorized,  within  appropriations  made  therefor and in
 
 16  accordance with this section, to  make  grants  for  approved  operating
 
 17  costs  of a local government unit, substance abuse program, local agency
 
 18  or voluntary agency providing chemical dependence services in accordance
 
 19  with the following provisions:
 
 20    (a) State aid for the approved costs of services for chemical  depend-
 
 21  ence services operated in the city of New York or by a local government,
 
 22  substance  abuse  program,  local  agency or voluntary agency, including
 
 23  those which had previously operated pursuant to  operating  certificates
 
 24  or certificates of approval issued pursuant to articles twenty-three and
 
 25  thirty-one  of this chapter, shall be provided in an amount equal to the
 
 26  proportion of state aid previously approved by the office of  alcoholism
 
 27  and  substance  abuse services to the combined state aid and local fund-
 
 28  ing, as previously approved by the office of  alcoholism  and  substance
 
                                        169                        13001-04-9
 
  1  abuse  services,  as  existed in the city of New York or county in which
 
  2  such services had operated in the state fiscal year beginning the  first
 
  3  of April, nineteen hundred ninety-eight.
 
  4    (b)  State  aid for approved costs for an expansion by a local govern-
 
  5  ment, substance abuse program, local agency or voluntary agency of chem-
 
  6  ical dependence services which operated prior to the first day of April,
 
  7  nineteen hundred ninety-nine, including those which operated pursuant to
 
  8  operating certificates or certificates of approval  issued  pursuant  to
 
  9  articles twenty-three and/or thirty-one of this chapter, shall be grant-
 
 10  ed  in  an  amount  not to exceed the proportion of state aid previously
 
 11  approved by the office of alcoholism and substance abuse services to the
 
 12  combined state aid and local funding,  as  previously  approved  by  the
 
 13  office of alcoholism and substance abuse services, as existed throughout
 
 14  the  state  in the state fiscal year beginning the first of April, nine-
 
 15  teen hundred ninety-eight.
 
 16    (c) State aid for the approved costs of a local government,  substance
 
 17  abuse program, local agency or voluntary agency for the provision of new
 
 18  chemical dependence services, including services provided by those local
 
 19  governments,  substance  abuse  programs,  local  agencies and voluntary
 
 20  agencies which are issued operating certificates on or after  the  first
 
 21  day  of  April, nineteen hundred ninety-nine pursuant to article thirty-
 
 22  two of this chapter, which were not operating prior to the first day  of
 
 23  April,  nineteen hundred ninety-nine, shall be provided in an amount not
 
 24  to exceed the proportion of state aid previously approved by the  office
 
 25  of alcoholism and substance abuse services to the combined state aid and
 
 26  local  funding,  as  previously approved by the office of alcoholism and
 
 27  substance abuse services, as existed throughout the state in  the  state
 
 28  fiscal year beginning the first of April, nineteen hundred ninety-eight.
 
                                        170                        13001-04-9
 
  1    (d)  Notwithstanding  the provisions of paragraphs (a), (b) and (c) of
 
  2  this section and within amounts available  therefor  and  in  accordance
 
  3  with  regulations promulgated thereby, the commissioner of the office of
 
  4  alcoholism and substance abuse services may provide state aid at a  rate
 
  5  of  up  to one hundred percent of the approved costs expended by a local
 
  6  government, substance abuse program, local agency or voluntary agency of
 
  7  chemical dependence services determined to be  necessary  to  serve  the
 
  8  public interest.
 
  9    (e)  Within  amounts  available therefor, the commissioner may provide
 
 10  state aid to a local government, substance abuse program,  local  agency
 
 11  or voluntary agency for capital costs of chemical dependence services at
 
 12  the  rate  of up to one hundred percent of such capital costs, provided,
 
 13  however, that no state aid shall be granted unless the recipient  enters
 
 14  into an agreement in a form acceptable to the commissioner ensuring that
 
 15  the  facility  at  which  the services for chemical dependence are to be
 
 16  provided will be operated by the recipient or made available at no  cost
 
 17  to  another  provider  of  services,  or  the  office  of alcoholism and
 
 18  substance abuse services, in accordance with regulations promulgated  by
 
 19  the  commissioner,  and  further grants the state such security and real
 
 20  property interests as the commissioner may require in such regulations.
 
 21    § 15. Section 31.15 of the mental hygiene law is REPEALED.
 
 22    § 16. Subdivision (d) of section 31.23 of the mental  hygiene  law  is
 
 23  REPEALED.
 
 24    § 17. Section 31.24 of the mental hygiene law is REPEALED.
 
 25    § 18.  The mental hygiene law is amended by adding a new article 32 to
 
 26  read as follows:
 
 27                                 ARTICLE 32
 
 28       REGULATION AND QUALITY CONTROL OF CHEMICAL DEPENDENCE SERVICES
 
                                        171                        13001-04-9
 
  1  Section  32.01 Regulation  and  quality  control  of chemical dependence
 
  2                  services.
 
  3          32.03 Evaluation of chemical dependence services.
 
  4          32.05 Operating certificate required.
 
  5          32.07 Regulatory powers of the commissioner.
 
  6          32.09 Issuance of operating certificates.
 
  7          32.11 Child abuse prevention.
 
  8          32.13 Investigations and inspections.
 
  9          32.15 Powers   of   the   office   regarding  investigation  and
 
 10                  inspection.
 
 11          32.17 Certain duties of providers of services.
 
 12          32.19 Powers of subpoena and examination.
 
 13          32.21 Suspension, revocation, or limitation of operating certif-
 
 14                  icates and imposition of fines.
 
 15          32.23 Formal hearings; procedure.
 
 16          32.25 Confinement, care, and treatment of persons suffering from
 
 17                  chemical abuse or dependence.
 
 18          32.27 Injunction and temporary restraining order.
 
 19          32.29 Approval of new construction.
 
 20          32.31 Establishment or incorporation of facilities for  chemical
 
 21                  dependence services.
 
 22          32.33 Improper expenditures of money.
 
 23          32.35 Disclosure by members, officers and employees.
 
 24          32.37 Registration  and  notification  of boards of directors or
 
 25                  trustees of certain voluntary not-for-profit  facilities
 
 26                  or corporations.
 
 27          32.39 Fiscal year report.
 
 28  § 32.01 Regulation and quality control of chemical dependence services.
 
                                        172                        13001-04-9
 
  1    This  article sets forth provisions enabling the commissioner to regu-
 
  2  late and assure the consistent high quality of services provided  within
 
  3  the  state to persons suffering from chemical abuse or dependence, their
 
  4  families and significant others, and/or those who are at risk of  becom-
 
  5  ing  chemical  abusers.  The  commissioner  may adopt and promulgate any
 
  6  regulation reasonably necessary to implement  and  effectively  exercise
 
  7  the  powers and perform the duties conferred by this article. This arti-
 
  8  cle shall govern the operation of programs, provision  of  services  and
 
  9  the  facilities  hereinafter described and the commissioner’s powers and
 
 10  authority with respect thereto, and shall supersede, as to such matters,
 
 11  sections of article twenty-three and thirty-one of this chapter that are
 
 12  inconsistent with the provisions of this chapter. Valid certificates  of
 
 13  approval  and  operating  certificates  previously  issued under article
 
 14  twenty-three of this chapter or article thirty-one of this  title  shall
 
 15  remain  in full force and effect but shall be subject to conversion upon
 
 16  subsequent review. Valid operating certificates previously issued  under
 
 17  section  19.40 of this chapter shall remain in full force and effect and
 
 18  shall be deemed to be operating certificates issued under  this  article
 
 19  and  will  be  converted  to such operating certificates upon subsequent
 
 20  review.  For purposes of this article, the term "commissioner" means the
 
 21  commissioner of the office of alcoholism and substance abuse services.
 
 22  § 32.03 Evaluation of chemical dependence services.
 
 23    (a) The commissioner shall ensure that  all  services  provided  under
 
 24  this  chapter  for  persons  who  abuse  and/or are dependent on alcohol
 
 25  and/or substances are periodically evaluated.
 
 26    (b) The commissioner shall, by  regulations,  establish  and  maintain
 
 27  evaluation  criteria and methods which assure the utility of data gener-
 
 28  ated in the evaluation of services  in  different  areas  of  the  state
 
                                        173                        13001-04-9
 
  1  provided under this chapter for those persons who abuse or are dependent
 
  2  on alcohol and/or substances, including, but not limited to:
 
  3    1.  Uniform  definitions  of  services to persons who abuse and/or are
 
  4  dependent on alcohol and/or substances;
 
  5    2. Uniform objectives for all comparable services and programs;
 
  6    3. Uniform definitions of screening, assessment, evaluation, level  of
 
  7  care  determination, admission and discharge for comparable providers of
 
  8  services;
 
  9    4. Uniform clinical reporting procedures; and
 
 10    5. Uniform requirements for the generation and maintenance of data for
 
 11  all individuals receiving services from any provider of services  issued
 
 12  an operating certificate under this article.
 
 13  § 32.05 Operating certificate required.
 
 14    (a)  Except as provided in subdivision (b) of this section no provider
 
 15  of services shall engage in any of the following activities  without  an
 
 16  operating  certificate issued by the commissioner pursuant to this arti-
 
 17  cle:
 
 18    1. operation of a residential program, including a community residence
 
 19  for the care, custody, or treatment of persons suffering  from  chemical
 
 20  abuse  or  dependence;  provided, however, that giving domestic care and
 
 21  comfort to a person in the home shall not constitute such an operation;
 
 22    2. operation of a discrete  unit  of  a  hospital  or  other  facility
 
 23  possessing  an operating certificate pursuant to article twenty-eight of
 
 24  the public health law for the purpose of providing residential  or  non-
 
 25  residential  services  for  persons  suffering  from  chemical  abuse or
 
 26  dependence; or
 
 27    3. operation of a program established or maintained by a  provider  of
 
 28  services  for  the  rendition of out-patient or non-residential services
 
                                        174                        13001-04-9
 
  1  for persons suffering  from  chemical  abuse  or  dependence;  provided,
 
  2  however,  that such operation shall not be deemed to include (i) profes-
 
  3  sional practice, within the scope of a professional license  or  certif-
 
  4  icate  issued  by  an  agency of the state, by an appropriately licensed
 
  5  individual or by a partnership of such individuals, or by a professional
 
  6  service corporation duly incorporated pursuant to  the  business  corpo-
 
  7  ration law wherein all professionals bear the same professional license,
 
  8  or  a university faculty practice corporation duly incorporated pursuant
 
  9  to the not-for-profit corporation law, unless more than fifty percent of
 
 10  such practice by either such corporation consists of  the  rendering  of
 
 11  chemical  dependence  services; or (ii)   non-residential services which
 
 12  are chartered or issued a certificate of incorporation pursuant  to  the
 
 13  education  law; or (iii) pastoral counseling by a clergyman or minister,
 
 14  including those defined as clergyman or minister by section two  of  the
 
 15  religious  corporations  law;  or  (iv)  services  which are exclusively
 
 16  prevention strategies and approaches as defined in section 1.03 of  this
 
 17  chapter.
 
 18    (b)  Individual physicians, groups of physicians and public or private
 
 19  medical facilities certified pursuant to article twenty-eight  or  thir-
 
 20  ty-three of the public health law may prescribe, administer and dispense
 
 21  controlled substances to addicts only as part of a methadone maintenance
 
 22  treatment  program which has been issued an operating certificate by the
 
 23  commissioner pursuant to subdivision (b) of section 32.09 of this  arti-
 
 24  cle.
 
 25    (c)  No  individual,  partnership,  association,  corporation, limited
 
 26  liability company or partnership, public or private agency or  any  part
 
 27  thereof shall adopt a corporate name or hold itself out to the public in
 
 28  a  manner  which  indicates, directly or indirectly, the availability of
 
                                        175                        13001-04-9
 
  1  treatment, programs, or services for  persons  suffering  from  chemical
 
  2  abuse or dependence unless it has obtained an operating certificate from
 
  3  the commissioner in accordance with the provisions of this article.
 
  4    (d)  The  operation of a program for which an operating certificate is
 
  5  required shall be in accordance with the terms of the operating  certif-
 
  6  icate and regulations of the commissioner.
 
  7    (e)  Any  individual,  partnership,  association, corporation, limited
 
  8  liability company or partnership, public or private agency or  any  part
 
  9  thereof  who  knowingly  fails  to  comply  with  the provisions of this
 
 10  section shall be guilty of a misdemeanor as defined in the penal law.
 
 11    (f) If the commissioner has reason to believe that there is  an  indi-
 
 12  vidual, partnership, association, corporation, limited liability company
 
 13  or  partnership,  public  or private agency or any part thereof which is
 
 14  providing chemical dependence services or which purports to provide such
 
 15  services and which does not possess a required current  valid  operating
 
 16  certificate,  he or she shall proceed pursuant to applicable sections of
 
 17  this chapter including but not limited to sections 32.13,  32.15,  32.19
 
 18  and 32.27 of this article.
 
 19  § 32.07 Regulatory powers of the commissioner.
 
 20    (a)  The  commissioner  shall  have  the power to adopt regulations to
 
 21  effectuate the provisions and purposes of this article,  including,  but
 
 22  not limited to, the following:
 
 23    1.  establishing  classes  of  operating  certificates based upon such
 
 24  factors as physical plant, program, and staff;
 
 25    2. specifying a definite period for which  the  operating  certificate
 
 26  will be in effect;
 
 27    3.  prescribing  standards of quality and adequacy of chemical depend-
 
 28  ence services rendered pursuant to an  operating  certificate  including
 
                                        176                        13001-04-9
 
  1  but  not  limited to, qualifications for persons providing such services
 
  2  including moral character, competence and  standing  in  the  community,
 
  3  record-keeping requirements, reporting requirements, fiscal responsibil-
 
  4  ity,  public  need,  adequacy  and  quality  of services, and such other
 
  5  matters of public interest as the office shall deem appropriate;
 
  6    4. providing for ongoing compliance by providers of  chemical  depend-
 
  7  ence  services  with  office rules and regulations, including procedures
 
  8  for the limitation or revocation of any previously granted approval.
 
  9    (b) Nothing herein shall affect the powers and duties of  other  state
 
 10  agencies  to  carry out their responsibilities and functions pursuant to
 
 11  the requirements of applicable laws.
 
 12  § 32.09 Issuance of operating certificates.
 
 13    (a)   No operating certificate shall be  issued  by  the  commissioner
 
 14  unless the commissioner is satisfied as to:
 
 15    1.  the  public need for the chemical dependence services to be estab-
 
 16  lished upon the issuance  of  the  operating  certificate,  taking  into
 
 17  consideration local, regional, and statewide need; and
 
 18    2.  the  character,  competence  and  standing in the community of the
 
 19  person or entity responsible for operating the facility;
 
 20    3. the overall financial condition of applicants,  through  review  of
 
 21  audited   financial  statements,  taking  into  consideration  financial
 
 22  resources of the proposed facility and its sources of future revenues;
 
 23    4. the adequacy of the premises, equipment,  personnel,  records,  and
 
 24  program to provide the services which would be authorized by the operat-
 
 25  ing certificate;
 
 26    5.  that  such services will be provided in compliance with applicable
 
 27  law and regulations;
 
                                        177                        13001-04-9
 
  1    6. that the provider of services will provide patients with continuity
 
  2  of care consistent with treatment and discharge plans; and
 
  3    7.  such other matters as the commissioner shall deem pertinent and in
 
  4  the public interest.
 
  5    (b) In addition to the provisions of subdivision (a) of this  section,
 
  6  no  operating certificate shall be issued by the commissioner to author-
 
  7  ize the administration and dispensing of methadone by certain physicians
 
  8  and/or medical facilities as identified in subdivision  (b)  of  section
 
  9  32.05 of this article unless such commissioner is satisfied that:
 
 10    1.  the  applicant  is  ready, willing and able to properly carry on a
 
 11  maintenance program;
 
 12    2. the applicant will be able to maintain  effective  control  against
 
 13  diversion of controlled substances;
 
 14    3. it is in the public interest that such certification be granted;
 
 15    4.  the  applicant  is  able  to  comply with all applicable state and
 
 16  federal laws; and
 
 17    5. the applicant will establish procedures to effectively implement  a
 
 18  detoxification  program  to further relieve addicts from dependence upon
 
 19  methadone or such other controlled substances prescribed  for  treatment
 
 20  in subject maintenance programs.
 
 21    (c) Operating certificates shall be valid for up to a three-year peri-
 
 22  od as shall be expressly provided upon such certificate or renewal ther-
 
 23  eof.
 
 24    (d)  The  commissioner shall specify on each operating certificate the
 
 25  kind or kinds of services authorized, any limitations or  conditions  of
 
 26  the certificate, and the expiration date of the certificate.
 
 27    (e) Notwithstanding the provisions of subdivision (a) of this section,
 
 28  the commissioner shall have the authority to grant temporary approval of
 
                                        178                        13001-04-9
 
  1  an  operating  certificate for a period not to exceed one hundred twenty
 
  2  days, in the event of a threat or imminent threat of a  catastrophic  or
 
  3  emergency  loss  of  available  services. Such temporary approval may be
 
  4  extended  beyond  one  hundred  twenty  days  as deemed necessary by the
 
  5  commissioner, but not to exceed more  than  an  additional  one  hundred
 
  6  twenty days.
 
  7    (f)  The  commissioner  may disapprove an application for an operating
 
  8  certificate, may authorize fewer services  than  applied  for,  and  may
 
  9  place  limitations and conditions on the operating certificate he or she
 
 10  determines to be reasonable and necessary, including, but not limited to
 
 11  compliance with a time limited plan  of  correction  of  any  deficiency
 
 12  which does not threaten the health or well being of any patient. In such
 
 13  cases  the  applicant  shall  be  given  an opportunity to be heard at a
 
 14  public hearing, if requested by the applicant.
 
 15    (g) All operating certificates shall remain the property of the office
 
 16  and must be returned to the office upon revocation or expiration  there-
 
 17  of,  or  upon the demand of the commissioner. Operating certificates are
 
 18  not transferable.
 
 19  § 32.11 Child abuse prevention.
 
 20    All providers of services described  in  subdivision  (a)  of  section
 
 21  32.05 of this article, shall:
 
 22    (a)  develop, maintain and disseminate written policies and procedures
 
 23  pursuant to title six of article six of  the  social  services  law  and
 
 24  applicable  provisions of article ten of the family court act, regarding
 
 25  the mandatory reporting of child abuse or neglect, reporting  procedures
 
 26  and  obligations  of persons required to report, provisions for taking a
 
 27  child into protective custody, mandatory reporting of  deaths,  immunity
 
 28  from liability, penalties for failure to report, and obligations for the
 
                                        179                        13001-04-9
 
  1  provision  of services and procedures necessary to safeguard the life or
 
  2  health of the child; and
 
  3    (b)  establish,  and implement on an ongoing basis, a training program
 
  4  for all current and new employees regarding the policies and  procedures
 
  5  established pursuant to this section.
 
  6  § 32.13 Investigations and inspections.
 
  7    The  commissioner  shall have the power to conduct investigations into
 
  8  the operations of providers of services which are required by this arti-
 
  9  cle to have operating certificates and to make inspections  and  examine
 
 10  records, including, but not limited to, clinical and medical service and
 
 11  financial  records  of facilities to determine whether such providers of
 
 12  services are complying with the provisions of this chapter and  applica-
 
 13  ble laws, rules, and regulations. Inspections shall be made as frequent-
 
 14  ly  as  the  commissioner  may  deem  necessary,  but  in any event such
 
 15  inspections shall be made on at least two occasions during each calendar
 
 16  year, one of which shall be  without  prior  notice,  for  providers  of
 
 17  services  which  have  been  issued operating certificates of one year’s
 
 18  duration or longer; and at least once during the term of  the  operating
 
 19  certificate  for  providers of services which have been issued operating
 
 20  certificates of less than a year’s duration; and provided, further, that
 
 21  where, in the discretion of the commissioner, an  operating  certificate
 
 22  of  more  than  one  year’s  duration  has  been issued to a provider of
 
 23  services with a history of compliance and a record of providing  a  high
 
 24  quality of care, the periodic inspection and visitation required by this
 
 25  section  shall be made at least once during each calendar year, provided
 
 26  such visits shall be without prior notice.
 
 27  § 32.15 Powers of the office regarding investigation and inspection.
 
                                        180                        13001-04-9
 
  1    (a) In conducting an investigation or inspection, the commissioner  or
 
  2  his  or  her  authorized  representative shall have the power to inspect
 
  3  facilities, examine records, conduct examinations  and  interviews,  and
 
  4  obtain  such  other information as may be required in order to carry out
 
  5  his or her responsibilities under this article.
 
  6    (b)  All  investigations  and inspections of clinical records shall be
 
  7  made  by  persons  competent  to   conduct   such   investigations   and
 
  8  inspections.   Information obtained by the commissioner from the records
 
  9  of patients receiving services shall be kept confidential in  accordance
 
 10  with applicable federal and state confidentiality laws and regulations.
 
 11  § 32.17 Certain duties of providers of services.
 
 12    It  shall  be  the duty of every holder of an operating certificate to
 
 13  assist both the office and the commission on quality  of  care  for  the
 
 14  mentally  disabled in carrying out their respective and joint regulatory
 
 15  functions by:
 
 16    (a) complying with the provisions of this  chapter,  other  applicable
 
 17  federal,  state,  and  local laws, rules, and regulations, and the regu-
 
 18  lations of the commissioner.
 
 19    (b) consistent with federal and state confidentiality laws  and  regu-
 
 20  lations,  making  such  reports as are required by the office as well as
 
 21  those necessary to provide notification  to  the  district  attorney  or
 
 22  other  appropriate  law enforcement official and the commissioner or his
 
 23  or her authorized representative as soon as possible, or  in  any  event
 
 24  within  three  working  days,  if  it appears that a crime may have been
 
 25  committed against a  patient  receiving  services  from  such  provider,
 
 26  and/or  if  a  crime  may have been committed against any person on such
 
 27  provider’s premises, and making such other reports, uniform  and  other-
 
 28  wise,  as  are  required  by  the  commissioner or his or her authorized
 
                                        181                        13001-04-9
 
  1  representative with respect to its operations. Information  obtained  by
 
  2  the  commissioner  from the records of patients receiving services shall
 
  3  be kept confidential in accordance with  applicable  federal  and  state
 
  4  confidentiality laws and regulations.
 
  5    (c)  cooperating with the commissioner or his or her authorized repre-
 
  6  sentative and the commission on quality of care for the  mentally  disa-
 
  7  bled or any representative authorized by the chairperson of such commis-
 
  8  sion  in  any investigation or inspection conducted by the department or
 
  9  commission on quality of care for the mentally disabled.
 
 10    (d) permitting the commissioner or his  or  her  authorized  represen-
 
 11  tative  and  the commission on quality of care for the mentally disabled
 
 12  or any representative authorized by the chairperson of  such  commission
 
 13  to  inspect  its  facility  and all books and records, including patient
 
 14  records, kept by it and to interview and  examine  any  patient  at  its
 
 15  facility except that no patient may be examined against his or her will.
 
 16  § 32.19 Powers of subpoena and examination.
 
 17    In  conducting  any  investigation,  inspection, or hearing under this
 
 18  chapter, the commissioner and his or her authorized  representative  are
 
 19  empowered  to  subpoena  witnesses,  compel their attendance, administer
 
 20  oaths to witnesses,  examine  witnesses  under  oath,  and  require  the
 
 21  production  of any books or papers deemed relevant to the investigation,
 
 22  inspection, or hearing. A subpoena issued under this  section  shall  be
 
 23  regulated  by  the  civil practice law and rules. The confidentiality of
 
 24  information obtained by the commissioner from patient’s records shall be
 
 25  maintained in accordance with applicable federal and state confidential-
 
 26  ity laws and regulations.
 
 27  § 32.21 Suspension, revocation, or limitation of operating  certificates
 
 28             and imposition of fines.
 
                                        182                        13001-04-9
 
  1    (a)  The  commissioner  may  revoke,  suspend,  or  limit an operating
 
  2  certificate upon a determination that the holder of the certificate  has
 
  3  failed to comply with the terms of its operating certificate or with the
 
  4  provisions of any applicable statute, rule, or regulation. The holder of
 
  5  the  certificate  shall  be  given notice and an opportunity to be heard
 
  6  prior to any such determination.
 
  7    (b) The commissioner may impose a fine of up to one  thousand  dollars
 
  8  upon  a  finding that the holder of the certificate has failed to comply
 
  9  with the terms of its operating certificate or with  the  provisions  of
 
 10  any applicable statute, rule or regulations.
 
 11    (c) The penalty provided for in subdivision (b) of this section may be
 
 12  recovered  by  an  action  brought  by  the commissioner in any court of
 
 13  competent jurisdiction.
 
 14    (d) Such penalty may be released or compromised  by  the  commissioner
 
 15  before  the  matter has been referred to the attorney general, and where
 
 16  such matter has been referred to the attorney general, any such  penalty
 
 17  may  be  released or compromised and any action commenced to recover the
 
 18  same may be settled or discontinued by the  attorney  general  with  the
 
 19  consent of the commissioner.
 
 20    (e)  It  shall be the duty of the attorney general upon the request of
 
 21  the commissioner to bring an action for an injunction against any person
 
 22  who violates, disobeys or disregards any term or provision of this chap-
 
 23  ter or of any lawful  notice,  order  or  regulation  pursuant  thereto;
 
 24  provided,  however,  that  the  commissioner  shall furnish the attorney
 
 25  general with such material,  evidentiary  matter  or  proof  as  may  be
 
 26  requested by the attorney general for the prosecution of such an action.
 
 27    (f)  Pending  a  determination pursuant to the foregoing subdivisions,
 
 28  the commissioner may, upon written notice to the holder thereof, suspend
 
                                        183                        13001-04-9
 
  1  an operating certificate for not more than thirty days if he or she  has
 
  2  reasonable  grounds  for  finding  that  the  continued operation of the
 
  3  facility presents an immediate danger to the health and welfare  of  the
 
  4  public or of any of the persons receiving the services.
 
  5    (g) The commissioner shall promulgate rules and regulations establish-
 
  6  ing  procedures  for the imposition of fines, and suspension, revocation
 
  7  or limitation of operating certificates.
 
  8  § 32.23 Formal hearings; procedure.
 
  9    (a) Unless otherwise provided by law, when a hearing must be  afforded
 
 10  pursuant  to this article, the hearing shall be held without undue delay
 
 11  and all parties shall be given reasonable notice of the time, place, and
 
 12  nature of the hearing.
 
 13    (b) The commissioner, acting as hearing officer, or any person  desig-
 
 14  nated by him or her as hearing officer shall have power to:
 
 15    1. administer oaths and affirmations;
 
 16    2. issue subpoenas, which shall be regulated by the civil practice law
 
 17  and rules;
 
 18    3. take testimony; and
 
 19    4. control the conduct of the hearing.
 
 20    (c)  The rules of evidence observed by the courts need not be observed
 
 21  except that the rules of privilege and confidentiality recognized by law
 
 22  shall be respected. Irrelevant or unduly  repetitious  evidence  may  be
 
 23  excluded.
 
 24    (d)  All  parties  shall  have the right to counsel and be afforded an
 
 25  opportunity to present evidence and cross-examine adverse witnesses.
 
 26    (e) If evidence at the hearing relates to the identity, condition,  or
 
 27  clinical  record  of  a  patient,  the  hearing  officer may exclude all
 
 28  persons from the room except parties to the  proceeding,  their  counsel
 
                                        184                        13001-04-9
 
  1  and  the witnesses. The record of such proceeding shall not be available
 
  2  to anyone outside the office other than a party to the proceeding or his
 
  3  or her counsel, except by order of a court of record.
 
  4    (f)  If  a  hearing officer has been designated, within twenty days of
 
  5  receipt of the stenographic transcript or the date fixed for  submission
 
  6  of  written  memoranda,  whichever  is  later, the hearing officer shall
 
  7  submit a final report of findings and a proposed order  to  the  commis-
 
  8  sioner, along with the entire record of the hearing.
 
  9    (g)  The  commissioner shall issue a determination within ten business
 
 10  days after the termination of the hearing or, if a hearing  officer  has
 
 11  submitted  a  report in accordance with subdivision (f) of this section,
 
 12  within ten business days from receipt of such officer’s report.
 
 13    (h) The commissioner may establish regulations to govern  the  hearing
 
 14  procedure and the process of determination of the proceeding.
 
 15  § 32.25 Confinement, care, and treatment of persons suffering from chem-
 
 16             ical abuse or dependence.
 
 17    (a)  No  individual  who  is  or appears to be suffering from chemical
 
 18  abuse or dependence shall be detained, deprived of his or  her  liberty,
 
 19  or  otherwise  confined  without  lawful  authority, or be inadequately,
 
 20  unskillfully, cruelly, or  unsafely  cared  for  or  supervised  by  any
 
 21  person.
 
 22    (b)  If  the  commissioner  has reason to believe that this section is
 
 23  being violated or that services  for  persons  suffering  from  chemical
 
 24  abuse  or dependence or who are at risk of becoming alcohol or substance
 
 25  abusers are being provided in violation of this article, he or she shall
 
 26  promptly investigate the matter. If he or she finds, after notice to the
 
 27  person accused of the violation that there is  substantial  evidence  to
 
 28  support  the  finding  that there has been a violation, the commissioner
 
                                        185                        13001-04-9
 
  1  shall issue an order directed to the person or entity who has  committed
 
  2  the  violation  directing  him  or  her  to  cease  and  desist from the
 
  3  violation.
 
  4    (c)  The  commissioner  may  bring  the  following  proceedings in the
 
  5  supreme court, in accordance with the provisions  of  section  32.27  of
 
  6  this article:
 
  7    1. for an injunction where the person to whom a cease and desist order
 
  8  is directed has failed to comply therewith; and
 
  9    2. for a temporary restraining order where the commissioner has reason
 
 10  to  believe that a violation of this section may result in injury to any
 
 11  person.
 
 12    (d) Nothing in this section shall prevent the commissioner from taking
 
 13  whatever action he or she deems necessary for  the  suspension,  revoca-
 
 14  tion,  or  limitation  of  the  operating  certificate  of a provider of
 
 15  services which has been charged with a violation of this section.
 
 16  § 32.27 Injunction and temporary restraining order.
 
 17    (a) The supreme court may enjoin violations or  threatened  violations
 
 18  of any provision of this article or violations of the regulations of the
 
 19  office established pursuant to this article. Upon request of the commis-
 
 20  sioner,  the  attorney  general may maintain a proceeding in the supreme
 
 21  court in the name of  the  people  of  the  state  to  enjoin  any  such
 
 22  violation,   provided  that  notice  of  such  violation  or  threatened
 
 23  violation and proposed referral to the attorney general has  been  given
 
 24  to  the  violator by mailing notice thereof to the last known address of
 
 25  the violator by registered mail.
 
 26    (b) If the proceeding is for the enforcement of  a  cease  and  desist
 
 27  order  issued  after  notice  and  hearing pursuant to the provisions of
 
                                        186                        13001-04-9
 
  1  section 32.23 of this article, the facts found by the commissioner shall
 
  2  be conclusive if supported by substantial evidence.
 
  3    (c)  Notwithstanding  any  limitation  in  the  civil practice law and
 
  4  rules, such court may, on motion and affidavit, and upon proof that such
 
  5  violation is one which reasonably may result in injury  to  any  person,
 
  6  whether  or not such person is a party to such action, grant a temporary
 
  7  restraining order upon such terms as may be just, pending  the  determi-
 
  8  nation  of the proceeding. No security on the part of the state shall be
 
  9  required.
 
 10  § 32.29 Approval of new construction.
 
 11    (a) As used or referred to in this section, unless a different meaning
 
 12  clearly appears from the context:
 
 13    1. "Facility" is limited to a facility in which services  are  offered
 
 14  for which an operating certificate is required by this article.
 
 15    2.  "Construction" means the erection, building, or substantial acqui-
 
 16  sition, alteration, reconstruction, improvement, extension or  modifica-
 
 17  tion  of  a facility, including its equipment, the inspection and super-
 
 18  vision thereof;  and  the  studies,  surveys,  designs,  plans,  working
 
 19  drawings, specifications, procedures, and other actions necessary there-
 
 20  to.
 
 21    (b)  The construction of a facility for which an operating certificate
 
 22  issued by the commissioner is required pursuant to  this  article  shall
 
 23  require  the  prior  approval  of  such  commissioner if the provider of
 
 24  services seeking to engage in such construction  receives  funding  from
 
 25  the  office  of alcoholism and substance abuse services pursuant to this
 
 26  chapter and/or seeks a funding  source  for  such  construction  project
 
 27  other  than  from  the  mental  health  services  facilities improvement
 
                                        187                        13001-04-9
 
  1  program, or its successor  agency,  directly  or  indirectly  through  a
 
  2  closely related entity.
 
  3    1. An application for such construction together with such other forms
 
  4  and information as shall be prescribed, shall be submitted to the office
 
  5  of alcoholism and substance abuse services.
 
  6    2.  The office shall forward a copy of the application for approval of
 
  7  the proposed construction, and any accompanying documents, to the  local
 
  8  governmental  unit  responsible  for community services for the mentally
 
  9  disabled where the facility is to be  located.  The  local  governmental
 
 10  unit shall report its recommendations on the proposed construction with-
 
 11  in a reasonable time.
 
 12    3. Upon receipt of the recommendations of the local governmental unit,
 
 13  or  upon the lapse of a reasonable time for comment by the local govern-
 
 14  mental unit, the commissioner shall submit the application  for  facili-
 
 15  ties  other  than community residences along with the recommendations of
 
 16  the local governmental unit to the advisory council  on  alcoholism  and
 
 17  substance  abuse services for its review and recommendation. The commis-
 
 18  sioner shall not act upon an application for construction of a  facility
 
 19  other than a community residence without having first given the advisory
 
 20  council on alcoholism and substance abuse services a reasonable opportu-
 
 21  nity  to  make  its recommendation on the application, provided however,
 
 22  that the commissioner may act upon an application for construction by an
 
 23  applicant possessing a valid operating certificate  when  the  applicant
 
 24  qualifies  for review without the recommendation of the council pursuant
 
 25  to regulations adopted by the commissioner with the advice of the  coun-
 
 26  cil  in  accordance  with  the procedures noted in section 19.05 of this
 
 27  chapter.
 
                                        188                        13001-04-9
 
  1    (c)  The  commissioner  shall  not  act  upon   an   application   for
 
  2  construction  of  a  facility  unless  the  applicant  has  obtained all
 
  3  approvals and consents required by law for its incorporation  or  estab-
 
  4  lishment. The commissioner, in approving the construction of a facility,
 
  5  shall  take  into  consideration and is empowered to request information
 
  6  and advice from all available sources including local  and  area  mental
 
  7  hygiene  and  health  planning  agencies  and groups and shall not grant
 
  8  approval of an application for construction unless, based on the  infor-
 
  9  mation and advice received and his or her own review he or she is satis-
 
 10  fied  as  to (i) the public need for the facility or the services at the
 
 11  time and place and under the circumstances proposed, taking into consid-
 
 12  eration local, regional, and statewide need;  (ii) the absence of avail-
 
 13  ability and feasibility for development of facilities or services  which
 
 14  may  serve  as  alternatives or substitutes for the whole or any part of
 
 15  the proposed construction; (iii) the overall financial condition of  the
 
 16  applicant,  through  review of audited financial statements, taking into
 
 17  consideration the adequacy of financial resources and sources of  future
 
 18  revenue;  (iv)  the absence of more efficient architectural solutions to
 
 19  construction proposed; and (v) the sufficiency of such other matters  as
 
 20  he or she may deem pertinent in the public interest.
 
 21    (d)  If  the  commissioner  proposes  to disapprove an application for
 
 22  construction of a facility, he or she  shall  afford  the  applicant  an
 
 23  opportunity  to  be  heard  in  accordance  with subdivision (e) of this
 
 24  section. The commissioner shall not take  any  action  contrary  to  the
 
 25  recommendation of the advisory council on alcoholism and substance abuse
 
 26  services, unless he or she first appears before the council and explains
 
 27  his  or her reasons therefor. The commissioner shall not take any action
 
 28  contrary to the advice of the local  governmental  unit  for  facilities
 
                                        189                        13001-04-9
 
  1  other  than  community residences until he or she affords an opportunity
 
  2  to the local governmental unit to request a public  hearing  and  if  so
 
  3  requested, a public hearing shall be held in accordance with subdivision
 
  4  (e)  of  this section.   The commissioner, on his or her own motion, may
 
  5  hold a hearing on an application for construction of a facility.
 
  6    (e)  At the public hearing the commissioner shall outline  all  perti-
 
  7  nent  matters  regarding  the  application.  Thereafter,  any  person in
 
  8  attendance shall be given a reasonable opportunity to present an oral or
 
  9  written statement and to submit other documents concerning the  applica-
 
 10  tion  for construction. A record of the hearing shall be kept, including
 
 11  written statements submitted. Copies of such record shall  be  available
 
 12  to  the public for examination without cost during normal business hours
 
 13  at the office of alcoholism and substance abuse’s central office. Copies
 
 14  shall be reproduced upon written request and payment of the cost  there-
 
 15  of.  Further adjourned hearings may be scheduled.
 
 16    (f)  Nothing in this section shall limit the application of provisions
 
 17  of article twenty-eight of the public health law.
 
 18  §  32.31 Establishment  or  incorporation  of  facilities  for  chemical
 
 19             dependence services.
 
 20    (a)  No provider of services or facility providing chemical dependence
 
 21  services shall be established except with the written  approval  of  the
 
 22  commissioner.  No certificate of incorporation of a business, membership
 
 23  or not-for-profit corporation shall hereafter be  filed  which  includes
 
 24  among its corporate purposes or powers the establishment or operation of
 
 25  a facility providing chemical dependence services or the solicitation of
 
 26  contributions  for  any  such  purpose, or two or more of such purposes,
 
 27  except with the written approval of the commissioner and, when otherwise
 
                                        190                        13001-04-9
 
  1  required by law, the approval of a justice of the supreme court endorsed
 
  2  on or annexed to the certificate of incorporation.
 
  3    (b)  With  respect to the incorporation or establishment of a provider
 
  4  or facility providing chemical  dependence  services,  the  commissioner
 
  5  shall give written approval after all of the following requirements have
 
  6  been met:
 
  7    1. An application for approval of the proposed certificate of incorpo-
 
  8  ration  shall  be  filed  with the commissioner together with such other
 
  9  forms and information as shall be prescribed by, or acceptable  to,  him
 
 10  or  her.  Thereafter,  the  commissioner  shall  forward  a  copy of the
 
 11  proposed certificate and application for establishment and  accompanying
 
 12  documents,  to  the  local  governmental  unit of the area in which such
 
 13  facility is to be located. The commissioner  shall  not  act  upon  such
 
 14  application  until the local governmental unit has had a reasonable time
 
 15  to submit their recommendations.
 
 16    2. Upon receipt of the recommendations of the local governmental unit,
 
 17  or the lapse of a reasonable time  for  comment,the  commissioner  shall
 
 18  submit  the  application  along  with  the  recommendations of the local
 
 19  governmental unit to the advisory council on  alcoholism  and  substance
 
 20  abuse services for its review and recommendation. The commissioner shall
 
 21  not  act  upon  an  application  for establishment of a facility without
 
 22  having first given such advisory council  a  reasonable  opportunity  to
 
 23  make its recommendation on the application.
 
 24    3.  The  commissioner shall not take any action contrary to the recom-
 
 25  mendation of the council unless he or she first appears before the coun-
 
 26  cil and explains his or her reasons therefor. The commissioner shall not
 
 27  take any action contrary to the advice of the  local  governmental  unit
 
 28  until  he  or  she  affords, to such entity, an opportunity to request a
 
                                        191                        13001-04-9
 
  1  public hearing and if so requested, a public hearing shall  be  held  in
 
  2  accordance with subdivision (e) of section 32.29 of this article. If the
 
  3  commissioner  proposes  to  disapprove  the  application he or she shall
 
  4  afford  the  applicant  an  opportunity  to  request a public hearing in
 
  5  accordance with subdivision (e) of section 32.29 of  this  article.  The
 
  6  commissioner may hold such a public hearing on the application on his or
 
  7  her own motion. Any public hearing held pursuant to this subdivision may
 
  8  be  conducted by the commissioner or by any individual designated by the
 
  9  commissioner.
 
 10    (c) The commissioner shall not approve a certificate of  incorporation
 
 11  or  application  for  establishment unless the provisions of subdivision
 
 12  (a) of section 32.09 of this article have been met and that the  commis-
 
 13  sioner is satisfied, insofar as applicable, as to:
 
 14    1.  the  public need for the existence of the facility at the time and
 
 15  place and under the circumstances  proposed  taking  into  consideration
 
 16  local, regional, and statewide need;
 
 17    2.  the  absence  of  availability  and  feasibility of development of
 
 18  facilities or services which may serve as  alternatives  or  substitutes
 
 19  for the whole or any part of the proposed facility;
 
 20    3.  the  character,  competence  and  standing in the community of the
 
 21  proposed incorporators, directors, partners, sponsors,  stockholders  or
 
 22  operators;  considering,  with  respect  to  any  proposed incorporator,
 
 23  director, partner, sponsor, stockholder or operator who  is  already  or
 
 24  within  the  past ten years has been an incorporator, director, partner,
 
 25  sponsor, stockholder or operator of any  hospital,  private  proprietary
 
 26  home  for  adults,  residence for adults, or not-for-profit home for the
 
 27  aged or blind which has been issued  an  operating  certificate  by  the
 
 28  office  of  children  and  family services or a halfway house, hostel or
 
                                        192                        13001-04-9
 
  1  other facility institution for the care, custody  or  treatment  of  the
 
  2  mentally  disabled  which  is  subject  to  approval by an office of the
 
  3  department, the level of care being or having been rendered in each such
 
  4  hospital,  home,  residence, halfway house, hostel, or other residential
 
  5  facility or institution with which such person is or was affiliated;
 
  6    4. the overall financial condition of the applicant, through review of
 
  7  audited financial statements, taking into  consideration  the  financial
 
  8  resources  of  the proposed facility and of its sources of future reven-
 
  9  ues; and
 
 10    5. the sufficiency of such other matters as he or she  shall  deem  in
 
 11  the public interest.
 
 12    (d)  1.  Any  change  in  the  person  who or partnership which is the
 
 13  provider of services shall be approved by the commissioner in accordance
 
 14  with the provisions of this subdivision and subdivisions (a) through (c)
 
 15  of this section.
 
 16    2. Any transfer, assignment or other disposition  of  ten  percent  or
 
 17  more  of the stock or voting rights thereunder of a corporation which is
 
 18  the provider of services providing chemical dependence services  or  any
 
 19  transfer,  assignment or other disposition of the stock or voting rights
 
 20  thereunder of such a corporation  which  results  in  the  ownership  or
 
 21  control  of  more  than ten percent of the stock or voting rights there-
 
 22  under of such corporation by any person shall be subject to approval  by
 
 23  the  commissioner  in accordance with the provisions of this subdivision
 
 24  and subdivisions (a) through (c) of this section  and  rules  and  regu-
 
 25  lations  promulgated  pursuant thereto. In the absence of such approval,
 
 26  the operating certificate of such facility shall be subject  to  revoca-
 
 27  tion or suspension.
 
                                        193                        13001-04-9
 
  1    3.  No  facility  shall  be  approved for establishment which would be
 
  2  operated by a partnership any of the members of which  are  not  natural
 
  3  persons.
 
  4    4.  No  facility  shall  be  approved for establishment which would be
 
  5  operated by a corporation any of the stock of which is owned by  another
 
  6  corporation.
 
  7    5. No corporation having power to solicit contributions for charitable
 
  8  purposes  shall be deemed to have authority to solicit contributions for
 
  9  any purposes for which the approval of  the  commissioner  is  required,
 
 10  unless  the  certificate  of incorporation specifically makes provisions
 
 11  therefor, and the written approval of the commissioner is endorsed on or
 
 12  annexed to such certificate. Where such approval has not  been  obtained
 
 13  the  commissioner  may  institute  and maintain an action in the supreme
 
 14  court through the attorney general to procure a judgment dissolving  and
 
 15  vacating  or  annulling  the  certificate  of  incorporation of any such
 
 16  corporation.
 
 17    6. Only a natural person or a partnership existing under the  partner-
 
 18  ship  law may hereafter undertake to engage in the business of operating
 
 19  or conducting a facility  providing  chemical  dependence  services  for
 
 20  profit,  except  that:  (i)  a  person, partnership or corporation which
 
 21  owned and was operating such a facility on July first, nineteen  hundred
 
 22  eighty-three may continue to own and operate such facility; (ii) a busi-
 
 23  ness corporation organized pursuant to the business corporation law may,
 
 24  with  the  approval  of  the  commissioner  and  in  accordance with the
 
 25  provisions of this section, undertake to engage in the business of oper-
 
 26  ating or conducting such a facility provided that such corporation shall
 
 27  not discriminate because of race, color, creed, national origin or spon-
 
 28  sor in admission or retention of patients; (iii) any person  who,  or  a
 
                                        194                        13001-04-9
 
  1  partnership  which,  is  operating  a  private  proprietary  facility in
 
  2  accordance with applicable provisions of law may, with the  approval  of
 
  3  the  commissioner, and in accordance with the provisions of this section
 
  4  and any rules and regulations thereunder, form a business corporation to
 
  5  engage  in  the  business  of  operating  or  conducting  such facility,
 
  6  provided, however, that such corporation shall not discriminate  because
 
  7  of  race,  color,  creed,  national  origin  or  sponsor in admission or
 
  8  retention of patients.
 
  9    (e) The commissioner shall adopt and amend rules  and  regulations  to
 
 10  effectuate  the  provisions and purposes of this section, and to provide
 
 11  for the revocation, limitation or annulment of approvals  of  establish-
 
 12  ment or incorporations.
 
 13    (f) Where the approval required by subdivision (a) of this section has
 
 14  not been obtained, the commissioner may institute and maintain an action
 
 15  in  the supreme court through the attorney general to procure a judgment
 
 16  dissolving and vacating or annulling:
 
 17    1. the certificate of incorporation of any such corporation, or
 
 18    2. the certificate  of  incorporation  of  any  corporation  hereafter
 
 19  incorporated,  the name, purposes, objectives, or activities of which in
 
 20  any manner may reasonably  lead  to  the  belief  that  the  corporation
 
 21  possesses or may exercise any of such purposes.
 
 22  § 32.33 Improper expenditures of money.
 
 23    Improper  expenditures  of money shall include, but not be limited to,
 
 24  the following:
 
 25    (a) No provider of services issued an operating  certificate  pursuant
 
 26  to  this article shall make any charitable contribution of state moneys,
 
 27  medical assistance payments or social security or supplemental  security
 
 28  income or any interest or other income earned thereon, except as author-
 
                                        195                        13001-04-9
 
  1  ized  by  the  commissioner.  Provided,  however,  the provision of this
 
  2  section shall not apply to receipts or donations from private or non-go-
 
  3  vernmental sources and any interest or other income earned  thereon,  or
 
  4  to  monies advanced to employees in accordance with performance of their
 
  5  official duties as employees.
 
  6    (b) Notwithstanding the  not-for-profit  corporation  law,  no  loans,
 
  7  consisting  in whole or in part of funding provided by the office, shall
 
  8  be made by a not-for-profit corporation issued an operating  certificate
 
  9  as  a  provider  of services pursuant to this article to any employee of
 
 10  such corporation, or to any  other  corporation,  firm,  association  or
 
 11  other  entity  in which an employee is a director or officer or employee
 
 12  or holds a direct or indirect substantial  financial  interest.  A  loan
 
 13  made  in  violation  of this section shall be a violation of the duty to
 
 14  the not-for-profit corporation of the directors or officers  authorizing
 
 15  it  or  participating  in  it,  but  the obligation of the borrower with
 
 16  respect to the loan shall not be affected thereby.
 
 17    (c) 1. No contract  or  other  transaction  between  a  not-for-profit
 
 18  corporation  issued  an  operating certificate as a provider of services
 
 19  pursuant to this article and one or more of its employees, or between  a
 
 20  not-for-profit  corporation and any other corporation, firm, association
 
 21  or other entity in which one or more of such persons  are  directors  or
 
 22  officers of the board or corporation, or employee who receives an annual
 
 23  salary  in  excess  of  thirty  thousand dollars, or have an indirect or
 
 24  direct substantial financial interest, shall be either void or  voidable
 
 25  for this reason alone:
 
 26    (i)  If  the  material  facts  as  to  such  person’s interest in such
 
 27  contract or transaction and as to any such common directorship, officer-
 
 28  ship or financial interest are disclosed in good faith or known  to  the
 
                                        196                        13001-04-9
 
  1  board  or  committee, the board or committee authorizes such contract or
 
  2  transaction by a vote sufficient for such purpose without  counting  the
 
  3  vote or votes of such interested person; or
 
  4    (ii)  If  the  material  facts  as  to  such person’s interest in such
 
  5  contract or transaction and as to any such common directorship, officer-
 
  6  ship or financial interest are disclosed in good faith or known  to  the
 
  7  members  entitled  to  vote thereon, if any, and such contract or trans-
 
  8  action is authorized by vote of such members.
 
  9    2. If such good faith disclosure of  the  material  facts  as  to  the
 
 10  person’s  interest  in  the  contract  or transaction and as to any such
 
 11  common directorship, officership or financial interest, is made  to  the
 
 12  directors  or  member,  or  known  to  the board or committee or members
 
 13  authorizing such contract or transaction, as provided in  paragraph  one
 
 14  of  this  subdivision,  the contract or transaction may not be voided by
 
 15  the corporation for the reasons set  forth  in  paragraph  one  of  this
 
 16  subdivision.  If  there  was  no such disclosure of knowledge the corpo-
 
 17  ration may void the contract or transaction unless the party or  parties
 
 18  thereto  shall  establish affirmatively that the contract or transaction
 
 19  was fair and reasonable as to the corporation at the time it was author-
 
 20  ized by the board, a committee or the members.
 
 21  § 32.35 Disclosure by members, officers and employees.
 
 22    In the event that a provider of services certified by  the  office  of
 
 23  alcoholism  and substance abuse services enters into an agreement or has
 
 24  entered into an agreement for the  purchase,  lease,  rehabilitation  or
 
 25  improvement  of  real  property or a cooperative share in real property,
 
 26  any employee who receives an annual salary in excess of thirty  thousand
 
 27  dollars,  or  any  board member, partner, or officer of such provider of
 
 28  services who has a direct or indirect interest either financial or bene-
 
                                        197                        13001-04-9
 
  1  ficial in such property including the interest of any person for whom he
 
  2  or she is related by consanguinity  or  affinity,  shall  disclose  such
 
  3  interest  prior to the making of such agreement or at the time of acqui-
 
  4  sition  of  such interest.  Disclosure pursuant to this section shall be
 
  5  made in writing to the board of directors of such provider  of  services
 
  6  and  shall  indicate  the  material facts as to the member’s, partner’s,
 
  7  officer’s, employee’s or relative’s interest in such property or cooper-
 
  8  ative share. Such disclosure shall be filed with the  secretary  of  the
 
  9  corporation  and  entered on the minutes of a meeting of the board. Such
 
 10  disclosure shall also be forwarded in writing to the commissioner  prior
 
 11  to the approval of public funding related to the property or cooperative
 
 12  share  which  is the subject of disclosure made pursuant to this section
 
 13  or at the time of the acquisition of  such  interest,  whichever  occurs
 
 14  later.
 
 15  § 32.37 Registration and notification of boards of directors or trustees
 
 16            of  certain  voluntary  not-for-profit  facilities  or  corpo-
 
 17            rations.
 
 18    (a) Notwithstanding any other law, rule, or regulation, the  executive
 
 19  director, chairperson or president of a voluntary, not-for-profit corpo-
 
 20  ration which has been issued an operating certificate by or has received
 
 21  funding from the office of alcoholism and substance abuse services shall
 
 22  furnish  annually to the commissioner of such office a list of the names
 
 23  and addresses of the current members of the board of directors or  trus-
 
 24  tees of such corporation. Failure to furnish such annual list may remove
 
 25  such corporation from consideration for recertification or refunding.
 
 26    (b)  In  the  event  that  such provider of services is found to be in
 
 27  violation of the provisions of this chapter or of rules and  regulations
 
 28  promulgated  by  the  commissioner  pursuant to this chapter which could
 
                                        198                        13001-04-9
 
  1  result in the revocation, cancellation, limitation or suspension of  the
 
  2  operating certificate of such provider of services and if notice of such
 
  3  violation is provided to the provider of services pursuant to such regu-
 
  4  lations,  a copy of such notice shall be provided to each of the current
 
  5  members of the board of  directors  or  trustees  of  such  provider  of
 
  6  services by the commissioner.
 
  7    (c) Within available appropriations, within the first year of appoint-
 
  8  ment of a member to a board of directors of a provider of services which
 
  9  has been issued an operating certificate by or has received funding from
 
 10  the  office of alcoholism and substance abuse services, the commissioner
 
 11  shall ensure that each new member is appropriately provided with  infor-
 
 12  mation,  which  may  include training, to carry out his or her role as a
 
 13  member of a board of directors of such provider of services pursuant  to
 
 14  article seven of the not-for-profit corporation law and applicable laws,
 
 15  rules  and  regulations  governing  the operation of chemical dependence
 
 16  services. Training shall be provided for all new  members  of  organiza-
 
 17  tions  established  to  provide  or facilitate the provision of chemical
 
 18  dependence services, as appropriate, upon  initial  appointment  and  as
 
 19  frequently thereafter as determined by the commissioner.
 
 20  § 32.39 Fiscal year report.
 
 21    (a)  Every  provider of chemical dependence services which is required
 
 22  to have an operating certificate pursuant to this chapter  shall  within
 
 23  one hundred twenty days after the end of its fiscal year, file an annual
 
 24  report  with  the  commissioner.  Said  report shall be in such form and
 
 25  shall contain such information as shall be prescribed  in  rule  by  the
 
 26  commissioner, including the following:
 
                                        199                        13001-04-9
 
  1    1.  A  balance  sheet of the program as of the end of its fiscal year,
 
  2  setting forth assets and liabilities at such date, including  all  capi-
 
  3  tal, surplus, reserve depreciation and similar accounts.
 
  4    2.  A  statement  of  operations  of  the program for its fiscal year,
 
  5  setting forth all revenues, expenses,  taxes,  extraordinary  items  and
 
  6  other credits or charges.
 
  7    3.  To  the  extent  known  or  reasonably ascertainable, the name and
 
  8  address of each of the following persons:
 
  9    (i) the operator of the program;
 
 10    (ii) any person who, directly or  indirectly,  beneficially  owns  any
 
 11  interest in the land in which the program is located;
 
 12    (iii)  any  person  who, directly or indirectly, beneficially owns any
 
 13  interest in the building in which the program is located;
 
 14    (iv) any person who, directly or  indirectly,  beneficially  owns  any
 
 15  interest  in  or  any  mortgage, note, deed of trust or other obligation
 
 16  secured in whole or in part by the land on  which  or  the  building  in
 
 17  which the program is located;
 
 18    (v) any person who, directly or indirectly, has any interest as lessor
 
 19  or lessee in any lease or sub-lease of the land on which the building in
 
 20  which the program is located; and
 
 21    (vi)  if  the  names  of  any of the above are not known or reasonably
 
 22  ascertainable by the provider, then  a  statement  explaining  why  such
 
 23  names  are  not  ascertainable  and a description of the efforts made to
 
 24  ascertain such information.
 
 25    4. If the program or any person  named  in  response  to  subparagraph
 
 26  (iii)  of paragraph three of this subdivision is a partnership, then the
 
 27  name and address of each partner.
 
                                        200                        13001-04-9
 
  1    5. If the program or any person named in response to the  subparagraph
 
  2  (iii)  of  paragraph  three  of this subdivision is a corporation, other
 
  3  than a corporation whose shares are  traded  on  a  national  securities
 
  4  exchange  or are regularly quoted in an over-the-counter market or which
 
  5  is a commercial bank, savings bank or savings and loan association, then
 
  6  the  name  and  address  of each officer, director, stockholder, and, if
 
  7  known, each principal stockholder and controlling person of such  corpo-
 
  8  ration.
 
  9    6. If any corporation named in response to subparagraph (iii) of para-
 
 10  graph three of this subdivision is a corporation whose shares are traded
 
 11  on  a  national  securities exchange or are regularly quoted in an over-
 
 12  the-counter market or which  is  a  commercial  bank,  savings  bank  or
 
 13  savings and loan association, then the name and address of the principal
 
 14  executive  officers  and  each  director  and,  if known, each principal
 
 15  stockholder of such corporation.
 
 16    7. If the program paid  or  received  an  aggregate  of  five  hundred
 
 17  dollars  or  more during the fiscal year in connection with transactions
 
 18  with any person named in response to subparagraph (iii), (iv), or (v) of
 
 19  paragraph three of this subdivision or any affiliate of said  person,  a
 
 20  description of the transactions, naming the parties thereto and describ-
 
 21  ing the relationships which require the transactions to be described and
 
 22  the  goods,  services,  payment  or other consideration received by each
 
 23  party to the transactions.
 
 24    8. If known, the nature and amount of any interest in, or relationship
 
 25  with, any other program for chemical  dependence,  held  by  any  person
 
 26  named  in  response  to  subparagraph  (iii)  of paragraph three of this
 
 27  subdivision or by any affiliate of such person.
 
                                        201                        13001-04-9
 
  1    (b) The following definitions shall be applicable to this section  and
 
  2  to any reports filed pursuant hereto:
 
  3    1. "Affiliate" means:
 
  4    (i) with respect to a partnership, each partner thereof;
 
  5    (ii)  with respect to a corporation, each officer, director, principal
 
  6  stockholder and controlling person thereof;
 
  7    (iii) with respect to  a  natural  person  (A)  each  member  of  said
 
  8  person’s  immediate family, (B) each partnership and each partner there-
 
  9  of, and (C) each corporation in which said person or  any  affiliate  of
 
 10  said  person  is an officer, director, principal stockholder or control-
 
 11  ling person.
 
 12    2. "Controlling person" of any corporation, partnership or other enti-
 
 13  ty means any person who by reason of  a  direct  or  indirect  ownership
 
 14  interest  (whether  of  record  or  beneficial)  has the ability, acting
 
 15  either alone or in concert  with  others  with  ownership  interest,  to
 
 16  direct  or  cause  the  direction  of the management or policies of said
 
 17  corporation, partnership or other entity.  Neither the commissioner  nor
 
 18  any employee of the office nor any member of a local legislative body of
 
 19  a  county or municipality, nor any county or municipal official shall by
 
 20  reason of his or her official position, be deemed a  controlling  person
 
 21  of any corporation, partnership or other entity nor shall any person who
 
 22  serves  as  an  officer,  administrator  or other employee of any corpo-
 
 23  ration, partnership or other entity or as a member of a board of  direc-
 
 24  tors or trustees of any corporation be deemed to be a controlling person
 
 25  of  such  corporation,  partnership  or other entity as a result of such
 
 26  position or his or her official actions in such position.
 
                                        202                        13001-04-9
 
  1    3. "Immediate family" means parent, spouse,  child,  brother,  sister,
 
  2  first  cousin,  aunt and uncle of such person, whether such relationship
 
  3  arises by reason of birth, marriage or adoption.
 
  4    4. "Principal stockholder" of a corporation means any person who bene-
 
  5  ficially  owns,  holds  or has the power to vote, ten percent or more of
 
  6  any class of securities issued by said corporation.
 
  7    (c) The commissioner shall develop such reporting forms as he  or  she
 
  8  deems  necessary  to  carry  out  the  provisions of this section and in
 
  9  developing such forms shall consider  such  criteria  as  program  size,
 
 10  total operating budget and modality.
 
 11    (d)  Every  report  filed  by a program pursuant to this section shall
 
 12  contain a written statement, sworn to by or on behalf of  such  facility
 
 13  and  the  operator of such program, to the effect that the report is, to
 
 14  the best of such person’s knowledge, true and complete and  prepared  in
 
 15  accordance with the provisions of this section.
 
 16    §  19.  Subdivision (d) of section 41.18 of the mental hygiene law, as
 
 17  amended by chapter 588 of the laws of 1973 and such  section  as  renum-
 
 18  bered by chapter 978 of the laws of 1977, is amended to read as follows:
 
 19    (d)  The liability of the state in any state fiscal year for state aid
 
 20  pursuant to this section shall exclude chemical dependence services,  as
 
 21  defined  in  article  twenty-six  of this title and which are subject to
 
 22  such article, and shall be limited to the amounts appropriated for  such
 
 23  state aid by the legislature for such state fiscal year.
 
 24    §  20.  Subdivision (a) of section 41.23 of the mental hygiene law, as
 
 25  added by chapter 588 of the laws of 1973 and such section as  renumbered
 
 26  by chapter 978 of the laws of 1977, is amended to read as follows:
 
 27    (a) [Aggregate] With the exception of chemical dependence services, as
 
 28  defined  in  article  twenty-six of this title, and which are subject to
 
                                        203                        13001-04-9
 
  1  such article, aggregate costs incurred pursuant to an  approved  unified
 
  2  services  plan  shall  be  funded  pursuant  to  the  provisions of this
 
  3  section. For the purposes of this section, the  term  "aggregate  costs"
 
  4  shall mean the sum of net operating costs, as defined in section [11.03]
 
  5  41.03,  and  the  costs  of  services  rendered by department facilities
 
  6  pursuant to a unified services  plan.  Costs  of  services  rendered  by
 
  7  department  facilities  shall be determined on the basis of rates estab-
 
  8  lished pursuant to article forty-three, less all income received from or
 
  9  on behalf of such patient, or otherwise provided by law.
 
 10    § 21.  Section 43.02 of the mental hygiene law, as amended by  chapter
 
 11  223 of the laws of 1992, is amended to read as follows:
 
 12  §  43.02  Rates or methods of payment for services at facilities subject
 
 13            to licensure or certification by the office of mental  health,
 
 14            the  office  of mental retardation and developmental disabili-
 
 15            ties or the office of alcoholism and substance abuse services.
 
 16    (a) Notwithstanding any inconsistent provision of law, payment made by
 
 17  government agencies pursuant to title eleven  of  article  five  of  the
 
 18  social  services  law  for services provided by any facility licensed by
 
 19  the office of mental health pursuant to article thirty-one of this chap-
 
 20  ter or licensed or operated by the  office  of  mental  retardation  and
 
 21  developmental  disabilities  pursuant to article sixteen of this chapter
 
 22  or certified by the office of alcoholism and  substance  abuse  services
 
 23  pursuant  to  [article  thirty-one of] this chapter to provide inpatient
 
 24  chemical dependence services, as defined in section 1.03 of  this  chap-
 
 25  ter,  shall  be  at  rates  or fees certified by the commissioner of the
 
 26  respective office and approved by the director of the  division  of  the
 
 27  budget, provided, however, the commissioner of mental health shall annu-
 
 28  ally certify such rates or fees which may vary for distinct geographical
 
                                        204                        13001-04-9
 
  1  areas  of  the  state  and,  provided,  further,  that rates or fees for
 
  2  service for inpatient psychiatric services [or alcoholism  services]  or
 
  3  inpatient  chemical dependence services, at hospitals otherwise licensed
 
  4  pursuant  to  article  twenty-eight  of  the  public health law shall be
 
  5  established in accordance with section two thousand eight hundred  seven
 
  6  of the public health law.
 
  7    (b)  Operators  of  facilities licensed by the office of mental health
 
  8  pursuant to article thirty-one of this chapter, licensed by  the  office
 
  9  of mental retardation and developmental disabilities pursuant to article
 
 10  sixteen  of  this  chapter  or certified by the office of alcoholism and
 
 11  substance abuse services pursuant to [article thirty-one of] this  chap-
 
 12  ter  to  provide inpatient chemical dependence services shall provide to
 
 13  the commissioner of the respective office  such  financial,  statistical
 
 14  and  program  information as the commissioner may determine to be neces-
 
 15  sary.  The commissioner of the appropriate office shall have  the  power
 
 16  to conduct on-site audits of books and records of such facilities.
 
 17    (c)  The commissioner of the office of mental health, the commissioner
 
 18  of the office of mental retardation and developmental  disabilities  and
 
 19  the  commissioner  of  the  office  of  alcoholism  and  substance abuse
 
 20  services shall adopt rules and regulations to effectuate the  provisions
 
 21  of  this  section.  Such rules and regulations shall include, but not be
 
 22  limited to, provisions relating to:
 
 23    (i) the establishment of a uniform statewide  system  of  reports  and
 
 24  audits  relating  to  the quality of care provided, facility utilization
 
 25  and costs of providing services; such a  uniform  statewide  system  may
 
 26  provide  for  appropriate  variation in the application of the system to
 
 27  different classes or subclasses of facilities licensed by the office  of
 
 28  mental health pursuant to article thirty-one of this chapter or licensed
 
                                        205                        13001-04-9
 
  1  or  operated by the office of mental retardation and developmental disa-
 
  2  bilities pursuant to article sixteen of this chapter,  or  certified  by
 
  3  the office of alcoholism and substance abuse services pursuant to [arti-
 
  4  cle thirty-one of] this chapter to provide inpatient chemical dependence
 
  5  services; and
 
  6    (ii) methodologies used in the establishment of the schedules of rates
 
  7  or fees pursuant to this section.
 
  8    §  22.  Paragraph  (n) of subdivision 2 of section 365-a of the social
 
  9  services law, as added by chapter 743 of the laws of 1986, is amended to
 
 10  read as follows:
 
 11    (n) care, treatment,  maintenance  and  rehabilitation  services  that
 
 12  would  otherwise  qualify  for reimbursement pursuant to this chapter to
 
 13  persons suffering from alcoholism in alcoholism facilities  or  chemical
 
 14  dependence,  as  such  term  is  defined  in  section 1.03 of the mental
 
 15  hygiene law, in inpatient chemical dependence facilities,  services,  or
 
 16  programs operated in compliance with applicable provisions of this chap-
 
 17  ter  and the mental hygiene law, and certified by the [division of alco-
 
 18  holism and alcohol abuse]  office  of  alcoholism  and  substance  abuse
 
 19  services,  provided  however that such services shall be limited to such
 
 20  periods of time as may be determined  necessary  in  accordance  with  a
 
 21  utilization  review procedure established by the [director] commissioner
 
 22  of the [division of alcoholism and alcohol abuse] office  of  alcoholism
 
 23  and  substance  abuse services and provided further, that this paragraph
 
 24  shall not apply to any hospital or part of  a  hospital  as  defined  in
 
 25  section two thousand eight hundred one of the public health law.
 
 26    §  23.  Paragraphs  (u)  and  (v) of section 404 of the not-for-profit
 
 27  corporation law, as amended by chapter 139 of the laws of  1993  and  as
 
                                        206                        13001-04-9
 
  1  relettered  by  chapter  431 of the laws of 1993, are amended to read as
 
  2  follows:
 
  3    (u)  Every  certificate  of  incorporation  which  includes  among the
 
  4  purposes of  the  corporation,  the  establishment  or  operation  of  a
 
  5  substance  abuse,  substance  dependence,  alcohol abuse, alcoholism, or
 
  6  chemical abuse or dependence program, or the  solicitation  of  contrib-
 
  7  utions  for  any  such  purpose,  shall have endorsed thereon or annexed
 
  8  thereto the consent of the commissioner of the office of alcoholism  and
 
  9  substance abuse services to its filing by the department of state.
 
 10    [(v)  Every  certificate  of  incorporation  which  includes among the
 
 11  purposes of the corporation, the establishment or operation  of  facili-
 
 12  ties  for providing alcoholism services, or the solicitation of contrib-
 
 13  utions for any such purpose, shall  have  endorsed  thereon  or  annexed
 
 14  thereto  the consent of the commissioner of the office of alcoholism and
 
 15  substance abuse services to its filing by the department of state.]
 
 16    § 24. Section 406 of the business corporation law, as added by chapter
 
 17  211 of the laws of 1984, is amended to read as follows:
 
 18  § 406. Filing of a certificate of incorporation; facility for alcoholism
 
 19           or alcohol abuse, substance  abuse,  substance  dependence,  or
 
 20           chemical abuse or dependence.
 
 21    Every  certificate of incorporation which includes among its corporate
 
 22  purposes the establishment or operation of a  program  of  services  for
 
 23  alcoholism  or  alcohol abuse, substance abuse, substance dependence, or
 
 24  chemical abuse or dependence shall  have  endorsed  thereon  or  annexed
 
 25  thereto  the approval of the [director] commissioner of the state [divi-
 
 26  sion] office of alcoholism and [alcohol] substance abuse services.
 
 27    § 25. Section 407 of the business corporation law is REPEALED.
 
                                        207                        13001-04-9
 
  1    § 26. Subdivision 14 of section 2 of the correction law, as  added  by
 
  2  chapter 554 of the laws of 1986, is amended to read as follows:
 
  3    14.  "Community  treatment  facility." A residential [substance abuse]
 
  4  chemical dependence facility approved as provided in  section  32.01  of
 
  5  the  mental  hygiene  law  or  pursuant to section [23.01] 32.31 of [the
 
  6  mental hygiene] such law used exclusively  to  provide  substance  abuse
 
  7  treatment services to persons eligible pursuant to section seventy-two-a
 
  8  of  this  chapter  and  who are otherwise eligible for temporary release
 
  9  pursuant to subdivision two of section eight hundred fifty-one  of  this
 
 10  chapter.  These  facilities  shall be separate and distinct so as not to
 
 11  replace existing substance abuse treatment services.
 
 12    § 27. Paragraphs 6 and 7 of subsection (l)  of  section  3221  of  the
 
 13  insurance  law,  as amended by chapter 444 of the laws of 1987, subpara-
 
 14  graph (A) of paragraph 6 as amended by chapter 21 of the laws  of  1990,
 
 15  are amended to read as follows:
 
 16    (6)  (A)  Every insurer delivering a group or school blanket policy or
 
 17  issuing a group or school blanket policy for delivery,  in  this  state,
 
 18  which  provides coverage for inpatient hospital care must make available
 
 19  and, if requested by the policyholder, provide coverage for the  diagno-
 
 20  sis  and  treatment  of  [alcoholism  or  alcohol]  chemical  abuse  and
 
 21  [substance abuse or substance] chemical dependence, however  defined  in
 
 22  such  policy, provided, however, that the term chemical abuse shall mean
 
 23  and include alcohol and substance abuse and  chemical  dependence  shall
 
 24  mean and include alcoholism and substance dependence, however defined in
 
 25  such  policy.  Written notice of the availability of such coverage shall
 
 26  be delivered to the policyholder prior to inception of such group policy
 
 27  and annually thereafter, except that this notice shall not  be  required
 
 28  where a policy covers two hundred or more employees or where the benefit
 
                                        208                        13001-04-9
 
  1  structure was the subject of collective bargaining affecting persons who
 
  2  are employed in more than one state.
 
  3    (B) Such coverage shall be at least equal to the following:
 
  4    (i)  with  respect  to benefits for detoxification as a consequence of
 
  5  [alcohol dependence or substance] chemical dependence,  inpatient  bene-
 
  6  fits  in  a  hospital or a detoxification facility may not be limited to
 
  7  less than seven days of active treatment in any calendar year; and
 
  8    (ii) with respect to benefits for rehabilitation services, such  bene-
 
  9  fits  may  not  be limited to less than thirty days of inpatient care in
 
 10  any calendar year.
 
 11    (C) Such coverage may be limited to facilities in New York state which
 
 12  are certified by the [division] office of alcoholism and [alcohol  abuse
 
 13  or  the  division  of] substance abuse services and, in other states, to
 
 14  those which are accredited by the joint commission on  accreditation  of
 
 15  hospitals  as alcoholism [or substance abuse], substance abuse or chemi-
 
 16  cal dependence treatment programs. [Persons whose primary  diagnosis  is
 
 17  alcohol  abuse or alcoholism may be treated only in a facility certified
 
 18  by the division of alcoholism and alcohol abuse. Persons  whose  primary
 
 19  diagnosis is substance abuse or substance dependence may be treated only
 
 20  in a facility approved by the division of substance abuse services.]
 
 21    (D)  Such coverage shall be made available at the inception of all new
 
 22  policies and with respect to all other policies at any anniversary  date
 
 23  of the policy subject to evidence of insurability.
 
 24    (E)  Such  coverage  may be subject to annual deductibles and co-insu-
 
 25  rance as may  be  deemed  appropriate  by  the  superintendent  and  are
 
 26  consistent  with  those imposed on other benefits within a given policy.
 
 27  Further, each insurer shall report to the superintendent each  year  the
 
 28  number  of contract holders to whom it has issued policies for the inpa-
 
                                        209                        13001-04-9
 
  1  tient treatment of [alcoholism] chemical dependence, and the approximate
 
  2  number of persons covered by such policies.
 
  3    (F)  Such  coverage  shall not replace, restrict or eliminate existing
 
  4  coverage provided by the policy.
 
  5    (7) Every insurer delivering a group or school blanket policy or issu-
 
  6  ing a group or school blanket policy for delivery in  this  state  which
 
  7  provides  coverage for inpatient hospital care must provide coverage for
 
  8  at least sixty outpatient visits in any calendar year for the  diagnosis
 
  9  and  treatment of [alcoholism or substance abuse] chemical dependence of
 
 10  which up to twenty may be for family members, except that this provision
 
 11  shall not apply to a policy which covers persons employed in  more  than
 
 12  one  state  or the benefit structure of which was the subject of collec-
 
 13  tive bargaining affecting persons who are  employed  in  more  than  one
 
 14  state.  Such  coverage  may  be  limited to facilities in New York state
 
 15  which are certified by the [division of] office of alcoholism and [alco-
 
 16  hol abuse or by the division of] substance abuse services as  outpatient
 
 17  clinics or medically supervised ambulatory substance abuse programs and,
 
 18  in  other  states, to those which are accredited by the joint commission
 
 19  on accreditation of  hospitals  as  alcoholism  or  chemical  dependence
 
 20  treatment programs. [Persons whose primary diagnosis is alcohol abuse or
 
 21  alcoholism  may  be treated only in a facility certified by the division
 
 22  of alcoholism and alcohol abuse.  Persons  whose  primary  diagnosis  is
 
 23  substance abuse or substance dependence may be treated only in a facili-
 
 24  ty  approved by the division of substance abuse services.] Such coverage
 
 25  may be subject to annual deductibles and co-insurance as may  be  deemed
 
 26  appropriate  by the superintendent and are consistent with those imposed
 
 27  on other benefits  within  a  given  policy.  Such  coverage  shall  not
 
                                        210                        13001-04-9
 
  1  replace,  restrict, or eliminate existing coverage provided by the poli-
 
  2  cy.
 
  3    §  28.  Subsections  (k) and (l) of section 4303 of the insurance law,
 
  4  subsection (k) as amended  by  chapter  21  of  the  laws  of  1990  and
 
  5  subsection  (l)  as  amended  by  chapter  444  of the laws of 1987, are
 
  6  amended to read as follows:
 
  7    (k) A hospital service corporation or  a  health  service  corporation
 
  8  which  provides  group,  group remittance or school blanket coverage for
 
  9  inpatient hospital care must make available  and  if  requested  by  the
 
 10  contract  holder  provide  coverage  for  the diagnosis and treatment of
 
 11  [alcoholism  and  alcohol]  chemical  abuse  and  [substance  abuse  and
 
 12  substance]   chemical   dependence,  however  defined  in  such  policy,
 
 13  provided, however, that the term chemical abuse shall mean  and  include
 
 14  alcohol  and  substance  abuse  and  chemical  dependence shall mean and
 
 15  include alcoholism and substance dependence,  however  defined  in  such
 
 16  policy,  except  that  this  provision shall not apply to a policy which
 
 17  covers persons employed in more than one state or the benefit  structure
 
 18  of  which was the subject of collective bargaining affecting persons who
 
 19  are employed in more than one state. Such coverage  shall  be  at  least
 
 20  equal  to the following: (1) with respect to benefits for detoxification
 
 21  as a consequence of [alcohol dependence or substance]  chemical  depend-
 
 22  ence, inpatient benefits for care in a hospital or detoxification facil-
 
 23  ity  may  not  be limited to less than seven days of active treatment in
 
 24  any calendar year; and (2) with respect to benefits for inpatient  reha-
 
 25  bilitation services, such benefits may not be limited to less than thir-
 
 26  ty days of inpatient rehabilitation in a hospital based or free standing
 
 27  [alcoholism]  chemical  dependence  facility  in any calendar year. Such
 
 28  coverage may be limited to facilities in New York state which are certi-
 
                                        211                        13001-04-9
 
  1  fied by the [division] office of alcoholism and [alcohol  abuse  or  the
 
  2  division  of]  substance  abuse  services and, in other states, to those
 
  3  which are accredited by the joint commission on accreditation of  hospi-
 
  4  tals  as alcoholism [or], substance abuse, or chemical dependence treat-
 
  5  ment programs. Such coverage shall be made available at the inception of
 
  6  all new policies and with respect to policies issued before  the  effec-
 
  7  tive date of this subsection at the first annual anniversary date there-
 
  8  after,  without  evidence  of  insurability and at any subsequent annual
 
  9  anniversary date subject to evidence  of  insurability.  [Persons  whose
 
 10  primary  diagnosis is alcohol abuse or alcoholism may be treated only in
 
 11  a facility certified by the division of alcoholism  and  alcohol  abuse.
 
 12  Persons  whose primary diagnosis is substance abuse or substance depend-
 
 13  ence may be treated only in a  facility  approved  by  the  division  of
 
 14  substance abuse services.] Such coverage may be subject to annual deduc-
 
 15  tibles  and co-insurance as may be deemed appropriate by the superinten-
 
 16  dent and are consistent with those imposed on other  benefits  within  a
 
 17  given  policy.  Further,  each  hospital  service  corporation or health
 
 18  service corporation shall report to the  superintendent  each  year  the
 
 19  number  of contract holders to whom it has issued policies for the inpa-
 
 20  tient treatment of [alcoholism] chemical dependence, and the approximate
 
 21  number of persons covered by such  policies.  Such  coverage  shall  not
 
 22  replace, restrict or eliminate existing coverage provided by the policy.
 
 23  Written  notice  of the availability of such coverage shall be delivered
 
 24  to the group remitting agent or group contract holder prior to inception
 
 25  of such contract and annually thereafter, except that this notice  shall
 
 26  not  be  required where a policy covers two hundred or more employees or
 
 27  where the benefit structure was the  subject  of  collective  bargaining
 
 28  affecting persons who are employed in more than one state.
 
                                        212                        13001-04-9
 
  1    (l)  A  hospital  service  corporation or a health service corporation
 
  2  which provides group, group remittance or school  blanket  coverage  for
 
  3  inpatient  hospital care must provide coverage for at least sixty outpa-
 
  4  tient visits in any calendar year for the  diagnosis  and  treatment  of
 
  5  [alcoholism or substance abuse] chemical dependence of which up to twen-
 
  6  ty may be for family members, except that this provision shall not apply
 
  7  to  a  contract  issued  pursuant to section four thousand three hundred
 
  8  five of this article which covers persons  employed  in  more  than  one
 
  9  state  or  the  benefit structure of which was the subject of collective
 
 10  bargaining affecting persons who are employed in more  than  one  state.
 
 11  Such  coverage  may be limited to facilities in New York state which are
 
 12  certified by the [division of] office of alcoholism and  [alcohol  abuse
 
 13  or by the division of] substance abuse services as outpatient clinics as
 
 14  medically  supervised  ambulatory substance abuse programs and, in other
 
 15  states, to those which are accredited by the joint commission on accred-
 
 16  itation of hospitals as  alcoholism  or  chemical  dependence  substance
 
 17  abuse  treatment  programs.  [Persons whose primary diagnosis is alcohol
 
 18  abuse or alcoholism may be treated only in a facility certified  by  the
 
 19  division  of alcoholism and alcohol abuse. Persons whose primary diagno-
 
 20  sis is substance abuse or substance dependence may be treated only in  a
 
 21  facility  approved  by  the  division of substance abuse services.] Such
 
 22  coverage may be subject to annual deductibles and co-insurance as may be
 
 23  deemed appropriate by the superintendent and are consistent  with  those
 
 24  imposed on other benefits within a given policy. Such coverage shall not
 
 25  replace, restrict or eliminate existing coverage provided by the policy.
 
 26    § 29. Subsections (e) and (g) of section 4900 of the insurance law, as
 
 27  added  by  chapter  705  of  the  laws  of  1996, are amended to read as
 
 28  follows:
 
                                        213                        13001-04-9
 
  1    (e) "Health care services" means health care procedures, treatments or
 
  2  services provided by a facility licensed  pursuant  to  article  twenty-
 
  3  eight, thirty-six, forty-four or forty-seven of the public health law; a
 
  4  facility  licensed  pursuant  to article nineteen, or twenty-three [or],
 
  5  thirty-one  or  thirty-two  of  the  mental  hygiene  law; a health care
 
  6  professional; and the provision of pharmaceutical products  or  services
 
  7  or  durable  medical equipment; provided that nothing in this subsection
 
  8  shall be construed to define what are covered  services  pursuant  to  a
 
  9  contract.
 
 10    (g)  "Health  care  provider"  means  a  health care professional or a
 
 11  facility licensed pursuant to article twenty-eight,  thirty-six,  forty-
 
 12  four  or  forty-seven  of  the  public health law or a facility licensed
 
 13  pursuant to article nineteen, twenty-three [or], thirty-one  or  thirty-
 
 14  two of the mental hygiene law.
 
 15    §  30.  Subdivision  6  of  section 1.03 of the mental hygiene law, as
 
 16  amended by chapter 299 of the laws  of  1984,  is  amended  to  read  as
 
 17  follows:
 
 18    6. "Facility" means any place in which services for the mentally disa-
 
 19  bled  are  provided  and  includes  but  is not limited to a psychiatric
 
 20  center, developmental center, institute, clinic, ward,  institution,  or
 
 21  building,  except  that  in the case of a hospital as defined in article
 
 22  twenty-eight of the public health law it shall mean only a  ward,  wing,
 
 23  unit,  or  part  thereof  which is operated for the purpose of providing
 
 24  services for the mentally disabled. It shall not include a  place  where
 
 25  the services rendered consist solely of non-residential services for the
 
 26  mentally disabled which are exempt from the requirement for an operating
 
 27  certificate under article sixteen [or], thirty-one or thirty-two of this
 
                                        214                        13001-04-9
 
  1  chapter,  nor  shall it include domestic care and comfort to a person in
 
  2  the home.
 
  3    §  31.  Subdivision  31  of section 1.03 of the mental hygiene law, as
 
  4  added by chapter 978 of the laws of 1977, is amended to read as follows:
 
  5    31. "Discharge" means release and the  termination  of  any  right  to
 
  6  retain  or  treat  the  patient on an in-patient basis. The discharge of
 
  7  such a patient shall not preclude the patient from  receiving  necessary
 
  8  services  on other than an in-patient basis nor shall it preclude subse-
 
  9  quent readmission as an in-patient if made in  accordance  with  article
 
 10  nine, fifteen, or [twenty-one] twenty-two of this chapter.
 
 11    §  32.  Section  9.03 of the mental hygiene law, as amended by chapter
 
 12  867 of the laws of 1985, is amended to read as follows:
 
 13  § 9.03 Admission to a hospital.
 
 14    Unless otherwise specifically provided for by statute, a mentally  ill
 
 15  person shall be admitted to a hospital as an in-patient only pursuant to
 
 16  the  provisions  of  this  article,  except  that [alcoholic] chemically
 
 17  dependent patients may be admitted to [alcoholism]  chemical  dependence
 
 18  facilities  operated  by such hospitals under contract or agreement with
 
 19  the office of alcoholism and substance abuse services in accordance with
 
 20  the provisions of article [twenty-one] twenty-two of this chapter.   The
 
 21  section  of  the mental hygiene law under which a patient is admitted or
 
 22  under which any change of legal status is subsequently effected shall be
 
 23  stated in the patient’s record.
 
 24    § 33. Subdivision (a) of section 9.59 of the mental  hygiene  law,  as
 
 25  amended  by  chapter  678  of  the  laws  of 1994, is amended to read as
 
 26  follows:
 
 27    (a) Notwithstanding any inconsistent provision of any general, special
 
 28  or local law, an ambulance service as  defined  by  subdivision  two  of
 
                                        215                        13001-04-9
 
  1  section three thousand one of the public health law and any member ther-
 
  2  eof  who  is  an  emergency  medical technician or an advanced emergency
 
  3  medical technician transporting a person to a hospital as authorized  by
 
  4  this  article, any peace officers, when acting pursuant to their special
 
  5  duties, any police officers, who are members  of  an  authorized  police
 
  6  department  or  force  or  of a sheriff’s department, and any members of
 
  7  mobile crisis outreach teams approved by the  commissioner  pursuant  to
 
  8  section 9.58 of this article, who are taking into custody and transport-
 
  9  ing a person to a hospital as authorized by this article, or to a hospi-
 
 10  tal or other facility as authorized by section [21.09 or 23.02] 22.09 of
 
 11  this  chapter,  and any employee of a licensed comprehensive psychiatric
 
 12  emergency program, specially trained in accordance with standards devel-
 
 13  oped by the commissioner, who transports a person to a  hospital,  shall
 
 14  not be liable for damages for injuries alleged to have been sustained by
 
 15  such  person or for the death of such person alleged to have occurred by
 
 16  reason of an act or omission unless it is established that such injuries
 
 17  or such death was caused by gross negligence on the part of  such  emer-
 
 18  gency  medical  technician, advanced emergency medical technician, peace
 
 19  officer, police officer, mobile crisis outreach team member, or special-
 
 20  ly trained employee of a licensed  comprehensive  psychiatric  emergency
 
 21  program.
 
 22    §  34.  Subdivision (e) of section 19.05 of the mental hygiene law, as
 
 23  added by chapter 208 of the laws of 1996, is amended to read as follows:
 
 24    (e) The council shall review applications  filed  in  accordance  with
 
 25  section  [31.23  or  section  31.24]  32.29 or 32.31 of this chapter for
 
 26  approval of incorporation or establishment or construction of a facility
 
 27  for which approval to operate is required from the commissioner pursuant
 
 28  to article [thirty-one] thirty-two of this  chapter,  and  as  otherwise
 
                                        216                        13001-04-9
 
  1  requested  by  the  commissioner,  provided,  however, that such council
 
  2  shall complete review of applications for approval of  incorporation  or
 
  3  establishment or construction of a facility previously filed under arti-
 
  4  cle  thirty-one  of  this  chapter  prior  to the effective date of this
 
  5  section.  The commissioner shall ensure that members of the council have
 
  6  the information necessary to make an informed review.
 
  7    § 35. Paragraphs 1 and 2 of subdivision b  of  section  19.41  of  the
 
  8  mental  hygiene  law,  as  added  by  chapter 65 of the laws of 1997, is
 
  9  amended to read as follows:
 
 10    (1) Upon issuing a notice that the commissioner will revoke or suspend
 
 11  a license or operating certificate in accordance with this  article  and
 
 12  [section  23.01 or 31.15] article thirty-two of this chapter, or that he
 
 13  or she will disapprove an application of renewal of such certificate  or
 
 14  license  pursuant  to  this article and [section 23.01 or 31.15] article
 
 15  thirty-two of this chapter the commissioner may  apply  to  the  supreme
 
 16  court  in  the county where the facility is located for an order to show
 
 17  cause why a receiver should not be appointed to  operate  the  facility.
 
 18  The  court  shall,  upon determining that the notice was properly issued
 
 19  and that it would be in the best interests of the persons served by  the
 
 20  facility  to  have  services  continued  after the effective date of the
 
 21  revocation or suspension, appoint a receiver for the  facility  to  take
 
 22  effect upon the revocation or suspension of the operating certificate or
 
 23  license in accordance with the provisions of this article.
 
 24    The  order  to  show cause shall be returnable not less than five days
 
 25  after service is completed and shall provide for personal service  of  a
 
 26  copy  thereof  and  the papers upon which it is based on the operator of
 
 27  the facility and upon the owner or owners of the land and/or  owners  of
 
 28  the land and/or structure on or in which the facility is located. If any
 
                                        217                        13001-04-9
 
  1  such  operator  or  owner cannot with due diligence be served personally
 
  2  within the county where the property is  located  and  within  the  time
 
  3  fixed  in such order, then service may be made on such person by posting
 
  4  a  copy  thereof in a conspicuous place within the facility in question,
 
  5  and by sending  a  copy  thereof  by  registered  mail,  return  receipt
 
  6  requested,  to  such  owner at the last address registered to him or her
 
  7  with the office, or in the absence of such registration, to the  address
 
  8  set  forth  in  the  last  recorded  deed with respect to such facility.
 
  9  Service shall be deemed complete on filing proof of service  thereof  in
 
 10  the office of the county clerk, or the clerk of the city of New York, as
 
 11  the case may be.
 
 12    (2) The commissioner may, prior to suspending an operating certificate
 
 13  or license pursuant to this article and [section 23.01 or 31.15] article
 
 14  thirty-two  of  this  chapter,  request  a  temporary  restraining order
 
 15  appointing a receiver for a facility effective with  the  commissioner’s
 
 16  issuance  of  the  notice  of  the suspension. The court shall issue the
 
 17  temporary restraining order if it is satisfactorily shown by the commis-
 
 18  sioner that he or she has reasonable grounds for finding that  continued
 
 19  operation  of  the facility by the current provider of services presents
 
 20  an imminent danger to the health and welfare of any of the public or any
 
 21  of the individuals served by the facility.
 
 22    § 36. Paragraph 3 of subdivision (a) of section 33.16  of  the  mental
 
 23  hygiene  law,  as amended by chapter 226 of the laws of 1991, is amended
 
 24  to read as follows:
 
 25    3. "Facility" means a facility as defined  in  section  1.03  of  this
 
 26  chapter,  a program requiring approval for operation pursuant to article
 
 27  [twenty-three] thirty-two  of  this  chapter  or  institutions  offering
 
                                        218                        13001-04-9
 
  1  training  in  psychotherapy,  psychoanalysis and related areas chartered
 
  2  pursuant to section two hundred sixteen of the education law.
 
  3    §  37.  Paragraph  1 of subdivision (b) of section 81.22 of the mental
 
  4  hygiene law, as amended by chapter 32 of the laws of 1993, is amended to
 
  5  read as follows:
 
  6    1. consent to the voluntary formal or informal admission of the  inca-
 
  7  pacitated  person  to  a  mental  hygiene facility under article nine or
 
  8  fifteen of this chapter or to  [an  alcoholism]  a  chemical  dependence
 
  9  facility under article [twenty-one] twenty-two of this chapter;
 
 10    §  38.  Paragraph  (b)  of subdivision 1 of section 18-a of the public
 
 11  health law, as added by chapter 705 of the laws of 1996, is  amended  to
 
 12  read as follows:
 
 13    (b)  affiliation  with  any  health care facility licensed pursuant to
 
 14  article twenty-eight, thirty-six or forty-four of this chapter, and  any
 
 15  facility licensed pursuant to article nineteen, twenty-three [or], thir-
 
 16  ty-one or thirty-two of the mental hygiene law;
 
 17    §  39.  Paragraph  (h)  of  subdivision 2 of section 586 of the public
 
 18  health law, as added by chapter 803 of the laws of 1992, is  amended  to
 
 19  read as follows:
 
 20    (h)  A  substance  abuse or chemical dependence program which has been
 
 21  approved to operate by the office  of  alcoholism  and  substance  abuse
 
 22  services  pursuant  to the provision of section 23.01 or article thirty-
 
 23  two of the mental hygiene law on behalf of clients  of  such  a  program
 
 24  having been the recipient of the services; and
 
 25    § 40. Subdivision 5 of section 3351 of the public health law, as added
 
 26  by chapter 433 of the laws of 1986, is amended to read as follows:
 
 27    5.  Methadone,  or  such  other controlled substance designated by the
 
 28  commissioner as appropriate for such use,  may  be  administered  to  an
 
                                        219                        13001-04-9
 
  1  addict  by  a  practitioner  or by his designated agent acting under the
 
  2  direction and supervision of a practitioner,  as  part  of  a  substance
 
  3  abuse  or chemical dependence program approved pursuant to article twen-
 
  4  ty-three or thirty-two of the mental hygiene law.
 
  5    § 41. Subdivision 1 of section 3352 of the public health law, as added
 
  6  by chapter 433 of the laws of 1986, is amended to read as follows:
 
  7    1. Persons certified pursuant to article twenty-three or thirty-two of
 
  8  the  mental  hygiene  law  to  operate  methadone  maintenance treatment
 
  9  programs  shall  keep  records  showing  the  receipt,   administration,
 
 10  dispensing, or destruction of all controlled substances and maintain the
 
 11  records  in  such  manner and detail as the commissioner, by regulation,
 
 12  shall require.
 
 13    § 42. Paragraph (b) of subdivision 2 of section 4408-a of  the  public
 
 14  health  law,  as added by chapter 639 of the laws of 1996, is amended to
 
 15  read as follows:
 
 16    (b) "Provider" means an entity licensed  or  certified  under  article
 
 17  twenty-eight or thirty-six of this chapter; an entity licensed or certi-
 
 18  fied  under article sixteen, twenty-three [or], thirty-one or thirty-two
 
 19  of the mental hygiene law; or a health care practitioner, or combination
 
 20  of health care practitioners, licensed under title eight of  the  educa-
 
 21  tion law. Every provider shall be: (i) a natural person; (ii) a partner-
 
 22  ship  all of whose members are natural persons and that is not a limited
 
 23  partnership; or (iii) a corporation none of  whose  stock  is  owned  by
 
 24  another corporation.
 
 25    §  43.  Subdivisions 5 and 7 of section 4900 of the public health law,
 
 26  as added by chapter 705 of the laws of  1996,  is  amended  to  read  as
 
 27  follows:
 
                                        220                        13001-04-9
 
  1    5.  "Health care services" means health care procedures, treatments or
 
  2  services provided by a facility licensed  pursuant  to  article  twenty-
 
  3  eight, thirty-six, forty-four or forty-seven of this chapter; a facility
 
  4  licensed  pursuant to article nineteen, twenty-three [or], thirty-one or
 
  5  thirty-two  of  the  mental hygiene law; a health care professional; and
 
  6  the provision of pharmaceutical products or services or durable  medical
 
  7  equipment;  provided that nothing in this subdivision shall be construed
 
  8  to define what are covered services pursuant to a subscriber contract.
 
  9    7. "Health care provider" means a health care professional or a facil-
 
 10  ity licensed pursuant to articles twenty-eight,  thirty-six,  forty-four
 
 11  or  forty-seven of this chapter or a facility licensed pursuant to arti-
 
 12  cle nineteen, twenty-three [or], thirty-one or thirty-two of the  mental
 
 13  hygiene law.
 
 14    §  44.  Subdivision  21  of  section  2 of the social services law, as
 
 15  amended by chapter 779 of the laws  of  1986,  is  amended  to  read  as
 
 16  follows:
 
 17    21.  Adult  care  facility shall mean a family type home for adults, a
 
 18  shelter for adults, a residence for adults, an enriched housing  program
 
 19  or an adult home, which provides temporary or long-term residential care
 
 20  and  services  to  adults who, though not requiring continual medical or
 
 21  nursing care as provided by  facilities  licensed  pursuant  to  article
 
 22  twenty-eight of the public health law or articles nineteen, twenty-three
 
 23  [and],  thirty-one  and  thirty-two  of  the  mental hygiene law, are by
 
 24  reason of physical or other limitations associated with age, physical or
 
 25  mental disabilities or other factors, unable or substantially unable  to
 
 26  live independently.  In addition, a residence for adults, enriched hous-
 
 27  ing  program  or  an adult home may provide services to non-residents in
 
                                        221                        13001-04-9
 
  1  accordance with the provisions of section four  hundred  sixty-one-k  of
 
  2  this chapter.
 
  3    §  45.  Subparagraph  (i) of paragraph (a) of subdivision 4 of section
 
  4  364-j of the social services law, as amended by chapter 649 of the  laws
 
  5  of 1996, is amended to read as follows:
 
  6    (i) a managed care provider shall arrange for access to and enrollment
 
  7  of  primary  care  practitioners  and  other medical services providers.
 
  8  Each managed care provider shall possess the  expertise  and  sufficient
 
  9  resources to assure the delivery of quality medical care to participants
 
 10  in  an  appropriate  and timely manner and may include physicians, nurse
 
 11  practitioners, county health  departments,  providers  of  comprehensive
 
 12  health  service  plans  licensed  pursuant  to article forty-four of the
 
 13  public health law, and hospitals and diagnostic  and  treatment  centers
 
 14  licensed  pursuant  to  article twenty-eight of the public health law or
 
 15  otherwise authorized by law to offer comprehensive  health  services  or
 
 16  facilities  licensed  pursuant  to articles sixteen, twenty-three [and],
 
 17  thirty-one and thirty-two of the mental hygiene law.
 
 18    § 46. Subdivision 1 of section 460-a of the social  services  law,  as
 
 19  amended  by  chapter  543  of  the  laws  of 1996, is amended to read as
 
 20  follows:
 
 21    1. Unless the written approval  of  the  department  shall  have  been
 
 22  endorsed  on  or  annexed  to  a  certificate  of incorporation, no such
 
 23  certificate shall hereafter be filed which includes among its  corporate
 
 24  purposes  the  care  of  destitute,  delinquent, abandoned, neglected or
 
 25  dependent children; the establishment or  operation  of  any  aged  care
 
 26  accommodation,  as  defined in the private housing finance law, or adult
 
 27  care facility; the placing-out or boarding-out of children,  as  defined
 
 28  in this chapter; the establishment or operation of a home or shelter for
 
                                        222                        13001-04-9
 
  1  unmarried  mothers  or  a  residential  program  for victims of domestic
 
  2  violence, as defined in subdivision four of section four hundred  fifty-
 
  3  nine-a  of  this  chapter;  or the solicitation of contributions for any
 
  4  such  purpose  or  purposes, provided, however, that the approval of the
 
  5  department shall not be required for filing of a certificate of incorpo-
 
  6  ration which is restricted in its statement of corporate purposes to the
 
  7  establishment or operation of a facility for which an operating  certif-
 
  8  icate  is required by article twenty-three, nineteen [or], thirty-one or
 
  9  thirty-two of the mental hygiene law, or to the establishment or  opera-
 
 10  tion  of  a hospital, residential health care facility, or a home health
 
 11  agency, as those terms are defined in article twenty-eight of the public
 
 12  health law.
 
 13    § 47. Paragraph (a) of subdivision 9 of section 460-d  of  the  social
 
 14  services  law, as amended by chapter 733 of the laws of 1994, is amended
 
 15  to read as follows:
 
 16    (a) The department shall have authority to impose a civil penalty  not
 
 17  exceeding  one  thousand  dollars per day against, and to issue an order
 
 18  requiring the closing of, after notice and opportunity to be heard,  any
 
 19  facility  which does not possess a valid operating certificate issued by
 
 20  the department and is an adult care facility subject to  the  provisions
 
 21  of  this  article and the regulations of the department. A hearing shall
 
 22  be conducted in accordance with  procedures  established  by  department
 
 23  regulations  which  procedures shall require that notice of the determi-
 
 24  nation that the facility is an adult care facility and the  reasons  for
 
 25  such  determination  and  notice of the time and place of the hearing be
 
 26  served in person on the operator, owner or prime lessor, if any,  or  by
 
 27  certified  mail,  return receipt requested, addressed to such person and
 
 28  received at least twenty days prior to the date of the hearing. If  such
 
                                        223                        13001-04-9
 
  1  operator, owner or prime lessor, if any, is not known to the department,
 
  2  then  service  may  be  made  by posting a copy thereof in a conspicuous
 
  3  place within the facility or by sending  a  copy  thereof  by  certified
 
  4  mail,  return  receipt  requested,  addressed to the facility. A written
 
  5  answer to the notice of violation may be filed with the  department  not
 
  6  less  than  five days prior to the date of the hearing. Demonstration by
 
  7  the facility that it possessed an operating certificate issued  pursuant
 
  8  to  this article, article twenty-eight of the public health law or arti-
 
  9  cle sixteen, twenty-three [or], thirty-one or thirty-two of  the  mental
 
 10  hygiene  law  at  the  time the hearing was commenced shall constitute a
 
 11  complete defense to any charges made pursuant to this subdivision.
 
 12    § 48. Subdivision 6 of section 461-c of the social  services  law,  as
 
 13  added by chapter 601 of the laws of 1981, is amended to read as follows:
 
 14    6. No adult care facility shall receive or retain any person who is in
 
 15  need  of  continual  medical  or  nursing care as provided by facilities
 
 16  licensed pursuant to article twenty-eight of the public  health  law  or
 
 17  articles  nineteen, twenty-three [and], thirty-one and thirty-two of the
 
 18  mental hygiene law.
 
 19    § 49. Paragraph (b) of subdivision 2 of  section  462  of  the  social
 
 20  services  law, as amended by chapter 169 of the laws of 1981, is amended
 
 21  to read as follows:
 
 22    (b) The appropriate offices of the state department of mental  hygiene
 
 23  shall  establish regulations governing all child care facilities subject
 
 24  to articles twenty-three [and], thirty-one and thirty-two of the  mental
 
 25  hygiene law.
 
 26    §  50.  Subdivision  2 of section 462-a of the social services law, as
 
 27  amended by chapter 169 of the laws  of  1981,  is  amended  to  read  as
 
 28  follows:
 
                                        224                        13001-04-9
 
  1    2.  The  appropriate offices of the state department of mental hygiene
 
  2  shall inspect and supervise those facilities subject to  articles  twen-
 
  3  ty-three [and], thirty-one and thirty-two of the mental hygiene law.
 
  4    §  51.  Subdivision  2 of section 462-b of the social services law, as
 
  5  amended by chapter 169 of the laws  of  1981,  is  amended  to  read  as
 
  6  follows:
 
  7    2.  The  appropriate offices of the state department of mental hygiene
 
  8  shall exercise the enforcement powers enumerated in section four hundred
 
  9  sixty-d of this article which may apply to those facilities  subject  to
 
 10  articles  twenty-three  [and],  thirty-one  and thirty-two of the mental
 
 11  hygiene law.
 
 12    § 52. Paragraph (c) of subdivision 1 of section 473-d  of  the  social
 
 13  services  law, as added by chapter 846 of the laws of 1986, such section
 
 14  as renumbered by chapter 395 of the laws of 1995, is amended to read  as
 
 15  follows:
 
 16    (c) "Residential facility" means a facility licensed pursuant to arti-
 
 17  cle  twenty-eight  of  the  public health law, article nineteen, twenty-
 
 18  three [or], thirty-one or thirty-two of the mental hygiene law, or arti-
 
 19  cle seven of this chapter.
 
 20    § 53.  This act shall take effect immediately and shall be  deemed  to
 
 21  have been in full force and effect on and after April 1, 1999; provided,
 
 22  however,  that  nothing  contained  herein shall be deemed to affect the
 
 23  application, qualification,  expiration,  reversion  or  repeal  of  any
 
 24  provision  of  law amended by any section of this act and the provisions
 
 25  of this act shall be applied or qualified or shall expire or  revert  or
 
 26  be  deemed  repealed  in  the same manner, to the same extent and on the
 
 27  same date as the case may be as otherwise provided by law.
 
 28                                   PART BB
 
                                        225                        13001-04-9
 
  1    § 1. Subdivision 3 of section 205 of the vehicle and traffic  law,  as
 
  2  amended  by  section  76 of part A of chapter 56 of the laws of 1998, is
 
  3  amended to read as follows:
 
  4    3.  Each  such  county  clerk shall retain from fees collected for any
 
  5  motor vehicle related service  described  in  subdivision  one  of  this
 
  6  section  processed  by such county clerk an amount based on a percentage
 
  7  of gross receipts collected. For purposes  of  this  section,  the  term
 
  8  "gross  receipts"  shall include all fines, fees and penalties collected
 
  9  pursuant to this chapter by a  county  clerk  acting  as  agent  of  the
 
 10  commissioner,  but shall not include any state or local sales or compen-
 
 11  sating use taxes imposed under or pursuant to the authority of  articles
 
 12  twenty-eight  and twenty-nine of the tax law and collected by such clerk
 
 13  on behalf of the commissioner of taxation  and  finance.  The  retention
 
 14  percentage  shall  be  [9.3]  12.7  percent and shall take effect [July]
 
 15  April first, nineteen hundred [ninety-eight and remain in  effect  until
 
 16  December thirty-first, nineteen hundred] ninety-nine.
 
 17    § 2. This act shall take effect April 1, 1999.
 
 18                                    PART CC
 
 19    § 1. Sections 8 and 9 of chapter 533 of the laws of 1993, amending the
 
 20  vehicle  and  traffic law and the correction law relating to the suspen-
 
 21  sion and revocation of driver’s  licenses  upon  conviction  of  certain
 
 22  drug-related  offenses,  section 8 as amended by chapter 382 of the laws
 
 23  of 1997, section 9 as amended by section 27 of part E of chapter  58  of
 
 24  the laws of 1998, are amended to read as follows:
 
 25    [§  8. The division of criminal justice services, in consultation with
 
 26  the department of motor vehicles, shall prepare a report  outlining  the
 
 27  implementation  procedures  of  this  act,  including the method used to
 
 28  obtain and record out-of-state offenses, as well as evaluating its over-
 
                                        226                        13001-04-9
 
  1  all effectiveness. Such report shall be submitted to the  governor,  the
 
  2  temporary  president  of  the  senate and the speaker of the assembly no
 
  3  later than May 15, 1998.
 
  4    In  addition,  such  report  shall include, but not be limited to, the
 
  5  following information:
 
  6    (1) the number of driver’s licenses that have been suspended  pursuant
 
  7  to  the provisions of this act, and, of those, the number which involved
 
  8  the use of a motor vehicle in violation of subdivision 4 of section 1192
 
  9  of the vehicle and traffic law;
 
 10    (2) the number of registrations that have been suspended  pursuant  to
 
 11  the provisions of this act, and, of those, the number which involved the
 
 12  use  of a motor vehicle in violation of subdivision 4 of section 1192 of
 
 13  the vehicle and traffic law;
 
 14    (3) the number of restricted licenses that have been issued to persons
 
 15  who would have otherwise had their driver’s license  suspended  pursuant
 
 16  to the provisions of this act;
 
 17    (4)  the  number  of  persons,  by county, who have had their driver’s
 
 18  license suspended pursuant to the provisions of this act;
 
 19    (5) the number of persons, by county, who have had their  registration
 
 20  suspended pursuant to the provisions of this act;
 
 21    (6) the number of persons who did not have a driver’s license and were
 
 22  convicted of drug offenses;
 
 23    (7)  the  number  of  persons  convicted of each specific drug-related
 
 24  offense covered by this act;
 
 25    (8) the number of persons whose driver’s licenses were not  suspended,
 
 26  as  reported  by  the  sentencing  court, due to a finding of compelling
 
 27  circumstances, both statewide and by county;
 
                                        227                        13001-04-9
 
  1    (9) a summary of other states'  experiences,  if  any,  regarding  the
 
  2  driver’s license suspension requirements;
 
  3    (10) the administrative impact of the implementation of this act; and
 
  4    (11)  the  profile  characteristics of offenders subject to this sanc-
 
  5  tion.]
 
  6    § [9] 8.  This act shall take effect  September  30,  1993  and  shall
 
  7  apply  to  convictions based on offenses which occurred on or after such
 
  8  date [and shall remain in full force and effect until  October  1,  1999
 
  9  when  upon such date the provisions of this act shall be deemed repealed
 
 10  and the provisions of law amended by this act shall  revert  to  and  be
 
 11  read as if the provisions of this act had not been enacted].
 
 12    § 2. This act shall take effect April 1, 1999.
 
 13                                   PART DD
 
 14    § 1. Section 214 of the vehicle and traffic law, as amended by chapter
 
 15  568 of the laws of 1994, is amended to read as follows:
 
 16    § 214. Proof  of  mailing of notice or order. The production of a copy
 
 17  of a notice or order issued by the department, together  with  an  elec-
 
 18  tronically-generated  record  of  entry of such order or notice upon the
 
 19  appropriate driver’s license or registration file of the department  and
 
 20  an  affidavit  by  an  employee designated by the commissioner as having
 
 21  responsibility for the issuance of such order or notice  issued  by  the
 
 22  department  setting forth the procedure for the issuance and the mailing
 
 23  of such notice or order at the address of such person on file  with  the
 
 24  department  or  at  the  current  address  provided by the United States
 
 25  postal service shall be presumptive evidence that such notice of suspen-
 
 26  sion, revocation or order was produced and  mailed  in  accordance  with
 
 27  such  procedures.  The foregoing procedure shall not preclude the use of
 
 28  an affidavit of service by mail, a certificate of mailing  or  proof  of
 
                                        228                        13001-04-9
 
  1  certified  or  registered  mail as proof of mailing of any such order or
 
  2  notice.
 
  3    §  2. Paragraph (b) of subdivision 3 of section 226 of the vehicle and
 
  4  traffic law, as added by chapter 607 of the laws of 1993, is amended  to
 
  5  read as follows:
 
  6    (b) Failure to answer or appear in accordance with the requirements of
 
  7  this  section  and any regulations promulgated hereunder shall be deemed
 
  8  an admission to the violation as charged, and an appropriate  order  may
 
  9  be  entered  in the department’s records, and a fine consistent with the
 
 10  provisions of this chapter and regulations of the  commissioner  may  be
 
 11  imposed  by  the  commissioner or person designated by the commissioner.
 
 12  Prior to entry of an order and imposition of a  fine,  the  commissioner
 
 13  shall  notify  such person by mail at the address of such person on file
 
 14  with the department or at the current address  provided  by  the  United
 
 15  States postal service in accordance with section two hundred fourteen of
 
 16  this  chapter: (i) of the violation charged; (ii) of the impending entry
 
 17  of such order and fine; (iii) that such order and fine may be filed as a
 
 18  judgment with the county clerk of the county in which  the  operator  or
 
 19  registrant  is located; and (iv) that entry of such order and imposition
 
 20  of such fine may be avoided by entering a plea or making  an  appearance
 
 21  within  thirty days of the sending of such notice. In no case shall such
 
 22  an order and fine be entered and imposed more than two years  after  the
 
 23  date  of the alleged violation. Upon application in such manner and form
 
 24  as the commissioner shall prescribe an order and fine shall  be  vacated
 
 25  upon the ground of excusable default.
 
 26    §  3.  Paragraph  b of subdivision 4 of section 227 of the vehicle and
 
 27  traffic law, as amended by chapter 221 of the laws of 1985, such  subdi-
 
                                        229                        13001-04-9
 
  1  vision  as  renumbered by chapter 288 of the laws of 1989, is amended to
 
  2  read as follows:
 
  3    b. Unpaid fines may be recovered by the commissioner in a civil action
 
  4  in  the name of the commissioner. In addition, as an alternative to such
 
  5  civil action, and provided that no appeal is pending,  the  commissioner
 
  6  may file with the county clerk of the county in which the person resides
 
  7  a  final  order of the commissioner containing the amount of the fine or
 
  8  fines. The filing of such final order shall  have  the  full  force  and
 
  9  effect  of  a judgment duly docketed in the office of such clerk and may
 
 10  be enforced in the same manner and with the same effect as that provided
 
 11  by law in respect to execution issued against property upon judgments of
 
 12  a court of record. No such civil action shall  be  commenced  nor  shall
 
 13  such  final  order be filed until at least thirty days after the depart-
 
 14  ment has posted by ordinary mail to the person at the  address  of  such
 
 15  person on file with the department or at the current address provided by
 
 16  the  United  States  postal service notice of the amount of such fine or
 
 17  fines and that such fine or fines are due and owing.
 
 18    § 4. Subdivision 6 of section 318 of the vehicle and  traffic  law  is
 
 19  amended to read as follows:
 
 20    6.  Notice  of revocation pursuant to this section may be given to the
 
 21  owner of a vehicle registered in this state or to a driver  licensed  in
 
 22  this state, by mailing the same to such owner or licensee at the address
 
 23  contained  in  the  certificate of registration for the vehicle owned by
 
 24  such person or to the address contained in his or her driving license or
 
 25  to the current address provided by the United States postal service.
 
 26    § 5. Subdivision 7 of section 510 of the vehicle and traffic  law,  as
 
 27  amended  by  chapter  606  of  the  laws  of 1993, is amended to read as
 
 28  follows:
 
                                        230                        13001-04-9
 
  1    7. Miscellaneous provisions. Except as  expressly  provided,  a  court
 
  2  conviction shall not be necessary to sustain a revocation or suspension.
 
  3  Revocation or suspension hereunder shall be deemed an administrative act
 
  4  reviewable  by  the  supreme  court  as  such.   Notice of revocation or
 
  5  suspension,  as well as any required notice of hearing, where the holder
 
  6  is not present, may be given by mailing the same in writing  to  him  at
 
  7  the  address contained in his or her license [or], certificate of regis-
 
  8  tration, or at the current address provided by the United States  postal
 
  9  service, as the case may be.  Proof of such mailing by certified mail to
 
 10  the  holder  shall  be  presumptive evidence of the holder’s receipt and
 
 11  actual  knowledge  of  such  notice.  Attendance  of  witnesses  may  be
 
 12  compelled  by  subpoena.  Failure  of  the  holder  or  any other person
 
 13  possessing the license card or number plates, to deliver the same to the
 
 14  suspending or revoking officer is a misdemeanor.  Suspending or revoking
 
 15  officers shall place such license cards and number plates in the custody
 
 16  of the  commissioner  except  where  the  commissioner  shall  otherwise
 
 17  direct.  If  any  person  shall fail to deliver a license card or number
 
 18  plates as provided herein, any police officer, bridge and tunnel officer
 
 19  of the Triborough bridge and tunnel authority, or agent of  the  commis-
 
 20  sioner  having  knowledge  of  such facts shall have the power to secure
 
 21  possession thereof and return the same  to  the  commissioner,  and  the
 
 22  commissioner  may forthwith direct any police officer, bridge and tunnel
 
 23  officer of the Triborough bridge and tunnel authority,  acting  pursuant
 
 24  to his special duties, or agent of the commissioner to secure possession
 
 25  thereof and to return the same to the commissioner. Failure of the hold-
 
 26  er  or  of  any  person  possessing the license card or number plates to
 
 27  deliver to any police officer, bridge and tunnel officer of the  Tribor-
 
 28  ough  bridge  and  tunnel  authority,  or  agent of the commissioner who
 
                                        231                        13001-04-9
 
  1  requests the same pursuant to this subdivision shall be  a  misdemeanor.
 
  2  Notice  of revocation or suspension of any license or registration shall
 
  3  be transmitted forthwith by the commissioner of motor  vehicles  to  the
 
  4  chief  of  police  of the city or prosecuting officer of the locality in
 
  5  which the person whose license or registration so revoked  or  suspended
 
  6  resides. In case any license or registration shall expire before the end
 
  7  of  any period for which it has been revoked or suspended, and before it
 
  8  shall have been restored as provided in this chapter, then and  in  that
 
  9  event  any  renewal thereof may be withheld until the end of such period
 
 10  of suspension or until restoration, as the case may be.
 
 11    The revocation of a learner’s permit shall  automatically  cancel  the
 
 12  application for a license of the holder of such permit.
 
 13    No suspension or revocation of a license or registration shall be made
 
 14  because  of a judgment of conviction if the suspending or revoking offi-
 
 15  cer is satisfied that the magistrate who pronounced the judgment  failed
 
 16  to comply with subdivision one of section eighteen hundred seven of this
 
 17  chapter.  In  case  a  suspension  or  revocation  has been made and the
 
 18  commissioner is satisfied that there was such failure, he shall  restore
 
 19  the license or registration or both as the case may be.
 
 20    § 6. This act shall take effect April 1, 1999, provided, however, that
 
 21  the  amendments to subdivision 6 of section 318 of the vehicle and traf-
 
 22  fic law made by section four of this act shall not affect the expiration
 
 23  of such section and shall be deemed to expire therewith.
 
 24                                   PART EE
 
 25    § 1. Paragraph (d) of subdivision 3 of section 510-a  of  the  vehicle
 
 26  and traffic law, as added by chapter 550 of the laws of 1993, is amended
 
 27  to read as follows:
 
                                        232                        13001-04-9
 
  1    (d)  A  commercial  driver’s license shall be suspended by the commis-
 
  2  sioner:
 
  3    (i)  for  a  period  of ninety days where the holder was found to have
 
  4  operated a commercial motor vehicle, as defined in section five  hundred
 
  5  nine-p  of  this  title,  in  violation  of  an  out-of-service order as
 
  6  provided for in the rules and regulations of the department of transpor-
 
  7  tation;
 
  8    (ii) for a period of one year if,  during  any  ten-year  period,  the
 
  9  driver  is found to have committed two such violations in separate inci-
 
 10  dents;
 
 11    (iii) for a period of three years if, during any ten-year period,  the
 
 12  driver is found to have committed three or more such violations in sepa-
 
 13  rate incidents;
 
 14    (iv)  for  a  period  of  one hundred and eighty days if the driver is
 
 15  found to have operated a commercial vehicle, as defined in section  five
 
 16  hundred  nine-p  of this title, in violation of an out-of-service order,
 
 17  as provided for in the rules and regulations of the department of trans-
 
 18  portation, while transporting hazardous materials required to  be  plac-
 
 19  arded  under  the Hazardous Material Transportation Act (49 U.S.C.  App.
 
 20  1801-1813) , or while operating a motor vehicle  designed  to  transport
 
 21  more than fifteen passengers, including the driver;
 
 22    (v)  for  a  period of three years if, during any ten-year period, the
 
 23  driver is found to have committed two or more such violations of out-of-
 
 24  service orders in separate incidents, while transporting hazardous mate-
 
 25  rials required to be placarded under the Hazardous Materials Transporta-
 
 26  tion Act, or while operating a motor vehicle designed to transport  more
 
 27  than fifteen passengers, including the driver.
 
                                        233                        13001-04-9
 
  1    §  2.  Subparagraph (v) of paragraph d of subdivision 2 of section 140
 
  2  of the transportation law, as added by chapter 173 of the laws of  1990,
 
  3  is amended to read as follows:
 
  4    (v)  (a)  Operation of any motor vehicle after it has been placed out-
 
  5  of-service as provided for in the department’s safety  rules  and  regu-
 
  6  lations shall constitute a misdemeanor and shall be punishable by a fine
 
  7  of  not  less  than one thousand dollars nor more than two thousand five
 
  8  hundred dollars, or by imprisonment for not more than ninety days, or by
 
  9  both such fine and imprisonment upon the first offense, and  upon  being
 
 10  found guilty of a second or subsequent offense within eighteen months by
 
 11  a  fine of not less than two thousand five hundred dollars nor more than
 
 12  five thousand dollars or by imprisonment for not more than  one  hundred
 
 13  eighty days or by both such fine and imprisonment.
 
 14    (b)  Any  person,  corporation,  limited liability company or business
 
 15  entity, joint stock association, partnership, person or any  officer  or
 
 16  agent thereof, who shall require or permit any person to operate a motor
 
 17  vehicle  after  it has been placed out of service as provided for in the
 
 18  department’s safety rules and regulations shall be subject to a fine  of
 
 19  not  less  than  two thousand five hundred dollars and not more than ten
 
 20  thousand dollars.
 
 21    § 3. This act shall take effect 90 days after it shall have  become  a
 
 22  law.
 
 23                                   PART FF
 
 24    §  1.  Section  3  of  chapter  886  of the laws of 1972, amending the
 
 25  correction law and the penal  law  relating  to  prisoner  furloughs  in
 
 26  certain cases and the crime of absconding therefrom, as amended by chap-
 
 27  ter 435 of the laws of 1997, is amended to read as follows:
 
                                        234                        13001-04-9
 
  1    §  3.  This act shall take effect 60 days after it shall have become a
 
  2  law and shall remain in effect until September 1, [1999] 2001.
 
  3    §  2. Section 20 of chapter 261 of the laws of 1987, amending chapters
 
  4  50, 53 and 54 of the laws of 1987, the correction law, the penal law and
 
  5  other chapters and laws relating to correctional facilities, as  amended
 
  6  by chapter 435 of the laws of 1997, is amended to read as follows:
 
  7    § 20. This act shall take effect immediately except that section thir-
 
  8  teen  of  this  act shall expire and be of no further force or effect on
 
  9  and after September 1, [1999]  2001  and  shall  not  apply  to  persons
 
 10  committed to the custody of the department after such date, and provided
 
 11  further that the commissioner of correctional services shall report each
 
 12  January  first and July first during such time as the earned eligibility
 
 13  program is in effect, to the chairmen of the senate crime and correction
 
 14  committee, the senate codes committee, the assembly  correction  commit-
 
 15  tee,  and  the  assembly  codes  committee,  the standards in effect for
 
 16  earned eligibility during the prior  six-month  period,  the  number  of
 
 17  inmates  subject to the provisions of earned eligibility, the number who
 
 18  actually received certificates of earned eligibility during that  period
 
 19  of  time, the number of inmates with certificates who are granted parole
 
 20  upon their first consideration for parole, the number with  certificates
 
 21  who  are denied parole upon their first consideration, and the number of
 
 22  individuals granted and denied parole who did not have earned  eligibil-
 
 23  ity certificates.
 
 24    § 3. Subdivision (q) of section 427 of chapter 55 of the laws of 1992,
 
 25  amending  the tax law and other laws relating to taxes, surcharges, fees
 
 26  and funding, as amended by chapter 435 of the laws of 1997,  is  amended
 
 27  to read as follows:
 
                                        235                        13001-04-9
 
  1    (q)  the  provisions  of  section  two hundred eighty-four of this act
 
  2  shall remain in effect until September 1, [1999] 2001 and be  applicable
 
  3  to all persons entering the program on or before August 31, [1999] 2001.
 
  4    §  4.  Section  10  of  chapter  339 of the laws of 1972, amending the
 
  5  correction law and the  penal  law  relating  to  inmate  work  release,
 
  6  furlough  and  leave,  as amended by chapter 435 of the laws of 1997, is
 
  7  amended to read as follows:
 
  8    § 10. This act shall take effect 30 days after it shall have become  a
 
  9  law  and  shall  remain  in  effect  until September 1, [1999] 2001, and
 
 10  provided further that the commissioner of  correctional  services  shall
 
 11  report each January first, and July first, to the chairman of the senate
 
 12  crime  victims, crime and correction committee, the senate codes commit-
 
 13  tee, the assembly correction committee, and the assembly  codes  commit-
 
 14  tee,  the  number of eligible inmates in each facility under the custody
 
 15  and control of the commissioner who have applied  for  participation  in
 
 16  any  program  offered under the provisions of work release, furlough, or
 
 17  leave, and the number of such inmates who have been approved for partic-
 
 18  ipation.
 
 19    § 5. Subdivision (c) of section 46 of chapter 60 of the laws  of  1994
 
 20  relating  to certain provisions which impact upon expenditure of certain
 
 21  appropriations made by chapter 50 of the laws of 1994 enacting the state
 
 22  operations budget, as amended by chapter 435 of the  laws  of  1997,  is
 
 23  amended to read as follows:
 
 24    (c)  sections forty-one and forty-two of this act shall expire Septem-
 
 25  ber  1, [1999] 2001; provided, that the provisions of  section forty-two
 
 26  of  this act shall apply to inmates entering the work release program on
 
 27  or after such effective date; and
 
                                        236                        13001-04-9
 
  1    § 6. Section 5 of chapter 554  of  the  laws  of  1986,  amending  the
 
  2  correction  law  and  the  penal law relating to providing for community
 
  3  treatment facilities and establishing the crime of absconding  from  the
 
  4  community  treatment  facility, as amended by chapter 435 of the laws of
 
  5  1997, is amended to read as follows:
 
  6    §  5.  This act shall take effect immediately and shall remain in full
 
  7  force and effect until September 1, [1999] 2001,  and  provided  further
 
  8  that the commissioner of correctional services shall report each January
 
  9  first  and July first during such time as this legislation is in effect,
 
 10  to the chairmen of the senate crime and correction committee, the senate
 
 11  codes committee, the assembly correction  committee,  and  the  assembly
 
 12  codes committee, the number of individuals who are released to community
 
 13  treatment facilities during the previous six-month period, including the
 
 14  total  number for each date at each facility who are not residing within
 
 15  the facility, but who are required to report to the facility on a  daily
 
 16  or less frequent basis.
 
 17    §  7.  Subdivision  h  of  section 74 of chapter 3 of the laws of 1995
 
 18  relating to the incarceration fee, as amended by chapter 435 of the laws
 
 19  of 1997, is amended to read as follows:
 
 20    h. Section fifty-two of this act shall be deemed to have been in  full
 
 21  force and effect on and after April 1, 1995; provided, however, that the
 
 22  provisions  of  section 189 of the correction law, as amended by section
 
 23  fifty-five of this act, subdivision 5 of section 60.35 of the penal law,
 
 24  as amended by section fifty-six of the act, and section  fifty-seven  of
 
 25  this  act shall expire September 1, [1999] 2001, when upon such date the
 
 26  amendments to the correction law and penal law made by  sections  fifty-
 
 27  five  and  fifty-six  of  this act shall revert to and be read as if the
 
 28  provisions of this act had not been enacted; provided, further, however,
 
                                        237                        13001-04-9
 
  1  that sections sixty-two, sixty-three and sixty-four of this act shall be
 
  2  deemed to have been in full force and effect on and after March 1,  1995
 
  3  and  shall  be  deemed  repealed  April  1,  1996 and upon such date the
 
  4  provisions  of  subsection  (e) of section 9110 of the insurance law and
 
  5  subdivision 2 of section 89-d of the state finance law shall  revert  to
 
  6  and  be  read  as  set  out in law on the date immediately preceding the
 
  7  effective date of sections sixty-two and sixty-three of this act;
 
  8    § 8. Section 7 of chapter  79  of  the  laws  of  1989,  amending  the
 
  9  correction  law  and  other  laws relating to release and supervision of
 
 10  persons serving a definite sentence, as amended by chapter  435  of  the
 
 11  laws of 1997, is amended to read as follows:
 
 12    § 7. This act shall take effect immediately and shall remain in effect
 
 13  until  September  1,  [1999]  2001,  at  which  time  article  12 of the
 
 14  correction law and section 257-b of the executive law, as added, respec-
 
 15  tively, by sections one and two of this act, shall be repealed. In addi-
 
 16  tion, on such date  the  amendatory  deletions  and  additions  made  by
 
 17  sections three through six of this act shall likewise be repealed.
 
 18    § 9. Subdivision (z) of section 427 of chapter 55 of the laws of 1992,
 
 19  amending  the tax law and other laws relating to taxes, surcharges, fees
 
 20  and funding, as amended by chapter 435 of the laws of 1997,  is  amended
 
 21  to read as follows:
 
 22    (z)  the  provisions  of  section three hundred eighty-one of this act
 
 23  shall apply to all persons supervised by the division of  parole  on  or
 
 24  after the effective date of this act, provided however, that subdivision
 
 25  9  of  section  259-a  of  the  executive law, as added by section three
 
 26  hundred eighty-one of this act, shall  expire  on  September  1,  [1999]
 
 27  2001;
 
                                        238                        13001-04-9
 
  1    §  10.  Subdivision  (aa)  of section 427 of chapter 55 of the laws of
 
  2  1992, amending the tax law and  other  laws  relating  to  increases  in
 
  3  taxes,  fees and charges, as amended by chapter 435 of the laws of 1997,
 
  4  is amended to read as follows:
 
  5    (aa)  the  provisions  of  sections  three  hundred  eighty-two, three
 
  6  hundred eighty-three and three hundred eighty-four  of  this  act  shall
 
  7  expire on September 1, [1999] 2001;
 
  8    §  11.  Section  12  of  chapter  907 of the laws of 1984 amending the
 
  9  correction law, the New York City criminal court act and  the  executive
 
 10  law,  relating  to prison and jail housing and alternatives to detention
 
 11  and incarceration programs, as amended by chapter 435  of  the  laws  of
 
 12  1997, is amended to read as follows:
 
 13    §  12.  This  act  shall  take  effect  immediately,  except  that the
 
 14  provisions of sections one through ten of this act shall remain in  full
 
 15  force  and  effect  until  September  1, [1999] 2001 on which date those
 
 16  provisions shall be deemed to be repealed.
 
 17    § 12. Section 6 of chapter 713 of the laws of 1988 amending the  vehi-
 
 18  cle  and traffic law, relating to the ignition interlock device program,
 
 19  as amended by chapter 150 of the laws of 1997, is  amended  to  read  as
 
 20  follows:
 
 21    §  6.  This  act  shall  take  effect  on  the first day of April next
 
 22  succeeding the date on which it  shall  have  become  a  law;  provided,
 
 23  however,  that  effective immediately, the addition, amendment or repeal
 
 24  of any rule or regulation necessary for the implementation of the  fore-
 
 25  going  sections  of  this  act on their effective date is authorized and
 
 26  directed to be made and completed on or before such effective  date  and
 
 27  shall  remain  in  full  force  and  effect until the first day of July,
 
                                        239                        13001-04-9
 
  1  [1999] 2001 when upon such date the provisions  of  this  act  shall  be
 
  2  deemed repealed.
 
  3    § 13. This act shall take effect immediately.
 
  4                                   PART GG
 
  5    §  1. The state finance law is amended by adding a new section 99-g to
 
  6  read as follows:
 
  7    § 99-g. Statewide public safety communications account.  1.  There  is
 
  8  hereby  established  in  the  joint  custody  of the comptroller and the
 
  9  commissioner of taxation and finance, a special fund to be known as  the
 
 10  "statewide  public  safety  communications  account". Such account shall
 
 11  consist of all moneys appropriated, credited or transferred thereto from
 
 12  any other fund or source pursuant to  law,  including  revenue  received
 
 13  pursuant to the division of state police’s site manager contract. Moneys
 
 14  of the account following appropriation by the legislature and allocation
 
 15  by  the  director  of  the  budget,  shall be available to pay from such
 
 16  account for:
 
 17    (a) development and construction of a statewide public safety communi-
 
 18  cations system including consultant costs associated  with  such  design
 
 19  and development;
 
 20    (b) communications equipment;
 
 21    (c)  equipment  used for the purpose of determining and displaying the
 
 22  telephone number and location of a wireless 911 telephone call, and  any
 
 23  other costs associated with the provision of such service;
 
 24    (d)  the  design,  construction,  and maintenance of 911 public safety
 
 25  answering points; and
 
 26    (e) costs  associated  with  the  provision  of  radio  and  telephone
 
 27  service.
 
                                        240                        13001-04-9
 
  1    2.  Any  moneys  in such account, at the discretion of the state comp-
 
  2  troller, shall be invested in  securities  and  obligations  defined  by
 
  3  sections  ninety-eight and ninety-eight-a of this article. Any income or
 
  4  interest from such investment shall be credited to such account.
 
  5    § 2. This act shall take effect April 1, 1999.
 
  6                    EDUCATION, LABOR AND FAMILY ASSISTANCE
 
  7                                   PART HH
 
  8    §  1.  The  opening  paragraph  of section 207 of the education law is
 
  9  designated subdivision 1 and a new subdivision 2 is  added  to  read  as
 
 10  follows:
 
 11    2.    Notwithstanding subdivision one of this section or any other law
 
 12  to the contrary, in the event no specific  statutory  authorization  has
 
 13  been  provided  for a proposed rule or regulation of the commissioner or
 
 14  the regents that has a projected additional cost to  the  state  govern-
 
 15  ment, local governments or the university of the state of New York, such
 
 16  proposed  rule  or regulation shall be submitted for review and approval
 
 17  by the state director of regulatory reform before  the  commissioner  or
 
 18  the  regents  may  submit  the rule or regulation for publication in the
 
 19  state register. Such cost implications shall be presented in a regulato-
 
 20  ry impact statement or  revised  regulatory  impact  statement  prepared
 
 21  pursuant to section two hundred two-a of the state administrative proce-
 
 22  dure act, and submitted by the department to the state director of regu-
 
 23  latory  reform  along  with the text of the proposed or revised rule. In
 
 24  the event any rule or regulation adopted by the regents or  the  commis-
 
 25  sioner  which  is  determined  not to require review and approval by the
 
 26  state director of regulatory reform, pursuant to the  conditions  stated
 
 27  in  this  section,  is  subsequently identified by the state director of
 
 28  regulatory reform as imposing such additional cost, such rule  or  regu-
 
                                        241                        13001-04-9
 
  1  lation  shall cease to be mandatory in effect and shall become voluntary
 
  2  in operation.
 
  3    §  2.    Section  305  of the education law is amended by adding a new
 
  4  subdivision 28 to read as follows:
 
  5    28. The commissioner  shall  promulgate  regulations  prescribing  the
 
  6  methodology for establishing a multi-year cost allowance for the purpose
 
  7  of  computation  of building aid to school districts and a procedure for
 
  8  school districts to appeal the determination that  a  building  has  not
 
  9  been  adequately  maintained, as required by subparagraphs one and three
 
 10  of paragraph a of subdivision six of section thirty-six hundred  two  of
 
 11  this chapter. Such methodology shall include the development of a build-
 
 12  ing  replacement  cost  allowance  schedule  for the construction of new
 
 13  buildings and additions, and  the  replacement  of  the  major  building
 
 14  systems  of  a  building over its projected useful life. For purposes of
 
 15  this subdivision, "major  building  systems"  shall  be  as  defined  in
 
 16  subparagraph  five  of paragraph a of subdivision six of section thirty-
 
 17  six hundred two of this chapter.
 
 18    § 3. Subdivisions 1 and 3 of section 408  of  the  education  law,  as
 
 19  amended  by chapter 414 of the laws of 1972 and the opening paragraph of
 
 20  subdivision 1 as amended by chapter 315 of the laws of 1990, are amended
 
 21  to read as follows:
 
 22    1. No schoolhouse shall hereafter  be  erected,  purchased,  repaired,
 
 23  enlarged  or  remodeled  nor  shall  the  advertisement for bids for the
 
 24  execution of the plans  and  specifications  for  such  schoolhouses  be
 
 25  placed,  in  any  school  district except in a city school district in a
 
 26  city having [seventy thousand] a million  inhabitants  or  more,  at  an
 
 27  expense which shall exceed [one hundred] ten thousand dollars, until the
 
 28  plans  and  specifications shall have been submitted to the commissioner
 
                                        242                        13001-04-9
 
  1  of education and his approval endorsed thereon. Such plans and  specifi-
 
  2  cations  shall  show  in detail the ventilation, heating and lighting of
 
  3  such buildings.
 
  4    In  the  case  of  a school district in a city having seventy thousand
 
  5  inhabitants or more, all the provisions previously  set  forth  in  this
 
  6  subdivision  shall  apply,  except  that  the commissioner may waive the
 
  7  requirement for submission of plans and  specifications  and  substitute
 
  8  therefor  the requirement for submission of an outline of such plans and
 
  9  specifications for his review. Such outline shall be in a form which  he
 
 10  may prescribe from time to time.
 
 11    In  either case, the commissioner may, in his discretion, review plans
 
 12  and specifications for projects estimated at an  expense  of  less  than
 
 13  [one hundred] ten thousand dollars.
 
 14    In  the  case of a school district in a city having a million inhabit-
 
 15  ants or more, all of the provisions previously set forth in this  subdi-
 
 16  vision  shall  apply,  except  that  such  school district shall only be
 
 17  required to submit [an outline of the] preliminary plans and  specifica-
 
 18  tions  for  new buildings and additions to the commissioner of education
 
 19  for his [information where a schoolhouse is to be erected in conjunction
 
 20  with the development of a project to be developed under  the  provisions
 
 21  of article two or five of the private housing finance law and where both
 
 22  the  school  and the project are to have rights or interests in the same
 
 23  land, regardless of the similarity or equality  thereof,  including  fee
 
 24  interests, easements, space rights or other rights or interests] review.
 
 25    3.  The commissioner of education shall approve the plans and specifi-
 
 26  cations, heretofore or hereafter submitted pursuant to this section, for
 
 27  the erection or purchase of any school building or addition  thereto  or
 
 28  remodeling  thereof  on  the site or sites selected therefor pursuant to
 
                                        243                        13001-04-9
 
  1  this chapter, if such plans conform to the requirements  and  provisions
 
  2  of this chapter and the regulations of the commissioner adopted pursuant
 
  3  to  this  chapter  in  all  other  respects; provided, however, that the
 
  4  commissioner  of  education shall not approve the plans for the erection
 
  5  or purchase of any school building or addition thereto unless  the  site
 
  6  has  been  selected  with  reasonable  consideration  of  the  following
 
  7  factors; its  place  in  a  comprehensive,  [long-term  school  building
 
  8  program]  five-year  school  facility  capital  plan;  area required for
 
  9  outdoor educational activities; educational  adaptability,  environment,
 
 10  accessibility; soil conditions; initial and ultimate cost.
 
 11    §  4. Subdivision 1 of section 409 of the education law, as amended by
 
 12  chapter 124 of the laws of 1962 and such subdivision  as  designated  by
 
 13  chapter 565 of the laws of 1994, is amended to read as follows:
 
 14    1.  All  school buildings of common, union free, central, central high
 
 15  school and city school districts [other than city  school  districts  of
 
 16  cities  having one hundred twenty-five thousand inhabitants or more] and
 
 17  boards of cooperative educational services shall comply with such  regu-
 
 18  lations as the commissioner [of education] shall adopt from time to time
 
 19  for the purpose of insuring the health and safety of pupils and staff in
 
 20  relation  to  proper  heating,  lighting,  ventilation,  sanitation  and
 
 21  health, fire and accident protection.
 
 22    § 5. Section 409-d of the education law, as added by  chapter  196  of
 
 23  the laws of 1992, is renumbered section 409-f.
 
 24    §  6.  Section  412  of the education law, subdivision 1 as amended by
 
 25  chapter 474 of the laws of 1996, is amended to read as follows:
 
 26    § 412. Condemnation or  closure  of  [schoolhouse  and]  instructional
 
 27  school  building; erection of new [schoolhouse] school building in place
 
 28  thereof. 1. [A] Notwithstanding  any  other  provision  of  law  to  the
 
                                        244                        13001-04-9
 
  1  contrary, the commissioner shall be authorized to order the closing of a
 
  2  school  building  of  any school district or board of cooperative educa-
 
  3  tional services which is used for instruction, upon  a  finding  that  a
 
  4  hazardous  condition  exists  in  such  school  building in violation of
 
  5  applicable building health or safety codes or regulations that threatens
 
  6  the health and/or safety of students  or  staff.  Such  order  shall  be
 
  7  delivered to a trustee or member of the board of education of the school
 
  8  district  or  member  of  the board of cooperative educational services,
 
  9  provided that in the case of a city school district in a city  having  a
 
 10  population of one million or more inhabitants such order shall be deliv-
 
 11  ered  to the chancellor of the city district. Such order shall state the
 
 12  date on which it shall take effect and the school building shall  close,
 
 13  and  shall  specify the repairs, reconstruction or rehabilitation neces-
 
 14  sary to render the building fit for occupancy. Upon the  effective  date
 
 15  of  such  order, it shall be the duty of the local school authorities to
 
 16  arrange for the education of the students formerly attending such school
 
 17  at other locations. Notwithstanding any other provision of  law  to  the
 
 18  contrary,  the  attendance  of  a  student  attending school in a school
 
 19  building that has been ordered closed by the  commissioner  pursuant  to
 
 20  this subdivision shall not be counted, during the period the building is
 
 21  closed,  for purposes of computing the apportionment of state aid to the
 
 22  school district or for  purposes  of  determining  compliance  with  the
 
 23  compulsory  attendance law. If the commissioner finds upon further exam-
 
 24  ination that the district has eliminated the hazardous condition so that
 
 25  a threat to the health or safety of students or staff no  longer  exists
 
 26  in  the  building  or  a  part thereof, the commissioner shall forthwith
 
 27  revoke the closure order in whole or in part.
 
                                        245                        13001-04-9
 
  1    2. In the alternative, the commissioner, or a  district superintendent
 
  2  [,] upon the direction of the commissioner, may make an order condemning
 
  3  a school [house] building which is used for instruction, if  he  or  she
 
  4  finds upon examination that such [schoolhouse] school building is wholly
 
  5  unfit  for  use  and  not  worth repairing. He or she shall deliver such
 
  6  order to a trustee or member of the board of education of  the  district
 
  7  or  the  board of cooperative educational services, provided that in the
 
  8  case of a city school district in a city  having  a  population  of  one
 
  9  million  or  more inhabitants such order shall be delivered to the chan-
 
 10  cellor of the city district, and transmit a copy thereof to the  commis-
 
 11  sioner or to the district superintendent as appropriate. He or she shall
 
 12  also  state in such order the date on which it shall take effect and the
 
 13  sum which in his or her opinion will be  necessary  to  erect  a  school
 
 14  building available to the needs of the district.
 
 15    [2.  Immediately]  3. a. In the case of a common, union free, central,
 
 16  central high school or city school district in a  city  having  a  popu-
 
 17  lation  of  less than one hundred twenty-five thousand inhabitants, upon
 
 18  the receipt of [said] a condemnation order issued pursuant  to  subdivi-
 
 19  sion  two  of  this  section, the trustees or board of education of such
 
 20  district shall call a special meeting of the voters of said district, to
 
 21  consider the question of building a new  [schoolhouse]  school  building
 
 22  therein.  Such  meeting  shall  have power to determine the size of said
 
 23  [schoolhouse] school building, the material to be used in its  erection,
 
 24  and  to  vote  a  tax  to build the same. But such meeting shall have no
 
 25  power to reduce the estimate made by the district superintendent
 
 26   or the commissioner aforesaid by more than twenty-five  per  centum  of
 
 27  such estimate.
 
                                        246                        13001-04-9
 
  1    [3.  And where] b. Where no tax for building such [schoolhouse] school
 
  2  building shall have been voted by such district in accordance with para-
 
  3  graph a of this subdivision within thirty days from the time of  holding
 
  4  the  first meeting to consider the question, it shall be the duty of the
 
  5  trustees  or  board  of  education  of such district to contract for the
 
  6  building of a [schoolhouse] school building capable of accommodating the
 
  7  children of the district, and to levy a tax to pay for the  same,  which
 
  8  tax  shall  not  exceed  the  sum estimated as necessary by the district
 
  9  superintendent or the commissioner aforesaid, and  which  shall  not  be
 
 10  less  than such estimated sum by more than twenty-five per centum there-
 
 11  of. But such estimated sum may be increased  at  any  subsequent  school
 
 12  meeting legally held in the district.
 
 13    c. In the case of a city school district in a city having a population
 
 14  of  one  hundred twenty-five thousand inhabitants or more, upon issuance
 
 15  of an order of the commissioner condemning a school building pursuant to
 
 16  this section , it shall be the duty  of  the  board  of  education,  the
 
 17  superintendent  of schools or the chancellor of the city district in the
 
 18  case of the city school district of the City of New York and the  common
 
 19  council  , mayor, city manager or other governing body or officer of the
 
 20  city government, to make immediate arrangements for  a  suitable  school
 
 21  facility  or facilities to accommodate the children of the school build-
 
 22  ing so condemned and to arrange for the appropriation of funds,  or  the
 
 23  re-prioritizing of the district’s long-range facilities plan to make use
 
 24  of  existing  appropriations,  that  is  necessary  to arrange for other
 
 25  facilities to replace the condemned building.
 
 26    § 7. Subparagraph 7 of paragraph b of subdivision 4 of section 1950 of
 
 27  the education law, as amended by chapter 602 of the laws  of  1994,  the
 
 28  opening  paragraph  as amended by section 12 of part A of chapter 436 of
 
                                        247                        13001-04-9
 
  1  the laws of 1997, clauses (i) and (ii) as amended by chapter 474 of  the
 
  2  laws of 1996, is amended to read as follows:
 
  3    (7)  Each  component  school  district  shall  transmit the resolution
 
  4  either approving or disapproving the board  of  cooperative  educational
 
  5  services' tentative administrative budget no later than one business day
 
  6  after  the  adoption of such resolution. The board of cooperative educa-
 
  7  tional services shall, no later than the fifteenth day of May, adopt the
 
  8  final program, capital and administrative budgets for the ensuing  year.
 
  9  Except  as provided in paragraph d of this subdivision, subparagraph (a)
 
 10  of paragraph p of this subdivision, and subdivision one of section nine-
 
 11  teen hundred fifty-one of this article, such administrative and  capital
 
 12  budgets,  when so adopted [, after deducting state aid applicable there-
 
 13  to,] shall be a charge against all of the component school districts  in
 
 14  the  supervisory  district  and each component school district’s propor-
 
 15  tionate share shall be determined by the  board  of  cooperative  educa-
 
 16  tional  services  according  to  weighted  average  daily  attendance or
 
 17  according to true valuation  or  according  to  resident  public  school
 
 18  district  enrollment  as  defined  in  paragraph n of subdivision one of
 
 19  section thirty-six hundred two of this  chapter  except  that  only  one
 
 20  method  shall  be  applied  among  the component districts of a board of
 
 21  cooperative educational services in any year, unless otherwise  provided
 
 22  by  law.  In a merged supervisory district in the county of Suffolk each
 
 23  component school district’s proportionate share of  such  administrative
 
 24  and  capital  budgets  may  be  determined according to weighted average
 
 25  daily attendance, according to true valuation, or according to using the
 
 26  weighted average daily attendance for a certain percentage of  the  cost
 
 27  and  true valuation for a certain percentage of administrative and capi-
 
 28  tal costs. Such costs, in a merged supervisory district in the county of
 
                                        248                        13001-04-9
 
  1  Suffolk, apportioned by using weighted average daily attendance and true
 
  2  valuation shall be subject to adjustment by  the  board  of  cooperative
 
  3  educational services in a manner that will minimize the annual change in
 
  4  costs  for  the greatest number of component districts. Such percentages
 
  5  shall be established by the board of  cooperative  educational  services
 
  6  upon  the  approval  of  the  component  districts  subject to the final
 
  7  approval of the commissioner. It is further provided that such  adminis-
 
  8  trative  budget  approved by the board shall be subject to review by the
 
  9  commissioner to determine:  (i)  the  level  of  administrative  savings
 
 10  achieved by the merger and (ii) if such administrative savings equals or
 
 11  exceeds the level identified by the merger planning task force appointed
 
 12  by  the district superintendent. If the board of cooperative educational
 
 13  services determines to change the method of apportioning  administrative
 
 14  costs and capital expenses from that followed in the previous year, such
 
 15  determination  may  be made only if the board of cooperative educational
 
 16  services has conducted a hearing at a regular or special meeting of such
 
 17  board which all members of boards of education and school trustees  have
 
 18  been  invited  to  attend,  such hearing to be held at least thirty days
 
 19  prior to the annual meeting of members of boards of education and school
 
 20  trustees.
 
 21    (i) The three methods of apportionment of administrative  and  capital
 
 22  expenses  are  as  follows:  (1)  in accordance with the ratio which the
 
 23  component school district’s total full or true valuation  in  effect  at
 
 24  the  time  of the adoption of the budget bears to the total true or full
 
 25  valuation of all of the component school districts within the  board  of
 
 26  cooperative  educational  services,  (2) by dividing the total amount of
 
 27  such administrative and capital expenses by the total  weighted  average
 
 28  daily  attendance  of  pupils residing in all component school districts
 
                                        249                        13001-04-9
 
  1  contained within the  board  of  cooperative  educational  services  and
 
  2  attending  a public school and multiplying by the weighted average daily
 
  3  attendance of such resident pupils  in  each  of  the  component  school
 
  4  districts,  or  (3)  by dividing the total amount of such administrative
 
  5  and capital expenses  by  the  total  resident  public  school  district
 
  6  enrollment  of all component school districts contained within the board
 
  7  of cooperative educational services  and  multiplying  by  the  resident
 
  8  public  school district enrollment of the component school districts. In
 
  9  addition, in a merged supervisory district in  the  county  of  Suffolk,
 
 10  where  a combination of the first and second methods could be applied as
 
 11  provided in the opening paragraph of this subparagraph may be utilized.
 
 12    (ii) If the board  of  cooperative  educational  services  chooses  to
 
 13  apportion administrative costs and capital expenses according to full or
 
 14  true valuation, special act school districts authorized to receive state
 
 15  aid  in  accordance  with  chapter five hundred sixty-six of the laws of
 
 16  nineteen hundred sixty-seven, as amended, shall have  their  full  value
 
 17  for  purposes  of  this  section  computed  by  multiplying the resident
 
 18  weighted average daily attendance by the state  average  full  valuation
 
 19  per  pupil  as established by the commissioner for the year in which the
 
 20  budget is adopted. The  school  authorities  of  each  component  school
 
 21  district shall add such amount to the budget of such component districts
 
 22  and  shall  pay such amount to the treasurer of the board of cooperative
 
 23  educational services and shall be paid out by  the  treasurer  upon  the
 
 24  orders  of  the  board  of  cooperative  educational services issued and
 
 25  executed in pursuance of a resolution of said board.
 
 26    (iii) In the event a component school district withdraws from a  board
 
 27  of  cooperative  educational  services  supervisory district pursuant to
 
 28  subdivision five-a of this section, such school district shall  continue
 
                                        250                        13001-04-9
 
  1  to  be  responsible for its share of the capital expenses incurred while
 
  2  it was a component of the board  of  cooperative  educational  services,
 
  3  including  but not limited to payments to the dormitory authority pursu-
 
  4  ant  to  an agreement executed by such school district pursuant to para-
 
  5  graph a of subdivision thirteen of this section, payments for a  capital
 
  6  project pursuant to an agreement executed by such school district pursu-
 
  7  ant  to  paragraph a of subdivision fourteen of this section, and rental
 
  8  payments for leases entered into or renewed while such  district  was  a
 
  9  component  district.  Such capital expenses shall be apportioned to such
 
 10  district in the manner prescribed in this  subparagraph  as  if  it  had
 
 11  continued  to  be  a  component  district,  provided  however  that such
 
 12  district shall not be liable for capital expenses incurred for a capital
 
 13  project for which such district did not execute an agreement pursuant to
 
 14  subdivisions thirteen or fourteen of this section or for rental payments
 
 15  on leases executed or renewed after it notified the board of cooperative
 
 16  educational services of its withdrawal, unless such district subsequent-
 
 17  ly rejoins the board of cooperative educational services as a  component
 
 18  district.
 
 19    §  8.  Paragraph  d  of subdivision 4 of section 1950 of the education
 
 20  law, as amended by chapter 474 of the laws of 1996, is amended  to  read
 
 21  as follows:
 
 22    d.  (1) [Aidable] Approvable shared services. At the request of compo-
 
 23  nent school districts,  and  with  the  approval  of  the  commissioner,
 
 24  provide  any  of  the  following services on a cooperative basis: school
 
 25  nurse teacher, attendance supervisor,  supervisor  of  teachers,  dental
 
 26  hygienist,  psychologist,  teachers  of  art, music, physical education,
 
 27  career education subjects, guidance  counselors,  operation  of  special
 
 28  classes for students with disabilities, as such term is defined in arti-
 
                                        251                        13001-04-9
 
  1  cle  eighty-nine of this chapter; pupil and financial accounting service
 
  2  by means of mechanical equipment; maintenance and operation of cafeteria
 
  3  or restaurant service for the  use  of  pupils  and  teachers  while  at
 
  4  school,  and  such  other services as the commissioner may approve. Such
 
  5  cafeteria or restaurant service may be used by the community for  school
 
  6  related  functions  and  activities  and to furnish meals to the elderly
 
  7  residents of the district, sixty years of age or older.  Utilization  by
 
  8  elderly  residents  or  school  related  groups  shall be subject to the
 
  9  approval of the board of education. Charges shall be sufficient to  bear
 
 10  the  direct  cost of preparation and serving of such meals, exclusive of
 
 11  any other available reimbursements.
 
 12    (2) [Certain  services  prohibited.    Commencing  with  the  nineteen
 
 13  hundred  ninety-seven--ninety-eight  school year, the commissioner shall
 
 14  not be authorized to approve as an aidable shared  service  pursuant  to
 
 15  this  subdivision  any  cooperative  maintenance  services  or municipal
 
 16  services, including but not limited to, lawn mowing services  and  heat-
 
 17  ing,  ventilation  or  air  conditioning  repair or maintenance or trash
 
 18  collection, or any other municipal services as defined  by  the  commis-
 
 19  sioner.  On  and after the effective date of this paragraph, the commis-
 
 20  sioner shall not approve, as an aidable shared service, any new  cooper-
 
 21  ative  maintenance  or  municipal  services  for  the  nineteen  hundred
 
 22  ninety-six--ninety-seven school year, provided that the commissioner may
 
 23  approve the continuation of such services for one year  if  provided  in
 
 24  the nineteen hundred ninety-five--ninety-six school year.
 
 25    (3)]  Requests  for  shared services; operating plan; required notice.
 
 26  Requests for such shared services shall be  filed  by  component  school
 
 27  districts  with  the board of cooperative educational services not later
 
 28  than the first day of February of each year, provided that such requests
 
                                        252                        13001-04-9
 
  1  shall not be binding upon the component school district.  The  board  of
 
  2  cooperative  educational services shall submit its proposed annual oper-
 
  3  ating plan for the ensuing school year to the  department  for  approval
 
  4  not  later  than  the fifteenth day of February of each year. Such board
 
  5  shall, through its  executive  officer,  notify  each  component  school
 
  6  district  on  or  before  the tenth day of March concerning the services
 
  7  which have been approved by the commissioner to be  made  available  for
 
  8  the  ensuing  school year. Such notice shall set forth the local uniform
 
  9  cost of each such service, based on (i) anticipated participation in the
 
 10  ensuing school year, or (ii) participation in the current year, or (iii)
 
 11  a two or three year average including participation in the current year,
 
 12  which unit cost shall  be  the  same  for  all  participating  component
 
 13  districts and shall be based upon a uniform methodology approved annual-
 
 14  ly  by  at  least  three-quarters  of the participating component school
 
 15  districts after  consultation  by  local  school  officials  with  their
 
 16  respective boards; provided, however, such unit cost shall be subject to
 
 17  final  adjustment  for  programs for students with disabilities based on
 
 18  actual participation in accordance with regulations of the commissioner.
 
 19  Notwithstanding the determination of the local uniform unit cost method-
 
 20  ology selected in accordance with this paragraph, each board of  cooper-
 
 21  ative  education  services shall annually report to the commissioner the
 
 22  budgeted unit cost and, when available, the actual  unit  cost  of  such
 
 23  programs  and  services,  in accordance with both the local uniform unit
 
 24  cost  methodology  and  a  statewide  uniform  unit   cost   methodology
 
 25  prescribed  by the commissioner by regulation, where the budgeted state-
 
 26  wide unit cost shall be based on the anticipated  participation  in  the
 
 27  ensuing year and the actual statewide unit cost shall be based on actual
 
 28  participation through the end of each year.
 
                                        253                        13001-04-9
 
  1    [(4)]  (3)  Contracts  for shared services; allocation of costs.  Each
 
  2  component school district shall on  or  before  the  first  day  of  May
 
  3  following  such notification notify the board of cooperative educational
 
  4  services of its intention to participate or not to participate  in  such
 
  5  shared  services and the specific services which such district elects to
 
  6  utilize. Each participating component school district shall be  required
 
  7  to pay the board of cooperative educational services for the cost of the
 
  8  services  set  forth in such notification, except for adjustments caused
 
  9  by subsequent unanticipated changes in the  district’s  enrollment.  The
 
 10  board  of  cooperative  educational  services shall enter into contracts
 
 11  with its component school districts for such requested services. A  copy
 
 12  of  each  executed  contract  for  such  purpose shall be filed with the
 
 13  commissioner by the board of  cooperative  educational  services  on  or
 
 14  prior  to  the  first  day  of  August of each year. Notwithstanding the
 
 15  provisions of paragraph b of  this  subdivision,  any  component  school
 
 16  district  which does not elect to participate in any such specific coop-
 
 17  erative services authorized under this paragraph shall not  be  required
 
 18  to  pay  any  share  of the moneys provided in the budget as salaries of
 
 19  teachers or other personnel employed  in  providing  such  service,  for
 
 20  equipment  and supplies for such service or for transportation of pupils
 
 21  to and from the  place  where  such  service  is  maintained.  Provided,
 
 22  further,  that  a board of cooperative educational services may allocate
 
 23  the cost of such services to component school  districts  in  accordance
 
 24  with  terms  agreed  upon  between  such board and three-quarters of the
 
 25  boards of education and trustees of local school districts participating
 
 26  in the service.
 
 27    [(5)] (4) Operating plan and budget;  unanticipated  shared  services.
 
 28  The  board  of  cooperative  educational  services  shall  submit to the
 
                                        254                        13001-04-9
 
  1  commissioner on or before the first day of June an  operating  plan  and
 
  2  budget  based  upon  the request for services which it has received from
 
  3  its component school districts. Such submission shall include the  budg-
 
  4  eted  unit cost of programs and services based on both the local and the
 
  5  statewide uniform unit cost methodologies for each program  and  service
 
  6  offered  by  the  board  of cooperative educational services. A board of
 
  7  cooperative educational services which receives  requests  for  unantic-
 
  8  ipated  shared  services  subsequent to the adoption of its budget shall
 
  9  submit an  amended  operating  plan  including  such  additional  shared
 
 10  services  to  the commissioner, together with a statement from the chief
 
 11  school administrator of each school district which  has  requested  such
 
 12  services  indicating  the  availability  of  funds  in the budget of the
 
 13  school district to pay for such district’s share of  the  cost  of  such
 
 14  additional  services. Such amended plan shall be submitted in the manner
 
 15  and form prescribed by regulations of the  commissioner.  The  board  of
 
 16  cooperative  educational  services  shall allocate the cost of providing
 
 17  such additional shared services among  the  component  school  districts
 
 18  which  have  requested such services, and shall contract with the compo-
 
 19  nent school districts for such services. A copy  of  each  contract  for
 
 20  this  purpose  shall  be  filed  by the board of cooperative educational
 
 21  services with the commissioner  not  more  than  thirty  days  from  its
 
 22  execution.  An annual program report and evaluation for each school year
 
 23  as prescribed by the commissioner, shall be submitted by  the  board  of
 
 24  cooperative  educational  services  to the commissioner on or before the
 
 25  first day of September following such school year.
 
 26    § 9. Subparagraph 4 of paragraph (bb) of subdivision 4 of section 1950
 
 27  of the education law is REPEALED, and subparagraphs 5 and 6  are  renum-
 
 28  bered subparagraphs 4 and 5.
 
                                        255                        13001-04-9
 
  1    §  10.  Subdivision 5 of section 1950 of the education law, as amended
 
  2  by chapter 53 of the laws of 1981, paragraph a as amended by chapter 474
 
  3  of the laws of 1996 and paragraph b as amended by chapter 53 of the laws
 
  4  of 1990, is amended to read as follows:
 
  5    5.    Apportionment of BOCES aid payable in the nineteen hundred nine-
 
  6  ty-nine --two thousand and prior school years. a. Upon application by  a
 
  7  board  of  cooperative  educational services, there shall be apportioned
 
  8  and paid from state funds  to  each  board  of  cooperative  educational
 
  9  services, for aid payable in the nineteen hundred ninety-nine--two thou-
 
 10  sand and prior school years, an amount which shall be the product of the
 
 11  approved  cost of services actually incurred during the base year multi-
 
 12  plied by the sharing ratio  for  cooperative  educational  services  aid
 
 13  which  shall equal the greater of:  (i) an amount equal to one minus the
 
 14  quotient expressed as a decimal to  three  places  without  rounding  of
 
 15  eight  mills divided by the tax rate of the local district computed upon
 
 16  the actual valuation of taxable  property,  as  determined  pursuant  to
 
 17  subdivision  one  of  section thirty-six hundred two of this chapter and
 
 18  notwithstanding section three thousand six hundred three,  expressed  in
 
 19  mills  to the nearest tenth as determined by the commissioner, provided,
 
 20  however, that where services are provided to a school district which  is
 
 21  included  within  a  central  high  school district or to a central high
 
 22  school  district,  such  amount  shall  equal  one  minus  the  quotient
 
 23  expressed  as  a decimal to three places without rounding of three mills
 
 24  divided by the tax rates, expressed in mills to the  nearest  tenth,  of
 
 25  such  districts, as determined by the commissioner or (ii) the aid ratio
 
 26  of each school district for the current year, which shall be such compo-
 
 27  nent school district’s board of  cooperative  educational  services  aid
 
 28  ratio  and  which shall be not less than thirty-six percent converted to
 
                                        256                        13001-04-9
 
  1  decimals and shall be not more than ninety percent  converted  to  deci-
 
  2  mals.  For  the purposes of this paragraph, the tax rate for the central
 
  3  high school district shall be the amount of tax raised by the common and
 
  4  union  free  school  districts  included  within the central high school
 
  5  district for the support of the central high school district divided  by
 
  6  the  actual  valuation of the central high school district. The tax rate
 
  7  for each common or union free school district shall be the amount raised
 
  8  for the support of such common or union free school district,  exclusive
 
  9  of  the  amount  raised for the central high school district, divided by
 
 10  such actual valuation of such common or union free school district.
 
 11    b. The cost of services herein referred to shall be the  amount  allo-
 
 12  cated  to  each  component  school  district by the board of cooperative
 
 13  educational services to defray expenses of such board, except that  that
 
 14  part of the salary paid any teacher, supervisor or other employee of the
 
 15  board  of  cooperative educational services which is in excess of thirty
 
 16  thousand dollars shall not be such an approved expense, and except  also
 
 17  that  administrative  and clerical expenses shall not exceed ten percent
 
 18  of the total expenses for  purposes  of  this  computation.  Any  gifts,
 
 19  donations  or  interest  earned  by the board of cooperative educational
 
 20  services or on behalf of the board of cooperative  educational  services
 
 21  by  the dormitory authority or any other source shall not be deducted in
 
 22  determining the cost of services  allocated  to  each  component  school
 
 23  district. The expense of transportation provided by the board of cooper-
 
 24  ative  educational  services pursuant to paragraph q of subdivision four
 
 25  of this section shall be eligible for aid apportioned pursuant to subdi-
 
 26  vision seven of section thirty-six hundred two of this  chapter  and  no
 
 27  board  of  cooperative educational services transportation expense shall
 
 28  be an approved cost of services for the computation of  aid  under  this
 
                                        257                        13001-04-9
 
  1  subdivision.  Transportation expense pursuant to paragraph q of subdivi-
 
  2  sion four of this section shall be included in the  computation  of  the
 
  3  ten percent limitation on administrative and clerical expenses.
 
  4    c.    The "tax rate" as herein referred to shall not include a special
 
  5  tax levied for debt service in an existing district of a central  school
 
  6  district or a consolidated district.
 
  7    d.  Nothing  in  this  act shall prevent school districts or boards of
 
  8  cooperative educational services with the approval of  the  commissioner
 
  9  of  education  from providing cooperative educational services for which
 
 10  no application for state aid is to be made.
 
 11    e. Any aid apportioned in accordance with section two hundred thirteen
 
 12  of the education law to a board of cooperative educational  services  in
 
 13  connection  with  the production of educational television materials and
 
 14  programs, or the acquisition by purchase, lease or  otherwise  of  tele-
 
 15  vision  facilities or operational expenses in connection therewith shall
 
 16  not be utilized in connection with computing the apportionment  to  such
 
 17  board  of  cooperative educational services. Any aid apportioned or paid
 
 18  by the state to a board of cooperative educational services  for  exper-
 
 19  imental  or  special  programs  shall not be utilized in connection with
 
 20  computing the apportionment to such  board  of  cooperative  educational
 
 21  services.
 
 22    f.  [The]  For aid payable in the nineteen hundred ninety-eight--nine-
 
 23  ty-nine and prior school year, the sum of  the  amounts  determined  for
 
 24  each  component  school  district  as  the apportionment to the board of
 
 25  cooperative educational services pursuant  to  the  provisions  of  this
 
 26  section  shall  not be less than the amount which would have been appor-
 
 27  tioned during the nineteen hundred sixty-seven--sixty-eight school  year
 
 28  under  the provisions of this subdivision as in effect on December thir-
 
                                        258                        13001-04-9
 
  1  ty-first, nineteen hundred sixty-six to the board of cooperative  educa-
 
  2  tional  services  of which the district was a component member for which
 
  3  such apportionment was made,  except  that  such  minimum  apportionment
 
  4  shall  be reduced in any year in which the expenditures of the component
 
  5  district for board of cooperative educational purposes  fall  below  the
 
  6  expenditure  on  which  the  nineteen  hundred  sixty-seven--sixty-eight
 
  7  apportionment to the  board  of  cooperative  educational  services  was
 
  8  based, such reduction to be made on a proportionate basis.
 
  9    g. Any payment required by a board of cooperative educational services
 
 10  to the dormitory authority or any payment required by a board of cooper-
 
 11  ative  educational services to acquire or construct a school facility of
 
 12  the board of cooperative educational  services,  and  any  payments  for
 
 13  rental  of  facilities  by  a  board of cooperative educational services
 
 14  shall, for the purposes of apportionment of public moneys to  the  board
 
 15  of  cooperative educational services by the state of New York, be deemed
 
 16  to be an administrative expense but the entire amount  of  such  payment
 
 17  shall be utilized in making such apportionment and the limitation of ten
 
 18  percent of the total expenses contained in this subdivision shall not be
 
 19  applicable.  Any  such payment shall not be considered part of the total
 
 20  expenses of the board for purposes of determining the administrative and
 
 21  clerical expenses not to exceed ten percent otherwise eligible  for  aid
 
 22  under  this  subdivision,  and such payments shall be considered for the
 
 23  purpose of apportionment during the current school year such payment  is
 
 24  made.  The apportionment for such payments shall be determined by multi-
 
 25  plying the amount of such payment allocated  to  each  component  school
 
 26  district  in  the  board  of cooperative educational services by the aid
 
 27  ratio, and shall be not more than ninety percent converted to  decimals,
 
 28  of each such component computed pursuant to subdivision three of section
 
                                        259                        13001-04-9
 
  1  thirty-six  hundred  two  and  used to apportion aid to that district in
 
  2  that current school year; provided, however, the apportionment shall  be
 
  3  based  upon  the  cost  of the board of cooperative educational services
 
  4  school  facilities  but  not  to  exceed the cost allowance set forth in
 
  5  subdivision six of section thirty-six hundred two of the  education  law
 
  6  and  payments  for rental facilities shall be subject to the approval of
 
  7  the commissioner.
 
  8    § 11. Subdivision 5-a of section 1950 of the education law is REPEALED
 
  9  and a new subdivision 5-a is added to read as follows:
 
 10    5-a. a. Notwithstanding any other provision of law  to  the  contrary,
 
 11  except  as  otherwise  provided  in paragraph b of this subdivision, the
 
 12  trustees or board of education of a school district which is currently a
 
 13  component school district of a board of cooperative educational services
 
 14  may, by a majority vote, withdraw from such board of cooperative  educa-
 
 15  tional  services  supervisory  district  as  of July first of any school
 
 16  year, provided that such trustees or board notifies the board of cooper-
 
 17  ative educational services in writing on or before the preceding January
 
 18  first of the district’s intent to withdraw from the supervisory district
 
 19  at the start of the next school year.
 
 20    b. Where the trustees or board of education of a school district  have
 
 21  previously  voted  to  withdraw  from a board of cooperative educational
 
 22  services supervisory district pursuant to paragraph a of  this  subdivi-
 
 23  sion, such trustees or board may, by majority vote, decide to rejoin the
 
 24  board  of  cooperative  educational services supervisory district. Where
 
 25  such a district votes to rejoin, the board  of  cooperative  educational
 
 26  services shall determine the date upon which such district may rejoin as
 
 27  a  component district and begin full participation in the program of the
 
 28  board of cooperative educational services, provided that such date shall
 
                                        260                        13001-04-9
 
  1  not be later than one year from the date of receipt of  the  request  to
 
  2  rejoin.  Upon rejoining a board of educational services pursuant to this
 
  3  paragraph, the trustees or board of education of  such  school  district
 
  4  may  not  vote  to  withdraw  from  the board of cooperative educational
 
  5  services supervisory district for a period of five years.
 
  6    c. Notwithstanding any other provision of law to  the  contrary,  once
 
  7  the  trustees  or  board  of education of a school district notifies the
 
  8  board of cooperative educational services that it has voted to  withdraw
 
  9  from the supervisory district, such trustees or board of education shall
 
 10  no  longer  be  eligible to vote on matters brought before the component
 
 11  districts during the remainder of the school  year,  including  but  not
 
 12  limited  to  the administrative budget or the election of members of the
 
 13  board of cooperative educational services, shall no longer  be  eligible
 
 14  to  nominate candidates to such board and shall not be eligible to enter
 
 15  into any agreements relating to facilities of the board  of  cooperative
 
 16  educational services, and the qualified voters residing in such district
 
 17  shall  no longer be eligible to vote on referenda relating to real prop-
 
 18  erty and facilities of the board  of  cooperative  educational  services
 
 19  pursuant  to  subdivision  two  of section nineteen hundred fifty-one of
 
 20  this article, and residents of such school district shall no  longer  be
 
 21  eligible   for  nomination  to  the  board  of  cooperative  educational
 
 22  services. Any current member of the  board  of  cooperative  educational
 
 23  services  who  resides in the school district withdrawing from the board
 
 24  of cooperative educational services shall vacate his or her position  as
 
 25  of the effective date of such withdrawal.
 
 26    d. Upon withdrawal from the board of cooperative educational services,
 
 27  the  school district shall not be responsible for any future administra-
 
 28  tive expenses of the board of cooperative educational  services,  except
 
                                        261                        13001-04-9
 
  1  that such district shall continue to be responsible for capital expenses
 
  2  incurred  prior  to  its notification of the board of cooperative educa-
 
  3  tional services of its intent to withdraw  to  the  extent  provided  in
 
  4  clause (iii) of subparagraph seven of paragraph b of subdivision four of
 
  5  this section.
 
  6    §  12.  Subdivision 8-a of section 1950 of the education law, as added
 
  7  by chapter 762 of the laws of 1972, is amended to read as follows:
 
  8    8-a.  Notwithstanding any other provision of this section and with the
 
  9  consent of the commissioner, the city school district  of  the  city  of
 
 10  Syracuse  may,  upon  consent  of  the  board of cooperative educational
 
 11  services for the sole supervisory  district  for  Onondaga  and  Madison
 
 12  counties,  be  included  as a component district for the sole purpose of
 
 13  operating a combined program and/or constructing a combined facility for
 
 14  the trainable mentally retarded children in the city of Syracuse and the
 
 15  county of Onondaga. Such city school district shall add an amount to its
 
 16  budget and levy, collect and pay the same to such board  of  cooperative
 
 17  educational services to defray the proportional expenses of constructing
 
 18  and operating such facility for such children. Such city school district
 
 19  shall  not  be liable for payment of administrative expenses as provided
 
 20  for in paragraph b of subdivision four of this section [nor  shall  such
 
 21  city school district be eligible for the payment of state aid under this
 
 22  section  except  such city school district shall receive state aid based
 
 23  on its proportionate share of building expenses related to this  program
 
 24  as determined by the commissioner.
 
 25    Such city school district shall continue to receive aid under subdivi-
 
 26  sion  five of section thirty-six hundred two for the attendance of chil-
 
 27  dren in this program].
 
                                        262                        13001-04-9
 
  1    § 13. Subdivision 8-c of section 1950 of the education law,  as  added
 
  2  by  section  14 of part A of chapter 436 of the laws of 1997, is amended
 
  3  to read as follows:
 
  4    8-c.  Notwithstanding  any other provision of this section, any school
 
  5  district not  a  component  of  the  board  of  cooperative  educational
 
  6  services  of  the  supervisory  district  serving  its  geographic area,
 
  7  including a city school district in a city having a population in excess
 
  8  of one hundred twenty-five thousand inhabitants,  upon  consent  of  the
 
  9  board  of  cooperative educational services and with the approval of the
 
 10  commissioner, may be treated in the same manner as  a  component  school
 
 11  district  of the board of cooperative educational services of the super-
 
 12  visory district serving its geographic area, or an  adjoining  board  of
 
 13  cooperative  educational  services in the case of a city school district
 
 14  in a city having one million inhabitants or more, for the  sole  purpose
 
 15  of  purchasing instructional support services, as defined by the commis-
 
 16  sioner. Each such school district shall add an amount to its budget  and
 
 17  shall  levy,  collect and pay the costs of such program to such board of
 
 18  cooperative educational services to defray its portion of  the  expenses
 
 19  of such program, including a charge for administration not to exceed the
 
 20  restricted  indirect  cost  rate, provided that the board of cooperative
 
 21  educational services shall not charge any portion of the  administrative
 
 22  costs  incurred  pursuant  to  this  subdivision to its component school
 
 23  districts. Such school districts shall not  be  liable  for  payment  of
 
 24  administrative  expenses  as  provided for in paragraph b of subdivision
 
 25  four of this section and subdivision one  of  section  nineteen  hundred
 
 26  fifty-one  of  this  article.  In the case of city school districts in a
 
 27  city with a population in excess of  one  hundred  twenty-five  thousand
 
 28  inhabitants,  such  participation  shall  be  in addition to the partic-
 
                                        263                        13001-04-9
 
  1  ipation authorized by subdivisions eight-a and eight-b of this  section.
 
  2  In the case of a city school district in a city with a population of one
 
  3  hundred  twenty-five  thousand  inhabitants  or more, in lieu of partic-
 
  4  ipation  as  a  component  district of an adjoining board of cooperative
 
  5  educational services, the city school district may opt to  provide  such
 
  6  support  services  as  shared services directly or in collaboration with
 
  7  one or more institutions of higher education. The approved costs of such
 
  8  services shall  be  eligible  for  state  aid  in  accordance  with  the
 
  9  provisions  of  subdivision  twenty of section thirty-six hundred two of
 
 10  this chapter[, and shall not be eligible for aid pursuant to subdivision
 
 11  five of this section].
 
 12    § 14. Subdivision 9-a of section 1950 of the education law,  as  added
 
 13  by chapter 21 of the laws of 1978, is amended to read as follows:
 
 14    9-a.  No  person  shall  be eligible to hold the office of member of a
 
 15  board of cooperative educational services who does not reside within the
 
 16  boundaries of a component school district of any such  board.    On  and
 
 17  after  July  first,  nineteen  hundred  ninety-nine,  no person shall be
 
 18  eligible to be elected or appointed to the office of member of  a  board
 
 19  of  cooperative  educational  services unless such person is a member of
 
 20  the board of education or other governing body  of  a  component  school
 
 21  district  of  such board, provided any person elected prior to such date
 
 22  who does not meet such requirement shall nevertheless remain eligible to
 
 23  hold such office until the expiration of his or her term.
 
 24    § 15. Paragraph f of subdivision 13 and paragraph f of subdivision  14
 
 25  of section 1950 of the education law are REPEALED.
 
 26    §  16. Section 2613 of the education law, as amended by chapter 644 of
 
 27  the laws of 1995, is amended to read as follows:
 
                                        264                        13001-04-9
 
  1    § 2613. Absentee ballots [for board member elections].  The  board  of
 
  2  education of each city school district to which this article applies may
 
  3  provide  for  absentee  ballots  [for  the election of candidates to the
 
  4  board of education only,] in accordance with the provisions  of  section
 
  5  two  thousand  eighteen-a  of  this chapter [insofar as applicable].  In
 
  6  counties with a population of one million or more, the board  of  educa-
 
  7  tion  of  each  city school district to which this section applies shall
 
  8  provide absentee ballots [for the election of candidates to the board of
 
  9  education only,] in accordance with the provisions of section two  thou-
 
 10  sand eighteen-a of this chapter [insofar as applicable].
 
 11    § 17. Subdivision 1 of section 3602 of the education law is amended by
 
 12  adding a new paragraph bb to read as follows:
 
 13    bb.  "Classified pupils" shall mean the number of pupils who are iden-
 
 14  tified as students with disabilities, as such term  is  defined  in  the
 
 15  regulations  of  the  commissioner,  who  are included in reports to the
 
 16  commissioner by the school district of pupils so identified as of Decem-
 
 17  ber first of the  school  year,  and  who  receive  special  educational
 
 18  services  or  attend  programs  which  meet  criteria established by the
 
 19  commissioner, and are operated by a school district or  by  a  board  of
 
 20  cooperative  educational  services,  whether  or  not  the district is a
 
 21  component of such board.
 
 22    § 18. Paragraph f of subdivision 1 of section 3602  of  the  education
 
 23  law,  as  amended by section 11-a of part C of chapter 58 of the laws of
 
 24  1998, is amended to read as follows:
 
 25    f. "Expense per pupil" shall mean approved operating expense  for  the
 
 26  year  prior  to  the  base  year divided by the sum, computed using year
 
 27  prior to the base year pupil counts, of the total  aidable  pupil  units
 
 28  plus:  (i) for aid payable in the nineteen hundred ninety-eight--ninety-
 
                                        265                        13001-04-9
 
  1  nine  and  nineteen  hundred  ninety-nine--two  thousand  school  years,
 
  2  weighted  pupils  with handicapping conditions, and (ii) for aid payable
 
  3  in the two thousand--two thousand one school year  and  thereafter,  the
 
  4  year  prior  to  the base year classified pupils.  Expense per pupil for
 
  5  each borough in the city school district of the city of New  York  shall
 
  6  be  the  expense  per  pupil of the entire city school district. For aid
 
  7  payable in the nineteen hundred ninety-eight--ninety-nine  school  year,
 
  8  expense  per  pupil  for the city school district of the city of Buffalo
 
  9  shall be five thousand nine hundred eighty-five.
 
 10    § 19. Paragraph j of subdivision 1 of section 3602  of  the  education
 
 11  law,  as  amended  by section 32 of part A of chapter 436 of the laws of
 
 12  1997 and subparagraph (v) as amended by section 11-a of part C of  chap-
 
 13  ter 58 of the laws of 1998, is amended to read as follows:
 
 14    j.  "Comprehensive  operating  aids  base"  for  the  purposes of this
 
 15  section:
 
 16    [(i)] (1) for aid payable in the nineteen hundred  ninety-three--nine-
 
 17  ty-four  school  year,  shall  mean: the net total amount a district was
 
 18  eligible to receive during the base year under the provisions of  subdi-
 
 19  visions  twelve,  thirteen,  fifteen, sixteen, twenty-two, twenty-three,
 
 20  twenty-six, and thirty-two of this section and the adjustment in aid due
 
 21  to the selection made pursuant to subdivision eighteen of this  section,
 
 22  except  that for aid payable in the nineteen hundred ninety-three--nine-
 
 23  ty-four school year, such term shall mean the sum of the aids payable in
 
 24  the nineteen hundred ninety-two--ninety-three school  year  pursuant  to
 
 25  (1)  the  following  subdivisions  of  section thirty-six hundred one-a:
 
 26  twelve or fifteen, whichever applies, and thirteen, or, in the  alterna-
 
 27  tive,  eighteen; sixteen; twenty; twenty-two; twenty-three; twenty-five;
 
 28  twenty-six; twenty-nine; thirty; thirty-two; thirty-three;  and  thirty-
 
                                        266                        13001-04-9
 
  1  four;  (2)  an  amount  equal  to  the product of transportation expense
 
  2  approved for aid in the nineteen hundred ninety-two--ninety-three school
 
  3  year in accordance with subdivision seven of section thirty-six  hundred
 
  4  one-a  of  this article multiplied by the remainder of nine-tenths minus
 
  5  the building aid ratio computed for aid payable in the nineteen  hundred
 
  6  ninety-two--ninety-three  school  year  pursuant to subdivision three of
 
  7  section thirty-six hundred one-a of this  article;  and  (3)  any  other
 
  8  adjustments  pursuant  to  paragraphs  k,  l and m of subdivision one of
 
  9  section thirty-six hundred nine of this article,  and  except  that  the
 
 10  comprehensive  operating  aids  base  for  aid  payable  in the nineteen
 
 11  hundred ninety-three--ninety-four school year, and for aid  calculations
 
 12  for  subsequent  school  years based on aid payable in such school year,
 
 13  shall be deemed final and not subject to change on or after July  first,
 
 14  nineteen hundred ninety-six; whereas:
 
 15    [(ii)]  (2) for aid payable in the nineteen hundred ninety-four--nine-
 
 16  ty-five and nineteen hundred ninety-five--ninety-six school years,  such
 
 17  term  shall mean the net total amount a district was eligible to receive
 
 18  during the base  year  under  the  provisions  of  subdivisions  twelve,
 
 19  fifteen,  sixteen,  twenty-two, twenty-three, twenty-six, and thirty-two
 
 20  of this section and the adjustment in aid  due  to  the  selection  made
 
 21  pursuant  to  subdivision eighteen of this section, except that: (A) the
 
 22  comprehensive operating aids  base  for  aid  payable  in  the  nineteen
 
 23  hundred  ninety-four--ninety-five  school year, and for aid calculations
 
 24  for subsequent school years based on aid payable in  such  school  year,
 
 25  shall  be deemed final and not subject to change on or after July first,
 
 26  nineteen hundred ninety-eight, and (B) the comprehensive operating  aids
 
 27  base  for  aid  payable  in the nineteen hundred ninety-five--ninety-six
 
 28  school year, and for aid calculations for subsequent school years  based
 
                                        267                        13001-04-9
 
  1  on  aid  payable  in  such  school  year,  shall be deemed final and not
 
  2  subject to change on or after July first, nineteen hundred ninety-nine;
 
  3    [(iii)]  (3) for aid payable in the nineteen hundred ninety-six--nine-
 
  4  ty-seven school year, such term  shall  mean  the  net  total  amount  a
 
  5  district  was  eligible  to  receive  during  the  base  year  under the
 
  6  provisions of clause (i) of  paragraph  a  of  subdivision  twelve,  and
 
  7  subdivisions  fifteen,  sixteen, twenty-two, twenty-three and twenty-six
 
  8  of this section and the adjustment in aid  due  to  the  selection  made
 
  9  pursuant  to subdivision eighteen of this section, except that in a city
 
 10  school district in a city with a population of more  than  one  million,
 
 11  for  aid payable in the nineteen hundred ninety-six--ninety-seven school
 
 12  year, the comprehensive operating aids base shall be  increased  by  the
 
 13  amount by which growth aid for aid payable in the nineteen hundred nine-
 
 14  ty-four--ninety-five  school  year  calculated  pursuant  to subdivision
 
 15  thirteen of this section notwithstanding section  five  hundred  thirty-
 
 16  eight  of  chapter  one  hundred seventy of the laws of nineteen hundred
 
 17  ninety-four exceeds growth aid calculated  for  such  school  year,  and
 
 18  except that the comprehensive operating aids base for aid payable in the
 
 19  nineteen  hundred  ninety-six--ninety-seven  school  year,  and  for aid
 
 20  calculations for subsequent school years based on  aid  payable  in  the
 
 21  such  school year, shall be deemed final and not subject to change on or
 
 22  after July first, two thousand;
 
 23    [(iv)] (4) for aid payable in the nineteen hundred ninety-seven--nine-
 
 24  ty-eight school year, such term  shall  mean  the  net  total  amount  a
 
 25  district  was  eligible  to  receive  during  the  base  year  under the
 
 26  provisions of clause (i) of  paragraph  a  of  subdivision  twelve,  and
 
 27  subdivisions  fifteen,  sixteen,  twenty-two,  and  twenty-three of this
 
 28  section and the adjustment in aid due to the selection made pursuant  to
 
                                        268                        13001-04-9
 
  1  subdivision  eighteen  of  this  section,  except that the comprehensive
 
  2  operating aids base for aid payable in the nineteen hundred  ninety-sev-
 
  3  en--ninety-eight  school  year,  and for aid calculations for subsequent
 
  4  school  years  based  on  aid  payable in the such school year, shall be
 
  5  deemed final and not subject to change on or after July first, two thou-
 
  6  sand; and
 
  7    [(v)] (5) for aid payable in the nineteen hundred  ninety-eight--nine-
 
  8  ty-nine school year [and thereafter], such term shall mean the net total
 
  9  amount a district was eligible to receive during the base year under the
 
 10  provisions  of  clause  (i)  of  paragraph  a of subdivision twelve, and
 
 11  subdivisions fifteen, and sixteen of this section and the adjustment  in
 
 12  aid  due  to the selection made pursuant to subdivision eighteen of this
 
 13  section, except that the comprehensive operating aids base for aid paya-
 
 14  ble in the nineteen hundred ninety-eight--ninety-nine school  year  [and
 
 15  thereafter],  and for aid calculations for subsequent school years based
 
 16  on aid payable in such school years,  shall  be  deemed  final  and  not
 
 17  subject  to  change on or after July first [of the school year following
 
 18  the last school year in which  the  commissioner  may  last  accept  and
 
 19  certify  for  payment any additional claim for such school year pursuant
 
 20  to paragraph a of subdivision five of section thirty-six hundred four of
 
 21  this article], two thousand one.
 
 22    (6) (i) for aid payable in the two thousand--two thousand  one  school
 
 23  year,  such term shall mean the net total amount a district was eligible
 
 24  to receive during the base year in core  operating  aid  pursuant  to  a
 
 25  chapter  of  the  laws  of 1999 enacting the education, labor and family
 
 26  assistance component of the 1999-00 omnibus appropriation bill, plus the
 
 27  BOCES services aid adjustment for component school districts of a  board
 
 28  of cooperative educational services, except that the comprehensive oper-
 
                                        269                        13001-04-9
 
  1  ating  aids  base  for aid payable in the two thousand--two thousand one
 
  2  school year and thereafter, and  for  aid  calculations  for  subsequent
 
  3  school  years based on aid payable in such school years, shall be deemed
 
  4  final  and  not  subject  to change on or after July first of the school
 
  5  year following the last school year in which the commissioner  may  last
 
  6  accept and certify for payment any additional claim for such school year
 
  7  pursuant  to  paragraph  a  of  subdivision  five  of section thirty-six
 
  8  hundred four of this article.
 
  9    (ii) For purposes  of  this  subparagraph,  the  "BOCES  services  aid
 
 10  adjustment"  shall  mean  the result obtained when the sharing ratio for
 
 11  cooperative educational services aid for the  nineteen  hundred  ninety-
 
 12  nine--two  thousand  school  year, determined pursuant to paragraph a of
 
 13  subdivision five of section nineteen hundred fifty of this  chapter,  is
 
 14  multiplied  by the selected BOCES shared services expense and the result
 
 15  is multiplied by seventy-five percent. The selected BOCES shared service
 
 16  expense shall equal the reported and approved expenses actually incurred
 
 17  by the component school district for aidable shared services provided by
 
 18  the board of cooperative educational services in  the  nineteen  hundred
 
 19  ninety-eight--ninety-nine school year, exclusive of capital expenses.
 
 20    §  20.  Subparagraph 1 of paragraph n of subdivision 1 of section 3602
 
 21  of the education law, as amended by chapter 474 of the laws of 1996,  is
 
 22  amended to read as follows:
 
 23    (1)  "Enrollment"  shall  mean  the unduplicated count of all children
 
 24  registered  to  receive  educational  services  in  grades  kindergarten
 
 25  through  twelve,  including children in ungraded programs, as registered
 
 26  on the date prior to November first that is specified by the commission-
 
 27  er as the enrollment reporting date for the school district or nonpublic
 
 28  school, as reported to the commissioner.   Enrollment  for  the  current
 
                                        270                        13001-04-9
 
  1  school  year  as  defined  in  this  paragraph,  including public school
 
  2  district enrollment, nonpublic school enrollment, resident public school
 
  3  district enrollment, resident nonpublic school district  enrollment  and
 
  4  additional  public  school  enrollment,  shall  be  deemed final and not
 
  5  subject to change after June thirtieth of the current school year  based
 
  6  on data on file with the commissioner on such date.
 
  7    § 21. Subparagraphs 1 and 3 of paragraph a of subdivision 6 of section
 
  8  3602 of the education law, as amended by section 14 of part C of chapter
 
  9  58 of the laws of 1998, are amended to read as follows:
 
 10    (1)  For new construction and the purchase of existing structures, the
 
 11  cost allowances shall be based upon the rated capacity of  the  building
 
 12  or  addition and a basic per pupil allowance of up to six thousand three
 
 13  hundred seventy-five dollars  adjusted  monthly  by  a  statewide  index
 
 14  reflecting  changes in the cost of labor and materials since July first,
 
 15  nineteen hundred ninety-two, established by the commissioner  of  labor,
 
 16  modified by an annual county or multi-county labor market composite wage
 
 17  rate,  established by the commissioner of labor in consultation with the
 
 18  commissioner, for July first of the base year,  commencing  July  first,
 
 19  nineteen hundred ninety-seven for general construction contracts awarded
 
 20  on  or  after  July first, nineteen hundred ninety-eight, indexed to the
 
 21  median of such county or multi-county rates,  but  not  less  than  one.
 
 22  Such  base  allowance  shall  apply to a building or an addition housing
 
 23  grades prekindergarten through six and shall be adjusted for a  building
 
 24  or  an addition housing grades seven through nine by a factor of one and
 
 25  four-tenths, for a building or an addition housing grades seven  through
 
 26  twelve  by  a  factor of one and five-tenths, for a building or addition
 
 27  housing special education programs by a factor of two, except that where
 
 28  such building or addition is connected to,  or  such  space  is  located
 
                                        271                        13001-04-9
 
  1  within,  a  public  school  facility  housing  programs  for nondisabled
 
  2  pupils, as approved by the commissioner, a  factor  of  three  shall  be
 
  3  used. Rated capacity of a building or an addition shall be determined by
 
  4  the  commissioner  based  on  space standards and other requirements for
 
  5  building construction  specified  by  the  commissioner.  Such  assigned
 
  6  capacity ratings shall include, in addition to those spaces used for the
 
  7  instruction  of  pupils,  those spaces which are used for elementary and
 
  8  secondary school libraries,  cafeterias,  prekindergarten  instructional
 
  9  rooms,  teachers' conference rooms, gymnasiums and auditoriums.  For new
 
 10  construction projects approved by the qualified voters on or after  July
 
 11  first,  nineteen hundred ninety-nine, or approved by the board of educa-
 
 12  tion of the school district on or after such date where  voter  approval
 
 13  is  not  required,  such  rated capacity for new buildings and additions
 
 14  constructed to replace existing buildings that, in the judgment  of  the
 
 15  commissioner,  have  not been adequately maintained and have not reached
 
 16  their projected useful life shall be reduced by the commissioner  by  an
 
 17  amount  proportional  to the remaining unused portion of the useful life
 
 18  of the existing buildings, provided however that  the  commissioner  may
 
 19  waive  such  requirement upon a finding that replacement of the existing
 
 20  building is necessary to protect the health and safety  of  students  or
 
 21  staff  ,  that reconstruction and modernization of the existing building
 
 22  would not adequately address such health and safety problems , and  that
 
 23  the need to replace the building was not caused by failure to adequately
 
 24  maintain the building. If the commissioner of labor resets the statewide
 
 25  index  reflecting changes in the costs of labor and materials since July
 
 26  first, nineteen hundred ninety-two, the commissioner shall  adopt  regu-
 
 27  lations to supersede the basic per pupil allowance of up to six thousand
 
                                        272                        13001-04-9
 
  1  three hundred seventy-five dollars to the imputed allowance in effect at
 
  2  that time.
 
  3    (3) Cost allowances for reconstructing or modernizing structures shall
 
  4  not  exceed one hundred per centum of the cost allowances for the equiv-
 
  5  alent new construction over the projected useful life of  the  building,
 
  6  to be determined in accordance with the regulations of the commissioner.
 
  7  Reconstruction  projects  shall reasonably meet the criteria established
 
  8  for new  construction,  including  but  not  limited  to  energy,  fire,
 
  9  personal safety and space per pupil standards.
 
 10    §  22.  Section  3602  of the education law is amended by adding a new
 
 11  subdivision 6-f to read as follows:
 
 12    6-f. Building aid for continuing capital projects of a board of  coop-
 
 13  erative  educational services. For aids payable in the two thousand--two
 
 14  thousand one school year and thereafter, a component school district, or
 
 15  a former component school district of a board of cooperative educational
 
 16  services which has withdrawn from the supervisory district  pursuant  to
 
 17  subdivision  five  of  section  nineteen  hundred fifty of this chapter,
 
 18  shall be eligible for an apportionment pursuant to this subdivision  for
 
 19  approved  capital  expenditures  allocated  by  the board of cooperative
 
 20  educational services to such school district for the current year pursu-
 
 21  ant to subparagraph seven of paragraph b of  subdivision  four  of  such
 
 22  section  nineteen  hundred fifty for any project approved by the commis-
 
 23  sioner prior to July first, nineteen hundred ninety-nine for the  lease,
 
 24  construction, acquisition, reconstruction, rehabilitation or improvement
 
 25  of  a school facility of such board of cooperative educational services.
 
 26  Such apportionment shall equal the product of the approved costs of such
 
 27  project, or projects, as computed pursuant to subdivision  six  of  this
 
 28  section and allocated to the district for the current school year multi-
 
                                        273                        13001-04-9
 
  1  plied  by  the  board  of  cooperative educational services aid ratio as
 
  2  computed pursuant to subparagraph (ii) of paragraph three of subdivision
 
  3  three of this section.
 
  4    § 23. Paragraph (ii) of subdivision 8 of section 3602 of the education
 
  5  law,  as added by chapter 474 of the laws of 1996, is amended to read as
 
  6  follows:
 
  7    (ii) Computation of total aidable pupil units for operating aid  paya-
 
  8  ble  in  the nineteen hundred ninety-seven--ninety-eight school year and
 
  9  thereafter. A district’s total aidable pupil units for  the  purpose  of
 
 10  computing  operating  aid  shall  be  the sum of the district’s adjusted
 
 11  average daily attendance computed pursuant to this section for the  year
 
 12  prior  to  the  base  year  multiplied  by the enrollment index computed
 
 13  pursuant to this section for the base year plus the  additional  aidable
 
 14  pupil  units computed for the year prior to the base year under subdivi-
 
 15  sion nine of this section.
 
 16    § 24. Paragraph b of subdivision 9 of section 3602  of  the  education
 
 17  law,  as  added by chapter 57 of the laws of 1993, is amended to read as
 
 18  follows:
 
 19    b. For the computation of total wealth pupil units,  as  used  in  the
 
 20  calculation  of  aid  payable  in  the nineteen hundred ninety-nine--two
 
 21  thousand and prior school years, additional aidable  pupil  units  shall
 
 22  include  the  year  prior to the base year resident weighted pupils with
 
 23  special educational needs and resident weighted pupils with handicapping
 
 24  conditions.  For the computation of total wealth pupil units, as used in
 
 25  the calculation of aid payable in the two thousand--two thousand one and
 
 26  later school years, additional aidable pupil  units  shall  include  the
 
 27  year prior to the base year resident weighted pupils with special educa-
 
 28  tional  needs  and  the  number of resident pupils who are identified as
 
                                        274                        13001-04-9
 
  1  students with disabilities, as such term is defined in  the  regulations
 
  2  of  the commissioner, who are included in reports to the commissioner by
 
  3  the school district of pupils so identified as of December first of  the
 
  4  year  prior to the base year, and who receive special education services
 
  5  or attend special education programs which meet criteria established  by
 
  6  the commissioner, and are operated by a school district or by a board of
 
  7  cooperative  educational  services,  whether  or  not  the district is a
 
  8  component of such board.
 
  9    § 25. Subdivision 9-a of section 3602 of the education law, as amended
 
 10  by chapter 474 of the laws of 1996, is amended to read as follows:
 
 11    9-a. Secondary school weighting. [There]  a.  Except  as  provided  in
 
 12  paragraph b of this subdivision, there shall be added to the total aida-
 
 13  ble  pupil  units computed in subdivision eight of this section a number
 
 14  obtained by multiplying by twenty-five per centum the  adjusted  average
 
 15  daily  attendance in grades seven through twelve excluding attendance of
 
 16  pupils who receive a weighting for handicapping  conditions  except  for
 
 17  those  pupils,  if  any,  for whom a weighting of thirteen-hundredths is
 
 18  provided in clause four of subparagraph b of paragraph one  of  subdivi-
 
 19  sion  nineteen  of this section. Only resident secondary pupils shall be
 
 20  used for computation of wealth units.
 
 21    b. For the purpose of computing total aidable pupil units for  operat-
 
 22  ing  aid  payable  in  the  nineteen  hundred ninety-seven--ninety-eight
 
 23  school year  and  thereafter  pursuant  to  subdivision  eight  of  this
 
 24  section,  there shall be added to the total aidable pupil units computed
 
 25  in such subdivision eight a number equal to the product of: (i)  twenty-
 
 26  five  per  centum,  (ii) the adjusted average daily attendance in grades
 
 27  seven through twelve for the year prior  to  the  base  year,  excluding
 
 28  attendance of pupils who receive a weighting for handicapping conditions
 
                                        275                        13001-04-9
 
  1  except  for  those pupils, if any, for whom a weighting of thirteen-hun-
 
  2  dredths is provided in clause four of subparagraph b of paragraph one of
 
  3  subdivision nineteen of this section, and  (iii)  the  enrollment  index
 
  4  computed pursuant to this section for the base year.
 
  5    §  26.    Paragraphs  a and b of subdivision 10 of section 3602 of the
 
  6  education law, as amended by chapter  301  of  the  laws  of  1996,  are
 
  7  amended to read as follows:
 
  8    a. Program approval requirements. Except as provided in subclause (ii)
 
  9  of  clause  (G) of subparagraph two of paragraph g of subdivision twelve
 
 10  of this section, any school district required to set aside a portion  of
 
 11  its comprehensive operating aid for pupils with compensatory educational
 
 12  needs  in an amount in excess of two hundred fifty thousand dollars, any
 
 13  school district receiving limited English proficiency  aid  pursuant  to
 
 14  subdivision  twenty-two  of  this  section  or any district receiving an
 
 15  additional apportionment pursuant to subdivision nineteen, nineteen-a or
 
 16  nineteen-b of this section for pupils with disabilities or any  district
 
 17  receiving  an additional apportionment pursuant to subdivision seventeen
 
 18  of this section for pupils in career education programs  shall  use  the
 
 19  total  funds  attributable  to  such  pupils  for  locally  administered
 
 20  programs for such pupils in accordance with regulations  issued  by  the
 
 21  commissioner,  provided,  however,  that  the funds received as an addi-
 
 22  tional apportionment pursuant to subdivision nineteen-a or nineteen-b of
 
 23  this section for special education services for pupils with disabilities
 
 24  and for preventive services may be  expended  for  locally  administered
 
 25  special  education programs for pupils with disabilities and for locally
 
 26  administered prevention and support services as defined by  the  commis-
 
 27  sioner  that will enable pupils to maintain their placement in a program
 
 28  of regular education or enable pupils with disabilities to  successfully
 
                                        276                        13001-04-9
 
  1  participate  in  a program of regular education.  Such regulations shall
 
  2  provide for the use of such  funds  in  the  manner  determined  by  the
 
  3  commissioner  to be the most educationally advantageous for such pupils;
 
  4  and  such  regulations  shall  also  include  annual  district reporting
 
  5  requirements which shall require the identification of  such  pupils,  a
 
  6  statement  describing  the expenditure of the preceding year’s funds for
 
  7  such pupils and an evaluation of the results obtained from such expendi-
 
  8  tures. A district which spends any part of its total  annual  apportion-
 
  9  ment  attributable  to such pupils in an unauthorized manner in the base
 
 10  year shall have its current year apportionment reduced by the amount  of
 
 11  such unauthorized expenditures in the base year.
 
 12    b.  District  plans  of  service.  Except as provided in clause (G) of
 
 13  subparagraph two of paragraph g of subdivision twelve of  this  section,
 
 14  any school district required to set aside a portion of its comprehensive
 
 15  operating  aid for pupils with compensatory educational needs as defined
 
 16  in such paragraph g, or any school district  receiving  limited  English
 
 17  proficiency aid pursuant to subdivision twenty-two of this section or an
 
 18  additional apportionment pursuant to subdivision nineteen, nineteen-a or
 
 19  nineteen-b  of  this  section  for special education services for pupils
 
 20  with disabilities and for preventive services  or to subdivision  seven-
 
 21  teen  of  this  section  for  pupils in career education programs shall,
 
 22  prior to September first, nineteen hundred seventy-four and every  third
 
 23  year  thereafter,  submit  to  the  commissioner  an  acceptable plan of
 
 24  service describing the student outcomes expected from implementation  of
 
 25  the  proposed  plan, except that after September first, nineteen hundred
 
 26  eighty-six such plans with respect to the apportionment for pupils  with
 
 27  disabilities or for pupils in career education programs shall be submit-
 
 28  ted  every two years at a date specified by the commissioner and revised
 
                                        277                        13001-04-9
 
  1  annually. Such plans shall be in a form prescribed by the  commissioner,
 
  2  and  except as heretofore provided, shall have the content prescribed by
 
  3  the commissioner. The commissioner  may,  from  time  to  time,  require
 
  4  amendments  of  such  plans as deemed to be necessary and appropriate to
 
  5  further the educational welfare of the pupils involved.
 
  6    § 27. Subdivision 11 of section 3602 of the education law, as  amended
 
  7  by chapter 82 of the laws of 1995, is amended to read as follows:
 
  8    11.  Approved  operating  expense.  The approved operating expense for
 
  9  apportionments to any school district hereunder  shall  be  computed  as
 
 10  follows:
 
 11    a.  The  apportionment  to  any  school district for operating expense
 
 12  shall be based upon the total expenditures from  its  general  fund  and
 
 13  from  its  capital fund and from its risk retention fund for purposes of
 
 14  employee benefit claims related to salaries paid from the general  fund,
 
 15  and  for  any  city  school districts with a population of more than one
 
 16  hundred twenty-five  thousand  inhabitants  its  expenditures  from  the
 
 17  special  aid  fund  of  grant moneys for improving pupil performance and
 
 18  categorical aid for special reading programs as provided in the  aid  to
 
 19  localities  budget during the applicable year as approved by the commis-
 
 20  sioner, and in accordance with the classification of expenditures in use
 
 21  by the commissioner for the reporting by school districts  of  receipts,
 
 22  expenditures  and other financial data. For the purpose of this subdivi-
 
 23  sion operating expense shall  be  defined  as  total  cash  expenditures
 
 24  during  the  applicable  year,  but  shall exclude: (1) any balances and
 
 25  transfers; (2) any payments for transportation of  pupils  to  and  from
 
 26  school  during  the regular school year inclusive of capital outlays and
 
 27  debt service therefor; (3) any payments  for  capital  outlay  and  debt
 
 28  service  for  school  building  purposes, provided, however, that in the
 
                                        278                        13001-04-9
 
  1  case of a school district which has entered into a contract  with  state
 
  2  university  pursuant  to paragraph o of subdivision two of section three
 
  3  hundred fifty-five of this chapter,  under  which  the  school  district
 
  4  makes payments to state university on account of capital outlay relating
 
  5  to  certain  children  residing  in  such school district, such payments
 
  6  shall not be so excluded; (4) any payments for cafeteria or school lunch
 
  7  programs; (5) any proceeds of short term borrowings in the general  fund
 
  8  and  any  payments  from  the proceeds of the sale of obligations in the
 
  9  capital fund; (6) any cash receipts which reduce the  cost  of  an  item
 
 10  when  applied  against the expenditure therefor, except gifts, donations
 
 11  and earned interest and any refunds  made;  (7)  any  payments  made  to
 
 12  boards  of  cooperative  educational  services  and to county vocational
 
 13  education and extension boards for purposes or  programs  for  which  an
 
 14  apportionment is paid pursuant to other sections of this chapter, except
 
 15  that  payments  attributable  to  eligible  pupils with disabilities and
 
 16  ineligible pupils residing in noncomponent districts shall  be  included
 
 17  in  operating  expense;  (8)  any  tuition payments made to other school
 
 18  districts inclusive of payments made to a central high  school  district
 
 19  by  one  of  its  component  school  districts; (9) any apportionment or
 
 20  payment received from the state for  experimental  or  special  programs
 
 21  paid  under  provisions other than those found in this section; (10) any
 
 22  funds received from the federal government except the federal  share  of
 
 23  medicaid subject to the provisions of section thirty-six hundred nine or
 
 24  thirty-six  hundred  nine-a,  as  the  case  may be, of this chapter and
 
 25  except Impact Aid funds received pursuant to sections  two  and  six  of
 
 26  Public  Law eighty-one-eight hundred seventy-four (PL 81-874) or any law
 
 27  superseding such law in any such district which received aid pursuant to
 
 28  both such sections; provided  further,  however,  that  there  shall  be
 
                                        279                        13001-04-9
 
  1  excluded  from  such  federal funds or other apportionments any payments
 
  2  from such funds already deducted pursuant to this  paragraph;  (11)  any
 
  3  payments made for which an apportionment is disallowed pursuant to regu-
 
  4  lations  of the commissioner; (12) any expenditures made for accounting,
 
  5  tabulation, or computer equipment, in excess  of  ten  thousand  dollars
 
  6  unless  such  expenditures  shall have been specifically approved by the
 
  7  commissioner; (13) any rentals received pursuant to  the  provisions  of
 
  8  section  four hundred three-a of this chapter; (14) any rentals or other
 
  9  annual payments received pursuant to  the  provisions  of  section  four
 
 10  hundred  three-b of this chapter; (15) any expenditures made for persons
 
 11  twenty-one years of age or over attending employment preparation  educa-
 
 12  tion  programs  pursuant to subdivision twenty-four of this section; and
 
 13  (16) and any tuition payments made pursuant  to  a  contract  under  the
 
 14  provisions  of  paragraphs  e,  f,  g,  h, i and l of subdivision two of
 
 15  section forty-four hundred one of this chapter or any  tuition  payments
 
 16  on  behalf  of pupils attending a state school under paragraph d of such
 
 17  subdivision.
 
 18    b. For the two thousand--two thousand one school year and  thereafter,
 
 19  approved  operating  expense  shall  mean  the  result obtained when the
 
 20  selected BOCES shared service expense as computed pursuant  to  subpara-
 
 21  graph  six  of  paragraph  j  of  subdivision  one  of  this section, is
 
 22  subtracted from the amount computed pursuant  to  paragraph  a  of  this
 
 23  subdivision.
 
 24    §  28. Subparagraph 6 of paragraph f of subdivision 12 of section 3602
 
 25  of the education law, as amended by section 24 of part C of  chapter  58
 
 26  of the laws of 1998, is amended to read as follows:
 
 27    (6)  A  school  district  which  spends less in local funds during the
 
 28  current year than in the  base  year  for  the  purposes  of  conducting
 
                                        280                        13001-04-9
 
  1  programs to improve student attendance and student retention, as defined
 
  2  by  regulation  of  the commissioner, shall have its apportionment under
 
  3  this section reduced in an  amount  equal  to  such  deficiency  in  the
 
  4  current  year  or  the  succeeding  school year. In addition, a district
 
  5  which spends any part of its total annual set aside attributable to such
 
  6  purposes in an unauthorized manner in  the  base  year  shall  have  its
 
  7  current year apportionment under this section reduced in an amount equal
 
  8  to  the  amount of such unauthorized expenditures. In no event shall the
 
  9  reductions assessed pursuant to this clause on the current  year  appor-
 
 10  tionment  under  this  section, be deducted from the set asides required
 
 11  pursuant to this subdivision. For the nineteen  hundred  [ninety-eight--
 
 12  ninety-nine]  ninety-nine--two  thousand  school  year,  it  is  further
 
 13  provided that any city school district in a city having a population  of
 
 14  more  than one million shall allocate at least one-third of any increase
 
 15  from base year levels in funds set aside pursuant to the requirements of
 
 16  this paragraph to community-based organizations. Any  increase  required
 
 17  pursuant  to  this subparagraph to community-based organizations must be
 
 18  in addition to allocations provided to community-based organizations  in
 
 19  the base year.
 
 20    §  29. Subparagraph 2 of paragraph b of subdivision 13 of section 3602
 
 21  of the education law, as added by chapter 474 of the laws  of  1996,  is
 
 22  amended to read as follows:
 
 23    (2) Any district having a growth index in excess of one and four thou-
 
 24  sandths  shall  be  paid an additional amount in the current year deter-
 
 25  mined by multiplying the actual excess as verified by  the  commissioner
 
 26  based  on reports of enrollment for the current year as submitted to the
 
 27  commissioner, by the amount of the apportionment  selected  pursuant  to
 
 28  clause  (i)  of  paragraph  a  of  subdivision  twelve  of this section.
 
                                        281                        13001-04-9
 
  1  [Notwithstanding section thirty-six hundred nine-a of this chapter, such
 
  2  additional amount shall be paid in  June  of  the  current  school  year
 
  3  provided that required reports have been submitted in a manner satisfac-
 
  4  tory to the commissioner.]
 
  5    §  30.  Paragraph h of subdivision 14 of section 3602 of the education
 
  6  law is REPEALED.
 
  7    § 31. Paragraph d of subdivision 15 of section 3602 of  the  education
 
  8  law,  as  amended  by  section 25 of part C of chapter 58 of the laws of
 
  9  1998, is amended to read as follows:
 
 10    d. Notwithstanding any inconsistent provisions  of  this  article,  if
 
 11  such  city  school  district elected to receive operating aid payable in
 
 12  the nineteen hundred [ninety-seven--ninety-eight]  ninety-eight--ninety-
 
 13  nine  school  year  under  the  provisions of this subdivision, approved
 
 14  transportation expense for public service transportation for transporta-
 
 15  tion aid payable in  the  nineteen  hundred  [ninety-eight--ninety-nine]
 
 16  ninety-nine--two thousand school year shall not include any expenditures
 
 17  to  the  New  York City Metropolitan Transportation Authority for public
 
 18  service transportation during the nineteen hundred  [ninety-seven--nine-
 
 19  ty-eight]  ninety-eight--ninety-nine  school year nor shall such expense
 
 20  be included in approved operating expense.
 
 21    § 32. The subdivision heading of subdivision 19 of section 3602 of the
 
 22  education law, as added by chapter 57 of the laws of 1993, is amended to
 
 23  read as follows:
 
 24    Excess cost aid for pupils with handicapping  conditions  payable  for
 
 25  the nineteen hundred ninety-eight--ninety-nine and prior school years.
 
 26    §  33.  Subdivision 19 of section 3602 of the education law is amended
 
 27  by adding a new paragraph 9 to read as follows:
 
                                        282                        13001-04-9
 
  1    9. Excess cost aid for pupils with handicapping conditions payable for
 
  2  the nineteen hundred ninety-eight--ninety-nine and  prior  school  years
 
  3  shall be computed pursuant to the provisions of this subdivision. Excess
 
  4  cost  aid  for pupils with handicapping conditions payable for the nine-
 
  5  teen  hundred  ninety-nine--two  thousand  school year shall be computed
 
  6  pursuant to the provisions of subdivision nineteen-a  of  this  section.
 
  7  Special  education and preventive services aid payable for the two thou-
 
  8  sand--two thousand one school year  and  thereafter  shall  be  computed
 
  9  pursuant to the provisions of subdivision nineteen-b of this section.
 
 10    §  34.  Section  3602  of the education law is amended by adding a new
 
 11  subdivision 19-a to read as follows:
 
 12     19-a. Excess cost aid for pupils with disabilities  payable  for  the
 
 13  nineteen  hundred  ninety-nine--two  thousand  school  year. 1. A school
 
 14  district shall be entitled to an apportionment of excess  cost  aid  for
 
 15  pupils  with  disabilities  payable  during the nineteen hundred ninety-
 
 16  nine--two thousand school year in an amount equal to  the  sum  of  aids
 
 17  computed  and  payable  to  the school district for the nineteen hundred
 
 18  ninety-eight--ninety-nine school  year  pursuant  to  paragraph  six  of
 
 19  subdivision  nineteen  of  this section, minus any such aids payable for
 
 20  such school year pursuant to paragraph five of  such  subdivision  nine-
 
 21  teen,  as computed based on data on file with the commissioner as of the
 
 22  fifteenth of November, nineteen hundred ninety-eight.
 
 23    2. Additional apportionment for high excess cost.  A  school  district
 
 24  shall  be  entitled  to an additional apportionment for high excess cost
 
 25  aid payable during the nineteen hundred ninety-nine--two thousand school
 
 26  year in an amount equal to the sum of aids computed and payable  to  the
 
 27  school  district  for  the  nineteen  hundred  ninety-eight--ninety-nine
 
 28  school year pursuant to paragraph five of subdivision nineteen  of  this
 
                                        283                        13001-04-9
 
  1  section  as  computed  based on data on file with the commissioner as of
 
  2  the fifteenth of November, nineteen hundred ninety-eight.
 
  3    §  35.  Section  3602  of the education law is amended by adding a new
 
  4  subdivision 19-b to read as follows:
 
  5    19-b. Special education and preventive services aid  payable  for  the
 
  6  two thousand--two thousand one school year and thereafter.
 
  7    1. Definitions. For the purpose of this subdivision:
 
  8    a.  "Weighted enrollment" shall mean the quotient, rounded to the next
 
  9  highest whole number, of the sum of the resident public school  district
 
 10  enrollment and the resident nonpublic school district enrollment divided
 
 11  by  the  lesser  of  one and four hundred seventy-one thousandths or the
 
 12  combined wealth ratio.
 
 13    b. "Pupils in poverty" shall mean the lunch count as defined in  para-
 
 14  graph q of subdivision one of this section.
 
 15    c.  "Statewide  enrollment  growth  factor"  shall  mean the quotient,
 
 16  expressed as a decimal to four places without rounding, of the  sum  the
 
 17  resident  public  school  district enrollment and the resident nonpublic
 
 18  school district enrollment of school districts for the base year divided
 
 19  by the sum the resident public school district enrollment and the  resi-
 
 20  dent  nonpublic  school  district enrollment of school districts for the
 
 21  nineteen hundred ninety-nine--two  thousand  school  year,  as  computed
 
 22  based  on data on file with the commissioner as of February first of the
 
 23  base year.
 
 24    d. "Statewide apportionment" shall mean an amount equal to the sum  of
 
 25  (i) the product of the statewide enrollment growth factor and the sum of
 
 26  aids  computed  and payable to school districts for the nineteen hundred
 
 27  ninety-nine--two thousand school  year  pursuant  to  paragraph  one  of
 
 28  subdivision  nineteen-a  of  this  section,  and (ii) the product of the
 
                                        284                        13001-04-9
 
  1  enrollment growth factor and the section forty-four hundred eight educa-
 
  2  tion aids base.
 
  3    e.  "Adjusted  proportion of weighted enrollment" shall mean the prod-
 
  4  uct, expressed as a decimal to five places without rounding, of  eighty-
 
  5  five  one hundredths and the quotient, of the weighted enrollment of the
 
  6  school district divided by the sum of the  weighted  enrollment  of  all
 
  7  school districts eligible for aid pursuant to this section.
 
  8    f.  "Adjusted proportion of pupils in poverty" shall mean the product,
 
  9  expressed as a decimal to five places without rounding, of  fifteen  one
 
 10  hundredths  and  the pupils in poverty of the school district divided by
 
 11  the sum of the pupils in poverty of all school  districts  eligible  for
 
 12  aid pursuant to this section.
 
 13    g.  "Subdivision  nineteen-a  aids base" shall mean an amount equal to
 
 14  the sum of aids computed and payable to  the  school  district  for  the
 
 15  nineteen hundred ninety-nine--two thousand school year pursuant to para-
 
 16  graph one of subdivision nineteen-a of this section.
 
 17    h.  "Section  forty-four hundred eight education aids base" shall mean
 
 18  an amount equal to the sum of aids computed and payable for the  sum  of
 
 19  approved tuition rates of approved July and August programs for students
 
 20  with  disabilities  pursuant to section forty-four hundred eight of this
 
 21  chapter for the nineteen hundred ninety-eight--ninety-nine school  year,
 
 22  net  of  any  chargeback,  as  computed  based  on data on file with the
 
 23  commissioner as of the first of July, two thousand and payable to school
 
 24  districts eligible to receive an apportionment pursuant to this  section
 
 25  in the nineteen hundred ninety-nine--two thousand school year.
 
 26    i.  "High  excess cost aid ratio" shall mean the greater of: (i) twen-
 
 27  ty-five one-hundredths; or (ii) the result obtained when the product  of
 
 28  fifty-one  one-hundredths  and  the  combined wealth ratio is subtracted
 
                                        285                        13001-04-9
 
  1  from one. Such ratio shall be expressed as a decimal  carried  to  three
 
  2  places without rounding.
 
  3    j.  "High excess cost pupil" shall mean a pupil who is identified as a
 
  4  student with a disability, as such term is defined in the regulations of
 
  5  the commissioner, and who receives special education services or attends
 
  6  special education  programs  which  meet  criteria  established  by  the
 
  7  commissioner  operated by a school district or by a board of cooperative
 
  8  educational services, whether or not the district is a component of such
 
  9  board, and for whom the cost, as approved by the commissioner, of appro-
 
 10  priate special services or programs exceeds the lesser of  ten  thousand
 
 11  dollars or four times the expense per pupil.
 
 12    2.  For aids payable in the two thousand--two thousand one school year
 
 13  and thereafter, unadjusted special education and preventive services aid
 
 14  shall  equal the greater of: (i) the product of the statewide apportion-
 
 15  ment multiplied by the  sum  of  the  adjusted  proportion  of  weighted
 
 16  enrollment and the adjusted proportion of pupils in poverty; or (ii) the
 
 17  product  of  ninety-eight hundredths multiplied by the sum of the result
 
 18  obtained when the subdivision nineteen-a  aids  base  is  added  to  the
 
 19  section forty-four hundred eight education aids base, provided, however,
 
 20  that such unadjusted excess cost aid shall not exceed the product of one
 
 21  and two one-hundredths multiplied by the sum of the result obtained when
 
 22  the  subdivision nineteen-a aids base is added to the section forty-four
 
 23  hundred eight education aids base.
 
 24    3. If the sum of  the  unadjusted  special  education  and  preventive
 
 25  services  aid  computed  for all districts eligible for an apportionment
 
 26  pursuant to this section is equal to the  statewide  apportionment,  the
 
 27  special  education  and  preventive services aid payable shall equal the
 
 28  unadjusted special education and preventive services aid. If such sum is
 
                                        286                        13001-04-9
 
  1  less than the statewide apportionment, the special education and preven-
 
  2  tive services aid payable shall equal the product  of  the  sum  of  the
 
  3  subdivision  nineteen-a  aids  base  and  the section forty-four hundred
 
  4  eight  education  aids base multiplied by an adjustment factor as deter-
 
  5  mined by the commissioner to insure that the total special education and
 
  6  preventive services aid payable shall equal the statewide apportionment.
 
  7  If such sum is greater than the statewide  apportionment,  however,  the
 
  8  special  education  and  preventive services aid payable shall equal the
 
  9  lesser of the unadjusted special education and preventive  services  aid
 
 10  or  the  product  of the sum of the subdivision nineteen-a aids base and
 
 11  the section forty-four hundred eight education aids base  multiplied  by
 
 12  an  adjustment  factor  as determined by the commissioner to insure that
 
 13  the total special education and preventive services  aid  payable  shall
 
 14  not exceed the statewide apportionment.
 
 15    4.    Additional apportionment for high excess cost. A school district
 
 16  having a high excess cost pupil  shall  be  entitled  to  an  additional
 
 17  apportionment for each such child computed by multiplying the district’s
 
 18  high  excess cost aid ratio by the amount by which such pupil’s approved
 
 19  cost during the base year exceeds three times the district’s expense per
 
 20  pupil without limits.
 
 21    5.  The  commissioner  shall  adopt  regulations  to   implement   the
 
 22  provisions of this subdivision.
 
 23    6.  Notwithstanding section thirty-six hundred nine-a of this chapter,
 
 24  the apportionments provided for in this subdivision shall be paid pursu-
 
 25  ant to section thirty-six hundred nine-b of this chapter.
 
 26    §  36.  Paragraph a of subdivision 26 of section 3602 of the education
 
 27  law, as amended by section 52 of part A of chapter 436 of  the  laws  of
 
 28  1997, is amended to read as follows:
 
                                        287                        13001-04-9
 
  1    a. In addition to any other apportionment under this section, a school
 
  2  district  shall be eligible for an apportionment under the provisions of
 
  3  this subdivision for approved expenses for (i) the purchase or lease  of
 
  4  micro  and/or  mini  computer  equipment  or terminals for instructional
 
  5  purposes or (ii) technology equipment, as defined in paragraph b of this
 
  6  subdivision,  used  for instructional purposes pursuant to a plan devel-
 
  7  oped by the district which  demonstrates  to  the  satisfaction  of  the
 
  8  commissioner  that  the  instructional  computer  hardware  needs of the
 
  9  district’s students have been adequately met, or (iii) for the repair of
 
 10  such equipment and training  and  staff  development  for  instructional
 
 11  purposes  as  provided  hereinafter.  The  apportionment shall equal the
 
 12  lesser of such approved expense or, the product of  (i)  the  technology
 
 13  factor,  (ii) the total aidable pupil units for operating aid, and (iii)
 
 14  the building aid ratio. For aid payable in the nineteen hundred  ninety-
 
 15  seven--ninety-eight   and   nineteen  hundred  ninety-eight--ninety-nine
 
 16  school years, the technology factor shall be ten dollars  and  sixty-one
 
 17  cents; for aid payable in the nineteen hundred ninety-nine--two thousand
 
 18  school  year,  the technology factor shall be twelve dollars and seventy
 
 19  cents; for aid payable in the  two  thousand--two  thousand  one  school
 
 20  year,  the  technology  factor shall be nineteen dollars and twenty-five
 
 21  cents; for aid payable in the two thousand one--two thousand two  school
 
 22  year  and  thereafter, the technology factor shall be thirty-two dollars
 
 23  and thirty-five cents.
 
 24    A school district may use up to twenty percent of the [its  apportion-
 
 25  ment  pursuant  to  this  section] product of (i) the technology factor,
 
 26  (ii) the total aidable pupil units for  operating  aid,  and  (iii)  the
 
 27  building aid ratio for the repair of instructional computer hardware and
 
                                        288                        13001-04-9
 
  1  technology  equipment  [or  for]  and training and staff development for
 
  2  instructional purposes pursuant to a plan submitted to the commissioner.
 
  3    §  37. Section 3602-b of the education law, as added by chapter 777 of
 
  4  the laws of 1963 and subdivision 2 as amended by chapter 561 of the laws
 
  5  of 1965, is amended to read as follows:
 
  6    § 3602-b. Apportionment of moneys to school districts employing  fewer
 
  7  than  eight  teachers.    1. Notwithstanding any other provision of law,
 
  8  each school district of the state employing fewer  than  eight  teachers
 
  9  shall  receive  its  apportionment  of  public  money payable during the
 
 10  school year commencing July  first,  nineteen  hundred  sixty-three  and
 
 11  during  subsequent  school  years  pursuant  to  the  provisions of this
 
 12  section. Such apportionment shall be computed by applying the [aid]  the
 
 13  state  sharing  ratio  for  comprehensive  operating aid of the district
 
 14  computed in the same manner as provided in  section  thirty-six  hundred
 
 15  two  of the education law to the approved expense of the school district
 
 16  for operating purposes and for transportation.
 
 17    a. Approved operating expense shall be for the year prior to the  base
 
 18  year  as  defined  in section thirty-six hundred two of this article and
 
 19  shall be determined  in  the  same  manner  provided  in  such  section,
 
 20  provided,  however, that the amount so approved shall not exceed the sum
 
 21  of (1) four thousand five hundred dollars multiplied by  the  lesser  of
 
 22  the  number of full-time teachers employed during such year prior to the
 
 23  base year [but not exceeding  the  number  allowable  during  such  year
 
 24  pursuant to regulations established by the commissioner of education] or
 
 25  seven  and  (2)  weighted average daily attendance as defined in section
 
 26  thirty-six hundred two of this article for the base year  multiplied  by
 
 27  the  sum  of sixty dollars plus an amount computed by multiplying ninety
 
 28  cents by such weighted average daily attendance. [For purposes  of  this
 
                                        289                        13001-04-9
 
  1  section the average daily attendance of kindergarten pupils who attended
 
  2  school  but  one-half  day  shall  be divided by two.] Any such district
 
  3  employing three or more teachers shall be permitted to use the  weighted
 
  4  average daily attendance averaged over the three year period immediately
 
  5  preceding  the current year as defined in section thirty-six hundred two
 
  6  of this article.
 
  7    b. Approved transportation expense shall be  for  the  base  year  and
 
  8  shall  be determined in the same manner as provided in subdivision seven
 
  9  of section thirty-six hundred two of this chapter.
 
 10    2. [Notwithstanding any other provisions  of  this  chapter,  no  such
 
 11  school  district  shall  be paid a lesser apportionment than was paid to
 
 12  such district during the school year nineteen  hundred  sixty-four--six-
 
 13  ty-five  except  as provided in this subdivision or in subdivision three
 
 14  of this section. If the number of full-time teachers employed or  allow-
 
 15  able  pursuant  to this section in a district (whichever is the smaller)
 
 16  should decrease in any subsequent base year  from  the  number  actually
 
 17  employed  during the school year ending June thirtieth, nineteen hundred
 
 18  sixty-four, the amount of such apportionment shall  be  reduced  in  the
 
 19  same  proportion as the reduction in such number of teachers. If the aid
 
 20  ratio of a district computed for any current year should decrease  below
 
 21  that  computed  for  the  current  year  ending June thirtieth, nineteen
 
 22  hundred sixty-five, such apportionment shall be reduced by  the  differ-
 
 23  ence  between  such  aid  ratios. If both reductions are applicable, the
 
 24  commissioner shall use only the larger of the two in any one year.
 
 25    3.] If the local revenue provided by any such school district  in  the
 
 26  current year, as defined in section thirty-six hundred two of this chap-
 
 27  ter,  inclusive  of its local nonproperty tax receipts, is less than the
 
 28  amount which could be raised by a tax at the rate  herein  specified  on
 
                                        290                        13001-04-9
 
  1  its  actual  valuation as defined in such section, the apportionment for
 
  2  such current year shall be reduced by the amount which such local reven-
 
  3  ue is less than the amount which could be raised at such rate. The  rate
 
  4  for the school year nineteen hundred sixty-five--sixty-six and thereaft-
 
  5  er  shall  be  nine  dollars per thousand. [The rate for the school year
 
  6  nineteen hundred sixty-four--sixty-five shall be eight dollars per thou-
 
  7  sand. The rate for the school year nineteen hundred  sixty-three--sixty-
 
  8  four shall be seven dollars twenty cents per thousand.]
 
  9    §  38.  Subdivision 8 of section 3604 of the education law, as amended
 
 10  by section 43 of part C of chapter 58 of the laws of 1998, is amended to
 
 11  read as follows:
 
 12    8. No school shall be in session on a Saturday  or  a  legal  holiday,
 
 13  except  general election day, Washington’s birthday and Lincoln’s birth-
 
 14  day, and except that driver education classes  may  be  conducted  on  a
 
 15  Saturday.   A deficiency not exceeding three days during any school year
 
 16  caused by teachers' attendance upon conferences held by  superintendents
 
 17  of  schools of city school districts or other school districts employing
 
 18  superintendents  of  schools  shall  be  excused  by  the  commissioner,
 
 19  provided  however,  notwithstanding  any  other  provision  of law, that
 
 20  during the nineteen hundred  ninety-two--ninety-three  through  [ninety-
 
 21  eight--ninety-nine]  ninety-nine--two thousand school years, the commis-
 
 22  sioner shall excuse a deficiency not exceeding  four  days  during  such
 
 23  school year caused by teachers' attendance upon conferences held by such
 
 24  superintendents,  provided that at least two such conference days during
 
 25  such school year shall be dedicated to staff attendance upon conferences
 
 26  providing staff development relating to implementation of the  new  high
 
 27  learning standards and assessments, as adopted by the board of regents.
 
                                        291                        13001-04-9
 
  1    §  39.  Section  3604  of the education law is amended by adding a new
 
  2  subdivision 8-a to read as follows:
 
  3    8-a.  No  school  shall  be in session on any day in which there is no
 
  4  certificate of occupancy in place for such school,  or  on  any  day  in
 
  5  which  an  order  of  the  commissioner  closing  the school pursuant to
 
  6  section four hundred twelve of this chapter is in effect.
 
  7    § 40.  Subdivision 1 of section 3625 of the education law, as added by
 
  8  chapter 474 of the laws of 1996, is amended to read as follows:
 
  9    1. Form of transportation contracts. Every contract for transportation
 
 10  of school children shall be in writing,  and  before  such  contract  is
 
 11  [executed]  filed  with the education department as required by subdivi-
 
 12  sion two of this section, the same shall be submitted  for  approval  to
 
 13  the  superintendent  of schools of said district and such contract shall
 
 14  not [become effective until] be approved and filed by  such  superinten-
 
 15  dent  [who]  unless  he  or  she  shall  first investigate the same with
 
 16  particular reference to the type of conveyance, the character and abili-
 
 17  ty of the driver, the routes over which the  conveyances  shall  travel,
 
 18  the  time  schedule,  and  such other matters as in the judgement of the
 
 19  superintendent are necessary for the comfort and protection of the chil-
 
 20  dren while being transported to and from school. Every such contract for
 
 21  transportation of children shall contain an agreement upon the  part  of
 
 22  the  contractor that the vehicle shall come to a full stop before cross-
 
 23  ing the track or tracks of any railroad and before  crossing  any  state
 
 24  highway.
 
 25    §  41.  Subdivision 2 of section 3635 of the education law, as amended
 
 26  by chapter 719 of the laws of 1978, is amended to read as follows:
 
 27    2. A parent or [guardian] person  in  parental  relation  of  a  child
 
 28  residing  in  any  school  district, or any representative authorized by
 
                                        292                        13001-04-9
 
  1  such parent or [guardian] person in parental relation, who desires for a
 
  2  child during the next  school  year  any  transportation  authorized  or
 
  3  directed  by this chapter shall submit a written request therefor to the
 
  4  school  trustees  or  board of education of such district not later than
 
  5  the first day of April preceding the next school year, provided,  howev-
 
  6  er,  that  a parent or [guardian] person in parental relation of a child
 
  7  not residing in the district on such date shall submit a written request
 
  8  within thirty days after establishing residence in the district, and the
 
  9  parent or person in parental relation to a child  seeking  to  attend  a
 
 10  charter  school  established or renewed pursuant to article fifty-six of
 
 11  this chapter after the first day of March preceding the next school year
 
 12  shall submit a written request within thirty days after issuance of  the
 
 13  charter by the board of regents. No late request of a parent or [guardi-
 
 14  an] person in parental relation for transportation shall be denied where
 
 15  a  reasonable  explanation  is  provided  for  the delay. If the voters,
 
 16  school trustees, or board of education fail to provide  the  transporta-
 
 17  tion  authorized  or  directed  by  this  chapter after receiving such a
 
 18  request, such parent, [guardian] person in parental relation  or  repre-
 
 19  sentative,  or  any taxpayer residing in the district, may appeal to the
 
 20  commissioner of education, as provided in section three hundred  ten  of
 
 21  this  chapter.  Except  as  hereinbefore  provided,  the commissioner of
 
 22  education shall not require  that  such  parent,  [guardian]  person  in
 
 23  parental relation or representative present a request for such transpor-
 
 24  tation  to any meeting of the voters, school trustees or board of educa-
 
 25  tion in order to appeal. Upon such appeal, the commissioner of education
 
 26  shall make such order as is  required  to  effect  compliance  with  the
 
 27  provisions of this chapter and this section.
 
                                        293                        13001-04-9
 
  1    §  42.  Section 3641 of the education law is amended by adding two new
 
  2  subdivisions 11 and 12 to read as follows:
 
  3    11.  Literacy first summer school program. a. Authorization of grants.
 
  4  In addition to apportionments otherwise  provided  pursuant  to  section
 
  5  thirty-six  hundred  two of this article, in the two thousand--two thou-
 
  6  sand one school year and thereafter, the commissioner is hereby  author-
 
  7  ized  to  award  grants  to  eligible school districts, eligible charter
 
  8  schools and  consortia  of  eligible  school  districts  and/or  charter
 
  9  schools  for  services  and expenses of remedial summer school programs,
 
 10  for the purpose of providing an  intensive  course  of  summer  remedial
 
 11  instruction  for  fourth grade students who receive the lowest scores on
 
 12  the English language arts assessment to be prescribed by the commission-
 
 13  er.
 
 14    b. Definitions. As used in this subdivision:
 
 15    (1) "Base year" shall mean the school year immediately  preceding  the
 
 16  school year for which a grant is awarded pursuant to this subdivision.
 
 17    (2) "Basic grant" shall mean a grant awarded pursuant to this subdivi-
 
 18  sion  for  a  remedial  summer  program  for those eligible students who
 
 19  received the lowest scores on the fourth  grade  English  language  arts
 
 20  assessment.
 
 21    (3)  "Eligible  school district" shall mean a school district eligible
 
 22  for an apportionment pursuant to section thirty-six hundred two or thir-
 
 23  ty-six hundred two-b of this article, including the city school district
 
 24  of the city of New York on a citywide basis.
 
 25    (4) "Eligible charter school" shall mean a school established pursuant
 
 26  to article fifty-six of this chapter that elects to provide  a  remedial
 
 27  summer school program pursuant to this subdivision.
 
                                        294                        13001-04-9
 
  1    (5)  "Eligible  student"  shall mean a student residing in an eligible
 
  2  school district or otherwise entitled to attend school  in  an  eligible
 
  3  school  district  or enrolled in an eligible charter school who took the
 
  4  English language arts assessment in the base year while  enrolled  in  a
 
  5  public,  nonpublic  or  charter school in the fourth grade or its equiv-
 
  6  alent and received a score lower than the ceiling  for  required  summer
 
  7  remedial instruction.
 
  8    (6)  "Eligible  classroom"  shall  mean  a  classroom  serving fifteen
 
  9  students with a student to staff ratio of fifteen students to one teach-
 
 10  er and one paraprofessional, provided, however, such class size require-
 
 11  ments may be waived by the commissioner based upon finding that there is
 
 12  a lack of appropriate classroom facilities  and/or  sufficient  teachers
 
 13  and  paraprofessionals willing to serve in the program; that an alterna-
 
 14  tive configuration would be of equal or greater educational  benefit  to
 
 15  eligible  students,  or that a classroom with less than fifteen students
 
 16  is necessary to serve all eligible students.
 
 17    (7) "English language arts assessment" shall  mean  the  fourth  grade
 
 18  English  language  arts  test prescribed by the commissioner, or, in the
 
 19  event such test is not administered prior to March  first  of  the  base
 
 20  year,  one  or  more  equivalent assessments of skills in reading and/or
 
 21  writing designated by the commissioner which are administered  prior  to
 
 22  March first of the base year or in the year prior to the base year.
 
 23    (8)  "Paraprofessional"  shall  mean a teaching assistant or teacher’s
 
 24  aide who is qualified to serve under the provisions of  subdivision  two
 
 25  of  section  three  thousand nine of this chapter and the regulations of
 
 26  the commissioner.
 
 27    (9) "Ceiling for required summer remedial instruction" shall mean  the
 
 28  score  on the English language arts assessment that is prescribed by the
 
                                        295                        13001-04-9
 
  1  commissioner as the upper limit  of  eligibility  to  participate  in  a
 
  2  summer  school  program  funded  pursuant  to  this  subdivision for the
 
  3  current school year, in order to  assure  that  the  maximum  number  of
 
  4  students  with the lowest scores are served within the amounts appropri-
 
  5  ated for the purpose of this subdivision,  provided  that  such  ceiling
 
  6  shall  not  exceed the minimum score established by the commissioner for
 
  7  successful completion of the English language arts assessment at a basic
 
  8  level of proficiency.
 
  9    (10) "Passing score" shall mean the score on the English language arts
 
 10  assessment prescribed  by  the  commissioner  as  the  state  designated
 
 11  performance level for basic proficiency.
 
 12    (11)  "Approved  costs  for  transportation"  shall mean the costs, as
 
 13  approved by  the  commissioner,  for  transportation  operating  expense
 
 14  incurred  in  transporting  eligible  students  between home and school,
 
 15  determined in the same manner as aidable pupil  transportation  provided
 
 16  under article seventy-three of this chapter.
 
 17    c. Applications for basic grants. Eligible school districts or charter
 
 18  schools  seeking a basic grant pursuant to this subdivision shall submit
 
 19  an application and plan for approval of the  commissioner  that  details
 
 20  how the school district or charter school will use the grant funds for a
 
 21  remedial  summer program for eligible students pursuant to this subdivi-
 
 22  sion. Two or more eligible school districts  or  consortia  of  eligible
 
 23  school districts and/or charter schools shall submit a joint application
 
 24  and plan that meets all requirements of this paragraph and designates an
 
 25  eligible  school district or charter school to serve as fiscal agent for
 
 26  the purpose of receipt of grant funds pursuant to this subdivision. Such
 
 27  plan shall be in  a  form  prescribed  by  the  commissioner  and  shall
 
 28  include, but not be limited to, a proposed budget, and a description of:
 
                                        296                        13001-04-9
 
  1    (1)  the  elements  and  instructional  goals  of  the remedial summer
 
  2  program to be funded and the eligible students to be served;
 
  3    (2) the duration of the summer remedial program;
 
  4    (3)  the  hours of instruction to be provided per week and the days of
 
  5  instruction each week;
 
  6    (4) the procedures for retention of students  in  grade  who  fail  to
 
  7  attend  the remedial summer program or do not receive a passing grade on
 
  8  a re-test of English language arts assessment, to the extent required by
 
  9  this subdivision;
 
 10    (5) the maximum class size and student/staff ratio of classes  in  the
 
 11  remedial summer school program;
 
 12    (6)  the qualifications of the teachers and paraprofessionals who will
 
 13  serve in the program;
 
 14    (7) the procedures for assuring that students with  disabilities  have
 
 15  access  to  the  program  as  determined appropriate by the committee on
 
 16  special education or subcommittee on special education;
 
 17    (8) the ancillary instructional and non-instructional services  to  be
 
 18  provided  to eligible students attending the program, including, but not
 
 19  limited to, transportation to the extent required  by  law  on  days  of
 
 20  session in September through June;
 
 21    (9)  the local funds that will be made available to support the twenty
 
 22  percent local share of the new program, which may include federal  funds
 
 23  to the extent permissible under federal law; and
 
 24    (10)  a plan for evaluation of the effectiveness of the program, which
 
 25  shall include, but need not be limited to, the impact of the program  on
 
 26  student success on a re-test of the English language arts assessment.
 
 27    d.    Award  of  grants.    Grants shall be awarded in accordance with
 
 28  procedures and criteria established in regulations of the  commissioner,
 
                                        297                        13001-04-9
 
  1  provided  that  such  criteria  shall include, but not be limited to the
 
  2  following:
 
  3    (1)  The  program shall provide developmental and remedial reading and
 
  4  other appropriate remedial instruction in a  regular  education  setting
 
  5  that is targeted at addressing student deficiencies in reading and writ-
 
  6  ing skills.
 
  7    (2)  The  program shall provide a minimum of fifteen hours of instruc-
 
  8  tion per week, and shall be six weeks in  duration,  provided  that  the
 
  9  commissioner  may  waive such requirements upon a finding that a program
 
 10  with different hours of instruction or different duration  will  provide
 
 11  the equivalent or greater educational benefit to eligible students.
 
 12    (3) The program shall be conducted a minimum of three days per week.
 
 13    (4) Maximum class size shall not exceed fifteen students and the maxi-
 
 14  mum  student  to  staff  ratio  shall not exceed fifteen students to one
 
 15  teacher and one paraprofessional, provided  that  the  commissioner  may
 
 16  waive  such requirements upon a finding that the district or school will
 
 17  be unable to serve all eligible students and comply with  such  require-
 
 18  ments  because  of  a  lack  of appropriate facilities and/or sufficient
 
 19  teachers and paraprofessionals willing to serve in the program, or  that
 
 20  an  alternative  configuration  would be of equal or greater educational
 
 21  benefit to eligible students.
 
 22    (5) The school district has in effect a policy of  requiring  eligible
 
 23  students  enrolled  in the school district to attend the summer remedial
 
 24  program.  The school district policy must require the retention of  such
 
 25  public  school  students  who  fail  to attend such program without good
 
 26  cause, provided such policy complies with any requirements prescribed in
 
 27  the regulations of the commissioner, and shall not require retention  of
 
 28  students  who  attend.  For  purposes of this subparagraph, "good cause"
 
                                        298                        13001-04-9
 
  1  shall mean reasons beyond the control of the student  and  the  parents,
 
  2  including but not limited to inability to attend by reason of documented
 
  3  illness  or injury, or that the school district has determined, based on
 
  4  local  assessment data and other documented evidence, that the student’s
 
  5  low performance on the English language arts assessment or  other  state
 
  6  assessment was anomalous and not a true indicator of the student’s read-
 
  7  ing and writing skills.
 
  8    (6)  Eligible  students  enrolled  in  the  public  schools, including
 
  9  students enrolled in the school district who were excused  from  attend-
 
 10  ance  in the summer remedial program based on a determination that their
 
 11  performance was anomalous, shall be re-tested on  the  English  language
 
 12  arts assessment in fifth grade. Any student who does not receive a pass-
 
 13  ing grade on the re-test shall be retained in grade.
 
 14    (7)  The  school  district  has made appropriate arrangements to serve
 
 15  eligible students who are enrolled in nonpublic schools on  a  voluntary
 
 16  basis,  including the provision of notice to parents of nonpublic school
 
 17  students of the availability of the program, either directly or  through
 
 18  the nonpublic schools attended by eligible students.
 
 19    (8)  Procedures are in place for review by the committee or subcommit-
 
 20  tee on special education, prior to commencement of the  summer  remedial
 
 21  program,  of  the  individualized  education  program  of  each eligible
 
 22  student who is a student with a disability to determine the appropriate-
 
 23  ness of providing such student with instruction in the  remedial  summer
 
 24  school  program  and to recommend any necessary changes in the student’s
 
 25  individualized education program.
 
 26    (9) In the second or a subsequent year  of  operation  of  a  remedial
 
 27  summer  program  pursuant to this subdivision, a showing satisfactory to
 
                                        299                        13001-04-9
 
  1  the commissioner that  the  program  has  been  effective  in  improving
 
  2  student results.
 
  3    e.  Determination  of  grant award. Notwithstanding subdivision one of
 
  4  this section, each eligible school district, eligible charter school, or
 
  5  consortium of eligible districts and/or  charter  schools  approved  for
 
  6  funding  by the commissioner shall receive a grant award computed pursu-
 
  7  ant to this paragraph.
 
  8    (1) The maximum grant award per eligible  classroom  shall  equal  the
 
  9  lesser of:
 
 10    (i)  the  result  obtained when eighty hundredths is multiplied by the
 
 11  actual costs of the eligible classroom, including the approved costs for
 
 12  transportation and the approved costs of other  ancillary  instructional
 
 13  services and expenses; or
 
 14    (ii)  the  result obtained when eighty hundredths is multiplied by the
 
 15  sum of: (A) twelve percent of the median teacher salary of common branch
 
 16  elementary teachers in the eligible school  district  or  districts,  or
 
 17  charter  school,  in the year prior to the base year, (B) twelve percent
 
 18  of the median salary of a teacher’s aide in the eligible school district
 
 19  or districts, or charter school, in the year prior to the base year,  or
 
 20  in  the  case  of  a  district  or school that does not employ teacher’s
 
 21  aides, the median salary of a paraprofessional in the district or school
 
 22  in the year prior to the base year, (C) approved costs of  other  ancil-
 
 23  lary  instructional services and expenses, but not more than twenty-five
 
 24  per centum of the sum of the amounts computed in subclauses (A) and  (B)
 
 25  of this clause, and (D) the approved costs for transportation. Where the
 
 26  program is operated by a consortium of eligible districts and/or charter
 
 27  schools, the median teacher salaries and teacher’s aide salaries for all
 
 28  participating  eligible  districts and/or charter schools shall be aver-
 
                                        300                        13001-04-9
 
  1  aged, without any proration based on number of eligible students partic-
 
  2  ipating.
 
  3    (2)  The  maximum  grant  award shall equal the product of the maximum
 
  4  grant award per eligible classroom and the number of eligible classrooms
 
  5  funded pursuant to this subdivision.
 
  6    (3) Notwithstanding any other provision of law to  the  contrary,  the
 
  7  attendance  or  enrollment  of  eligible  students  attending a remedial
 
  8  summer school program shall be excluded in determining aid  pursuant  to
 
  9  section  thirty-six hundred two of this chapter, transportation expenses
 
 10  incurred pursuant to this subdivision shall  not  be  eligible  for  aid
 
 11  under  subdivision  seven  of  such  section thirty-six hundred two, and
 
 12  expenses incurred pursuant to this subdivision shall not be eligible for
 
 13  aid pursuant to section nineteen hundred fifty of this chapter.
 
 14    f. Use of grant funds. Grant funds awarded pursuant to  this  subdivi-
 
 15  sion  shall  be used for the approved expenses of the program as defined
 
 16  by the commissioner.
 
 17    g. Eligibility  for  transportation.    The  eligibility  of  students
 
 18  attending the program for transportation shall be determined in the same
 
 19  manner  as  eligibility  for transportation provided pursuant to section
 
 20  thirty-six hundred thirty-five of this chapter and shall be  subject  to
 
 21  the  same  mileage  limits, except that parents of eligible students who
 
 22  are nonpublic school students or charter school students  shall  not  be
 
 23  required  to  submit  a request for such transportation by the preceding
 
 24  April first and shall be transported on the same basis as public  school
 
 25  students.
 
 26    h.  Retention  of public school students. Except as otherwise provided
 
 27  in this paragraph, eligible students enrolled in the school district who
 
 28  fail to attend the  summer  remedial  program  without  good  cause,  as
 
                                        301                        13001-04-9
 
  1  defined in subparagraph five of paragraph d of this subdivision shall be
 
  2  retained  in  the  fourth  grade,  and  shall  be  provided the remedial
 
  3  services required under the regulations of  the  commissioner.  Eligible
 
  4  students  enrolled in the school district who attend the summer remedial
 
  5  program and are advanced by the trustees or board of education to  fifth
 
  6  grade  shall  be provided the remedial services required under the regu-
 
  7  lations of the commissioner.  In the event that such fifth grade student
 
  8  does not obtain a passing score on a re-test  of  the  English  language
 
  9  arts  assessment  in the fifth grade, the trustees or board of education
 
 10  shall retain such student based upon such  re-test.  The  provisions  of
 
 11  this  paragraph shall apply to an eligible student who is a student with
 
 12  a disability, to the extent retention in grade is consistent  with  such
 
 13  student’s individualized education program.
 
 14    i.  Eligible  school districts may contract with boards of cooperative
 
 15  educational services for the provision  of  services  pursuant  to  this
 
 16  section.
 
 17    j.  The  commissioner  shall  promulgate  any regulations necessary to
 
 18  implement this subdivision.
 
 19    12. Literacy first summer  school  program  for  students  of  limited
 
 20  English  proficiency.  a. Authorization of grants. In addition to appor-
 
 21  tionments otherwise provided pursuant to section thirty-six hundred  two
 
 22  of  this  article, in the two thousand--two thousand one school year and
 
 23  thereafter, the commissioner is hereby authorized  to  award  grants  to
 
 24  eligible  school  districts,  eligible  charter schools and consortia of
 
 25  eligible school  districts  and/or  charter  schools  for  services  and
 
 26  expenses  of  summer  school  programs for students with limited English
 
 27  proficiency, for the purpose of providing an intensive course of  summer
 
                                        302                        13001-04-9
 
  1  instruction for students of limited English proficiency following grades
 
  2  kindergarten through two.
 
  3    b. Definitions. As used in this subdivision:
 
  4    (1)  "Base  year" shall mean the school year immediately preceding the
 
  5  school year for which a grant is awarded pursuant to this subdivision.
 
  6    (2) "Basic grant" shall mean a grant awarded pursuant to this subdivi-
 
  7  sion for a summer  school  program  for  eligible  students  of  limited
 
  8  English proficiency following grades kindergarten through two.
 
  9    (3)  "Eligible  school district" shall mean a school district eligible
 
 10  for an apportionment pursuant to section thirty-six hundred two or thir-
 
 11  ty-six hundred two-b of this article, including the city school district
 
 12  of the city of New York on a citywide basis.
 
 13    (4) "Eligible charter school" shall mean a school established pursuant
 
 14  to article fifty-six of this chapter that elects  to  provide  a  summer
 
 15  school  program  for students of limited English proficiency pursuant to
 
 16  this subdivision.
 
 17    (5) "Eligible student" shall mean a student residing  in  an  eligible
 
 18  school  district  or  otherwise entitled to attend school in an eligible
 
 19  school district or enrolled in an  eligible  charter  school  who  is  a
 
 20  student  of limited English proficiency and was in any of grades kinder-
 
 21  garten through two in a public, nonpublic, or charter school in the base
 
 22  year.
 
 23    (6) "Eligible  classroom"  shall  mean  a  classroom  serving  fifteen
 
 24  students with a student to staff ratio of fifteen students to one teach-
 
 25  er and one paraprofessional, provided, however, such class size require-
 
 26  ments may be waived by the commissioner based upon finding that there is
 
 27  a  lack  of  appropriate classroom facilities and/or sufficient teachers
 
 28  and paraprofessionals willing to serve in the program; that an  alterna-
 
                                        303                        13001-04-9
 
  1  tive  configuration  would be of equal or greater educational benefit to
 
  2  eligible students, or that a classroom with less than  fifteen  students
 
  3  is necessary to serve all eligible students.
 
  4    (7)  "Paraprofessional"  shall  mean a teaching assistant or teacher’s
 
  5  aide who is qualified to serve under the provisions of  subdivision  two
 
  6  of  section  three  thousand nine of this chapter and the regulations of
 
  7  the commissioner.
 
  8    (8) "Student of limited English proficiency" shall mean a pupil who is
 
  9  determined to be eligible  for  instructional  programs  for  pupils  of
 
 10  limited  English  proficiency  in  accordance  with subdivision three of
 
 11  section thirty-two hundred four of this chapter.
 
 12    (9) "Approved costs for  transportation"  shall  mean  the  costs,  as
 
 13  approved  by  the  commissioner,  for  transportation  operating expense
 
 14  incurred in transporting eligible  students  between  home  and  school,
 
 15  determined  in  the same manner as aidable pupil transportation provided
 
 16  under this chapter.
 
 17    c. Applications for basic grants. Eligible school districts or charter
 

 18  schools seeking a basic grant pursuant to this subdivision shall  submit
 
 19  an  application  and  plan for approval of the commissioner that details
 
 20  how the school district or charter school will use the grant funds for a
 
 21  summer program for eligible students pursuant to this  subdivision.  Two
 
 22  or  more  eligible  school  districts  or  consortia  of eligible school
 
 23  districts and/or charter schools shall submit a  joint  application  and
 
 24  plan  that  meets  all  requirements of this paragraph and designates an
 
 25  eligible school district or eligible charter school to serve  as  fiscal
 
 26  agent  for the purpose of receipt of grant funds pursuant to this subdi-
 
 27  vision. Such plan shall be in a form prescribed by the commissioner  and
 
                                        304                        13001-04-9
 
  1  shall  include,  but  not  be  limited  to,  a  proposed  budget,  and a
 
  2  description of:
 
  3    (1)  the  elements  and  instructional goals of the summer program for
 
  4  students of limited English proficiency to be funded  and  the  eligible
 
  5  students to be served;
 
  6    (2) the duration of the summer program;
 
  7    (3)  the  hours of instruction to be provided per week and the days of
 
  8  instruction each week;
 
  9    (4) the class size and student/staff ratio of classes  in  the  summer
 
 10  school program for students of limited English proficiency;
 
 11    (5)  the qualifications of the teachers and paraprofessionals who will
 
 12  serve in the program;
 
 13    (6) the  procedures  for  assuring  that  eligible  students  who  are
 
 14  students  with  disabilities  have  access  to the program as determined
 
 15  appropriate by the committee on special  education  or  subcommittee  on
 
 16  special education;
 
 17    (7)  the  ancillary  instructional and noninstructional services to be
 
 18  provided to eligible students attending the program, including, but  not
 
 19  limited  to,  transportation  to  the  extent required by law on days of
 
 20  session in September through June;
 
 21    (8) the local funds that will be made available to support the  twenty
 
 22  percent  local share of the new program, which may include federal funds
 
 23  to the extent permissible under federal law; and
 
 24    (9) a plan for evaluation of the effectiveness of the  program,  which
 
 25  shall  include, but need not be limited to, the impact of the program on
 
 26  student success on state assessments of skills in  reading  and  writing
 
 27  English.
 
                                        305                        13001-04-9
 
  1    d. Award of grants.  Grants shall be awarded in accordance with proce-
 
  2  dures  and  criteria  established  in  regulations  of the commissioner,
 
  3  provided that such criteria shall include, but not  be  limited  to  the
 
  4  following:
 
  5    (1)  The  program  shall  provide  instruction  in a regular education
 
  6  setting designed to improve student performance in reading  and  writing
 
  7  English,  through  an  English  immersion program or other similar model
 
  8  determined by the commissioner to be educationally appropriate.
 
  9    (2) The program shall provide a minimum of fifteen hours  of  instruc-
 
 10  tion  per  week,  and  shall be six weeks in duration, provided that the
 
 11  commissioner may waive such requirements upon a finding that  a  program
 
 12  with  different  hours of instruction or different duration will provide
 
 13  the equivalent or greater educational benefit to eligible students.
 
 14    (3) The program shall be conducted a minimum of three days per week.
 
 15    (4) Maximum class size shall not exceed fifteen students and the maxi-
 
 16  mum student to staff ratio shall not  exceed  fifteen  students  to  one
 
 17  teacher  and  one  paraprofessional,  provided that the commissioner may
 
 18  waive such requirements upon a finding that the district or school  will
 
 19  be  unable  to serve all eligible students and comply with such require-
 
 20  ments because of a lack  of  appropriate  facilities  and/or  sufficient
 
 21  teachers  and paraprofessionals willing to serve in the program, or that
 
 22  an alternative configuration would be of equal  or  greater  educational
 
 23  benefit to eligible students.
 
 24    (5)  At  the  discretion of the school district, the district has made
 
 25  appropriate arrangements to serve eligible students who are enrolled  in
 
 26  nonpublic schools on a voluntary basis.
 
 27    (6)  Procedures are in place for review by the committee or subcommit-
 
 28  tee on special education, prior to commencement of the  summer  program,
 
                                        306                        13001-04-9
 
  1  of  the individualized education program of each eligible student who is
 
  2  a student with a disability to determine the appropriateness of  provid-
 
  3  ing  such  student  with instruction in the summer school program and to
 
  4  recommend  any  necessary changes in the student’s individualized educa-
 
  5  tion program.
 
  6    (7) In the second or a  subsequent  year  of  operation  of  a  summer
 
  7  program  for  students  of  limited English proficiency pursuant to this
 
  8  subdivision, a showing satisfactory to the commissioner that the program
 
  9  has been effective in improving student results.
 
 10    e. Determination of grant  award.    Each  eligible  school  district,
 
 11  eligible  charter  school,  or  consortium  of eligible districts and/or
 
 12  charter schools approved for funding by the commissioner shall receive a
 
 13  grant award computed pursuant to this paragraph.
 
 14    (1) The maximum grant award per eligible  classroom  shall  equal  the
 
 15  lesser of:
 
 16    (i)  the  result  obtained when eighty hundredths is multiplied by the
 
 17  actual costs of the eligible classroom, including the approved costs for
 
 18  transportation and the approved costs of other  ancillary  instructional
 
 19  services and expenses; or
 
 20    (ii)  the  result obtained when eighty hundredths is multiplied by the
 
 21  sum of: (A) twelve percent of the median teacher salary of common branch
 
 22  elementary teachers in the eligible school  district  or  districts,  or
 
 23  charter  school,  in the year prior to the base year, (B) twelve percent
 
 24  of the median salary of a teacher’s aide in the eligible school district
 
 25  or districts, or charter school, in the year prior to the base year,  or
 
 26  in  the  case  of  a  district  or school that does not employ teacher’s
 
 27  aides, the median salary of a paraprofessional in the  district  in  the
 
 28  year  prior  to  the  base  year,  (C) approved costs of other ancillary
 
                                        307                        13001-04-9
 
  1  instructional services and expenses, but not more than  twenty-five  per
 
  2  centum  of  the sum of the amounts computed in subclauses (A) and (B) of
 
  3  this clause, and (D) the approved costs for  transportation.  Where  the
 
  4  program is operated by a consortium of eligible districts and/or charter
 
  5  schools, the median teacher salaries and teacher’s aide salaries for all
 
  6  participating  eligible districts and charter schools shall be averaged,
 
  7  without any proration based on number of eligible  students  participat-
 
  8  ing.
 
  9    (2)  The  maximum  grant  award shall equal the product of the maximum
 
 10  grant award per eligible classroom and the number of eligible classrooms
 
 11  funded pursuant to this subdivision.
 
 12    (3) Notwithstanding any other provision of law to  the  contrary,  the
 
 13  attendance  or enrollment of eligible students attending a summer school
 
 14  program for students of limited English proficiency shall be excluded in
 
 15  determining aid pursuant to section thirty-six hundred two of this arti-
 
 16  cle, the costs of such summer program shall  not  be  eligible  for  aid
 
 17  pursuant  to subdivision twenty-two of section thirty-six hundred two of
 
 18  this article, transportation expenses incurred pursuant to this subdivi-
 
 19  sion shall not be eligible for aid under subdivision  seven  of  section
 
 20  thirty-six  hundred  two of this article, and expenses incurred pursuant
 
 21  to this subdivision shall not be eligible for aid  pursuant  to  section
 
 22  nineteen hundred fifty of this chapter.
 
 23    f.  Use  of grant funds. Grant funds awarded pursuant to this subdivi-
 
 24  sion shall be used for the approved expenses of the program  as  defined
 
 25  by the commissioner.
 
 26    g. Eligibility for transportation. The eligibility of students attend-
 
 27  ing  the  program  for  transportation  shall  be determined in the same
 
 28  manner as eligibility for transportation provided  pursuant  to  section
 
                                        308                        13001-04-9
 
  1  thirty-six  hundred  thirty-five of this article and shall be subject to
 
  2  the same mileage limits, except that parents of  eligible  students  who
 
  3  are  nonpublic  school  students or charter school students shall not be
 
  4  required  to  submit  a request for such transportation by the preceding
 
  5  April first and shall be transported on the same basis as public  school
 
  6  students.
 
  7    h.  Eligible  school districts may contract with boards of cooperative
 
  8  educational services for the provision  of  services  pursuant  to  this
 
  9  section.
 
 10    i.  The  commissioner  shall  promulgate  any regulations necessary to
 
 11  implement this subdivision.
 
 12    § 43. Subparagraph 1 of paragraph b of subdivision 1 of  section  4402
 
 13  of the education law, as amended by chapter 273 of the laws of 1986, the
 
 14  opening  paragraph  and  clauses (a) and (b) as amended by chapter 82 of
 
 15  the laws of 1995, is amended to read as follows:
 
 16    (1) The board of education or trustees of each school  district  shall
 
 17  establish committees and/or subcommittees on special education as neces-
 
 18  sary  to  ensure timely evaluation and placement of pupils. The board of
 
 19  education of the city school district of the city  of  New  York,  shall
 
 20  establish  at  least  one  committee on special education in each of its
 
 21  community school districts, provided that appointments to the  community
 
 22  school district committees shall be made upon the approval of the commu-
 
 23  nity  school board except that the board of education of the city school
 
 24  district of the city of New York, may establish one committee  to  serve
 
 25  more  than  one  community  school district, in which case, appointments
 
 26  thereto shall be made upon the joint approval of the affected  community
 
 27  school  boards; provided, however, that prior to such consolidation, the
 
 28  board shall consider the relative caseload of the committee  on  special
 
                                        309                        13001-04-9
 
  1  education  in each affected community school district, including but not
 
  2  limited to the following factors: the number of  students  evaluated  by
 
  3  such  committee;  the  number  of referrals to special education in such
 
  4  community school district; the ability to comply with mandated paperwork
 
  5  and timelines; and other issues which the board deems pertinent.
 
  6    (a) Such committees shall be composed of at least the [child’s teacher
 
  7  as  defined  by  applicable federal regulations,] following members: (i)
 
  8  the parents or persons in parental relationship of the student; (ii) one
 
  9  regular education teacher of the student whenever the student is or  may
 
 10  be participating in the regular education environment; (iii) one special
 
 11  education teacher of the student selected by the school district, or, if
 
 12  appropriate,  a  licensed  or  certified related service provider of the
 
 13  student selected by the school district; (iv) a school  psychologist[,];
 
 14  (v) a representative of such school district who is qualified to provide
 
 15  or  administer  or  supervise  special education[,] and is knowledgeable
 
 16  about the general curriculum and the availability of  resources  of  the
 
 17  school  district;  (vi)  a  licensed  or  certified professional who can
 
 18  interpret the instructional implications of evaluation results; (vii)  a
 
 19  school  physician  [,a]  (viii)  an  additional parent of a [handicapped
 
 20  child] student with a disability residing in the school  district  or  a
 
 21  neighboring  school district, provided such parent shall not be employed
 
 22  by or under contract with the school district, and provided further that
 
 23  such additional parent shall not be a required member if the parents  or
 
 24  persons  in parental relationship of the student request that such addi-
 
 25  tional parent member not participate; (ix)  such  other  persons  having
 
 26  knowledge  or  special  expertise  regarding the student as the board of
 
 27  education or the board of trustees or the parents or persons in parental
 
                                        310                        13001-04-9
 
  1  relationship to the student shall  designate,  to  the  extent  required
 
  2  under federal law; and (x) if appropriate, the student.
 
  3    (b)  In  determining  the  composition  of  such committee pursuant to
 
  4  clause (a) of this subparagraph, a school district may determine that  a
 
  5  member  appointed  pursuant to one of subclauses (ii),(iii),(iv), or (v)
 
  6  of clause (a) may also fulfill the  requirement  of  subclause  (vi)  of
 
  7  clause  (a)  of a member who is a licensed or certified professional who
 
  8  can interpret  the  instructional  implications  of  evaluation  results
 
  9  provided  such individuals are determined by the school district to have
 
 10  the knowledge and expertise to do so, and/or that  the  school  psychol-
 
 11  ogist  member  appointed  pursuant  to subclause (iv) of clause (a) also
 
 12  fulfills the requirement of subclause (v) of clause (a) of a member  who
 
 13  is a representative of the school district. The regular education teach-
 
 14  er  of  the  student  shall  participate  in the development, review and
 
 15  revision of the individualized education program for the student, to the
 
 16  extent required under federal law. The school physician need not  be  in
 
 17  attendance  at  any meeting of the committee on special education unless
 
 18  specifically requested in writing, at least seventy-two hours  prior  to
 
 19  such  meeting  by  the parents or [guardian of] other person in parental
 
 20  relationship to the [child] student in question, the [child] student, or
 
 21  a member of the committee on special education.  The parents or [guardi-
 
 22  an] persons in parental relationship of the [child] student in  question
 
 23  shall  receive  proper  written notice of their right to have the school
 
 24  physician attend the meetings of the committee on special education upon
 
 25  referral of said [child] student to the committee on  special  education
 
 26  or whenever such committee plans to modify or change the identification,
 
 27  evaluation  or  educational  placement  of the [child] student and their
 
 28  right to request that the additional parent member  not  participate  at
 
                                        311                        13001-04-9
 
  1  any meeting of the committee regarding the student.  The committee shall
 
  2  invite the appropriate professionals most familiar with a [child’s hand-
 
  3  icap  or  handicaps]  student’s disability or disabilities to attend any
 
  4  meeting  concerning  the  educational  program for such [child] student.
 
  5  Members of such committee shall serve at the pleasure of such board  and
 
  6  members  who  are  neither  employees  of  nor  under contract with such
 
  7  district shall serve without compensation except that such members shall
 
  8  be entitled to a per diem to defray expenses incurred in  such  service,
 
  9  provided,  however, that any expense incurred shall be deemed an aidable
 
 10  operating expense for purposes of state aid.
 
 11    [(a)] (c) Districts not  having  available  personnel  may  share  the
 
 12  services  of  a local committee on special education with another school
 
 13  district or contract with a board of  cooperative  educational  services
 
 14  for  such  personnel  pursuant  to  regulations of the commissioner.   A
 
 15  district having a  subcommittee  on  special  education  may  share  the
 
 16  services  of  a local committee on special education with another school
 
 17  district, provided that a representative of such school district who  is
 
 18  qualified to provide or administer or supervise special education and is
 
 19  knowledgeable  about  the  general  curriculum  and  the availability of
 
 20  resources of the school district shall be a  member  of  such  committee
 
 21  when  it  convenes  on behalf of a [child with a handicapping condition]
 
 22  student who is a resident of such district.
 
 23    [(b)] (d) Boards of education  in  city  school  districts  in  cities
 
 24  having  in  excess of one hundred twenty-five thousand inhabitants shall
 
 25  appoint subcommittees on special education, to the extent  necessary  to
 
 26  ensure  timely  evaluation  and  placement  of [pupils with handicapping
 
 27  conditions] students with disabilities.  Boards of education or trustees
 
 28  of any school district outside of a city having a population  in  excess
 
                                        312                        13001-04-9
 
  1  of  one  hundred twenty-five thousand inhabitants may appoint subcommit-
 
  2  tees on special education to assist the board of education in accordance
 
  3  with this clause and the regulations of the commissioner. The membership
 
  4  of  each subcommittee shall include, but not be limited to, the [child’s
 
  5  teacher as defined by the applicable federal regulations and a represen-
 
  6  tative of such school district who is qualified to  provide,  administer
 
  7  or  supervise  special  education]  the  committee  members  required by
 
  8  subclauses (i), (ii), (iii), (v), (vi), (ix) and (x) of  clause  (a)  of
 
  9  this  subparagraph,  and a school psychologist whenever a new psycholog-
 
 10  ical evaluation is reviewed or a change to a  more  restrictive  program
 
 11  option,  as  defined  in regulations of the commissioner, is considered.
 
 12  Except when (i) a [child] student is considered for initial placement in
 
 13  a special class, or (ii) a [child] student  is  considered  for  initial
 
 14  placement  in  a special class outside of the [child’s] student’s school
 
 15  of attendance, or (iii) whenever a [child]  student  is  considered  for
 
 16  placement  in  a  school  primarily  serving [children with handicapping
 
 17  conditions] students with  disabilities  or  a  school  outside  of  the
 
 18  [child’s]  student’s  district,  each subcommittee may perform the func-
 
 19  tions for which the committee on special education is responsible pursu-
 
 20  ant to the provisions  of  this  subdivision.  Each  subcommittee  shall
 
 21  report  annually  the  status of each [handicapped pupil] student with a
 
 22  disability within its jurisdiction to the committee  on  special  educa-
 
 23  tion, and the subcommittee shall refer to the committee, upon receipt of
 
 24  a  written request from the parent or person in parental relationship to
 
 25  a [pupil] student, any matter in which the  parent  disagrees  with  the
 
 26  subcommittee’s recommendation concerning a modification or change in the
 
 27  identification, evaluation, educational placement or provision of a free
 
 28  appropriate  public  education to such [pupil] student. The committee on
 
                                        313                        13001-04-9
 
  1  special education shall be responsible for oversight and  monitoring  of
 
  2  the  activities  of  each  subcommittee  to  assure  compliance with the
 
  3  requirements of applicable and federal law and regulations.
 
  4    §  44.  Subdivision 6 of section 4402 of the education law, as amended
 
  5  by section 54 of part C of chapter 58 of the laws of 1998, is amended to
 
  6  read as follows:
 
  7    6. Notwithstanding any other law, rule or regulation to the  contrary,
 
  8  the  board  of  education of a city school district with a population of
 
  9  one hundred twenty-five thousand or more inhabitants shall be  permitted
 
 10  to  establish  maximum  class  sizes  for  special  classes  for certain
 
 11  students with disabilities in accordance with  the  provisions  of  this
 
 12  subdivision. For the purpose of obtaining relief from any adverse fiscal
 
 13  impact  from under-utilization of special education resources due to low
 
 14  student attendance in  special  education  classes  at  the  middle  and
 
 15  secondary level as determined by the commissioner, such boards of educa-
 
 16  tion  shall, during the school years nineteen hundred ninety-five--nine-
 
 17  ty-six through nineteen hundred [ninety-eight--ninety-nine] ninety-nine-
 
 18  -two thousand, be authorized to increase class sizes in special  classes
 
 19  containing students with disabilities whose age ranges are equivalent to
 
 20  those  of  students  in  middle  and secondary schools as defined by the
 
 21  commissioner for purposes of this section by up to but not to exceed one
 
 22  and two tenths times the applicable  maximum  class  size  specified  in
 
 23  regulations  of the commissioner rounded up to the nearest whole number,
 
 24  provided that the projected average class  size  shall  not  exceed  the
 
 25  maximum  specified  in  the  applicable  regulation,  provided that such
 
 26  authorization shall terminate on June thirtieth, [nineteen hundred nine-
 
 27  ty-nine] two thousand.  Such authorization shall be granted upon  filing
 
 28  of  a  notice by such a board of education with the commissioner stating
 
                                        314                        13001-04-9
 
  1  the board’s intention to increase such class sizes and  a  certification
 
  2  that  the  board  will  conduct  a  study  of attendance problems at the
 
  3  secondary level and will implement a corrective action plan to  increase
 
  4  the  rate of attendance of students in such classes to at least the rate
 
  5  for students attending regular education classes in secondary schools of
 
  6  the district.  Such  corrective  action  plan  shall  be  submitted  for
 
  7  approval  by  the commissioner by a date during the school year in which
 
  8  such board increases class sizes as provided pursuant to  this  subdivi-
 
  9  sion  to  be  prescribed  by the commissioner. Upon at least thirty days
 
 10  notice to the board of education, after conclusion of the school year in
 
 11  which such board increases class sizes  as  provided  pursuant  to  this
 
 12  subdivision,  the  commissioner  shall  be  authorized to terminate such
 
 13  authorization upon a finding that the board has  failed  to  develop  or
 
 14  implement an approved corrective action plan.
 
 15    §  45.   Subdivisions 1, 2 and 3 of section 4408 of the education law,
 
 16  as amended by chapter 82 of the  laws  of  1995  and  subdivision  1  as
 
 17  amended  by  chapter  474  of  the  laws of 1996, are amended to read as
 
 18  follows:
 
 19    1. State aid.  a. State aid payable for the nineteen  hundred  ninety-
 
 20  nine--two thousand and prior school years.  Except as otherwise provided
 
 21  in  paragraph d of subdivision five of section thirty-two hundred two of
 
 22  this chapter, for aid payable in the nineteen  hundred  ninety-nine--two
 
 23  thousand and prior school years the commissioner shall make payments for
 
 24  approved  July  and  August  programs  for students with disabilities in
 
 25  accordance with this section in an amount equal to eighty percent of the
 
 26  sum of the approved tuition and maintenance rates and the transportation
 
 27  expense for the current year enrollment of  students  with  disabilities
 
 28  ages  five  through  twenty-one or students eligible for services during
 
                                        315                        13001-04-9
 
  1  July and August pursuant to article eighty-five, eighty-seven or  eight-
 
  2  y-eight  of  this  chapter,  where such costs are determined pursuant to
 
  3  section forty-four hundred five  of  this  article,  provided  that  the
 
  4  placement  of  such  students  was  approved  by  the  commissioner,  if
 
  5  required.
 
  6    b. State aid payable for the two  thousand--two  thousand  one  school
 
  7  year  and  thereafter.  Except  as  otherwise provided in paragraph d of
 
  8  subdivision five of section thirty-two hundred two of this chapter,  for
 
  9  aid payable in the two thousand--two thousand one school year and there-
 
 10  after,  the  commissioner shall make the following payments for approved
 
 11  July and August programs for students with  disabilities  in  accordance
 
 12  with this section:
 
 13    (i)  Tuition expenses generally. Approved tuition expenses incurred by
 
 14  public school districts for the enrollment of students with disabilities
 
 15  ages five through twenty-one  eligible  for  services  during  July  and
 
 16  August, other than students eligible for services during July and August
 
 17  pursuant  to  article  eighty-five, eighty-seven or eighty-eight of this
 
 18  chapter, shall be an eligible use of funding provided in  paragraph  two
 
 19  of  subdivision  nineteen-b  of  section  thirty-six hundred two of this
 
 20  chapter.
 
 21    (ii) Certain tuition expenses. An amount equal to seventy  percent  of
 
 22  the sum of the approved tuition rates for the current year enrollment of
 
 23  students  eligible for services during July and August pursuant to arti-
 
 24  cle eighty-five, eighty-seven or eighty-eight  of  this  chapter,  where
 
 25  such costs are determined pursuant to section forty-four hundred five of
 
 26  this  article, provided that the placement of such students was approved
 
 27  by the commissioner, if required.
 
                                        316                        13001-04-9
 
  1    (iii)  Transportation  expenses.  Allowable  transportation   expenses
 
  2  incurred in the school year two thousand--two thousand one and thereaft-
 
  3  er by a public school district for the enrollment of students with disa-
 
  4  bilities ages five through twenty-one in July and August programs pursu-
 
  5  ant  to  this  section,  including students eligible for services during
 
  6  July and August pursuant to article eighty-five, eighty-seven or  eight-
 
  7  y-eight  of this chapter, shall be aided pursuant to subdivision four of
 
  8  section forty-four hundred one of this article and subdivision seven  of
 
  9  section thirty-six hundred two of this chapter.
 
 10    c. Duration of programs. Such programs shall operate for six weeks and
 
 11  shall  be funded for thirty days of service, provided, however, that the
 
 12  observance of the legal holiday for Independence day  may  constitute  a
 
 13  day of service.
 
 14    d.  Payment  of  tuition  and  maintenance  expenses  to providers for
 
 15  expenses incurred in the nineteen hundred ninety-nine--two thousand  and
 
 16  prior  school  years. Upon certification by the school district in which
 
 17  the student resides, that such  services  were  provided,  such  payment
 
 18  shall  be  made to the provider of such services, in accordance with the
 
 19  provisions of subdivision three of this section.
 
 20    2. Chargeback to a municipality[. Ten] For expenses  incurred  in  the
 
 21  nineteen  hundred  ninety-nine--two thousand and prior school years, ten
 
 22  percent of the approved cost of July and August services provided pursu-
 
 23  ant to this section for each student shall be a charge against the muni-
 
 24  cipality in which the parent, or person in parental relationship to such
 
 25  student, resided on July first of the school year in which such services
 
 26  were provided.  For expenses incurred in the two thousand--two  thousand
 
 27  one  school  year  and  thereafter,  the  approved  cost  of maintenance
 
 28  services provided pursuant to this section and articles eighty-seven  or
 
                                        317                        13001-04-9
 
  1  eighty-eight  of  this chapter in July and August for each student shall
 
  2  be a charge against the municipality in which the parent, or  person  in
 
  3  parental  relationship  to  such  student,  resided on July first of the
 
  4  school  year  in which such services were provided, where such costs are
 
  5  determined pursuant to section forty-four hundred five of this  article,
 
  6  provided that the placement of such students was approved by the commis-
 
  7  sioner,  if  required. The comptroller shall deduct from any state funds
 
  8  which become due to a municipality an amount equal to such  ten  percent
 
  9  required in accordance with this subdivision which amount shall be cred-
 
 10  ited  to  the local assistance account of the state education department
 
 11  as designated by the division of the budget.
 
 12    3. Payment schedule. [Moneys] For aid payable in the nineteen  hundred
 
 13  ninety-nine--two  thousand  and  prior school years, moneys appropriated
 
 14  annually to the department from the  general  fund  -  local  assistance
 
 15  account under the elementary, middle and secondary education program for
 
 16  July  and  August programs for students with disabilities, shall be used
 
 17  as follows: (i) for remaining base year and  prior  school  years  obli-
 
 18  gations,  (ii)  for the purposes of subdivision four of this section for
 
 19  schools operated under articles eighty-seven and  eighty-eight  of  this
 
 20  chapter,  and  (iii) notwithstanding any inconsistent provisions of this
 
 21  chapter, for payments made pursuant to this section for  current  school
 
 22  year obligations, provided, however, that such payments shall not exceed
 
 23  seventy percent of the state aid due for the sum of the approved tuition
 
 24  and  maintenance  rates  and transportation expense provided for herein;
 
 25  provided, however, that payment of eligible claims shall be  payable  in
 
 26  the order that such claims have been approved for payment by the commis-
 
 27  sioner,  but  in no case shall a single payee draw down more than forty-
 
 28  five percent of the appropriation provided  for  the  purposes  of  this
 
                                        318                        13001-04-9
 
  1  section,  and  provided  further  that  no  claim shall be set aside for
 
  2  insufficiency of funds to make a complete payment, but shall be eligible
 
  3  for a partial payment in one year and shall  retain  its  priority  date
 
  4  status for appropriations provided for this section in future years.
 
  5    § 46. Subdivision 1 of section 4410 of the education law is amended by
 
  6  adding a new paragraph a-1 to read as follows:
 
  7    a-1.  "Approved  private  evaluator" means an approved evaluator other
 
  8  than a school district.
 
  9    § 47. Paragraph a of subdivision 3 of section 4410  of  the  education
 
 10  law,  as  amended by chapter 474 of the laws of 1996, is amended to read
 
 11  as follows:
 
 12    a. Each such board shall establish one or more committees  to  conduct
 
 13  meetings  to  develop,  review  and  revise the individualized education
 
 14  program of a preschool child with a disability.
 
 15    (1) Such board shall ensure that [ each meeting includes] such commit-
 
 16  tee is composed of at least the following  [participants]  members:  (i)
 
 17  the  parents of the preschool child; (ii) a regular education teacher of
 
 18  such child, certified to teach prekindergarten, whenever the child is or
 
 19  may be participating in a regular education environment; (iii) a special
 
 20  education teacher of the child or, if appropriate, a licensed or  certi-
 
 21  fied  related service or special education itinerant service provider of
 
 22  the child; (iv) an  appropriate  professional  employed  by  the  school
 
 23  district  who is qualified to provide, or supervise the provision[,] of,
 
 24  special education, who is knowledgeable about the general curriculum  of
 
 25  the  school district and the availability of preschool special education
 
 26  programs and services and other resources in the school district and the
 
 27  municipality, and who shall serve as chairperson of the committee; [  a]
 
 28  (v) an additional parent of a child with a disability who resides in the
 
                                        319                        13001-04-9
 
  1  school  district  or  a  neighboring  school district and whose child is
 
  2  enrolled in a preschool or elementary level education program,  provided
 
  3  that  such  parent  shall  not be employed by or under contract with the
 
  4  school  district  or  municipality ,and provided further that such addi-
 
  5  tional parent shall not be a required member if the parents request that
 
  6  such additional parent member not participate; [for a child with a disa-
 
  7  bility who has been evaluated for the first  time:  a  professional  who
 
  8  participated  in  the evaluation of the child for whom services pursuant
 
  9  to this section are sought or an appropriate  professional  employed  by
 
 10  the school district, other than the chairperson, the child’s teacher, or
 
 11  some  other person present at the meeting who is knowledgeable about the
 
 12  evaluation procedures used with the  child  and  is  familiar  with  the
 
 13  results of the evaluation] (vi) a licensed or certified professional who
 
 14  can  interpret  the  instructional  implications  of evaluation results,
 
 15  provided that such professional may be the member appointed pursuant  to
 
 16  clause  (ii),  (iii) or (iv) of this subparagraph where such individuals
 
 17  are determined by the school district to have the knowledge  and  exper-
 
 18  tise  to  do so, provided further that nothing contained herein shall be
 
 19  construed to limit the parent or parents of  the  preschool  child  from
 
 20  choosing to invite the private evaluator to attend and to participate in
 
 21  the  meeting and the private evaluator from participating at their invi-
 
 22  tation, provided, however, that no approved private evaluator shall vote
 
 23  on a committee recommendation except as required by federal law; [in any
 
 24  meeting held to review or reevaluate the status of the preschool  child,
 
 25  the child’s teacher] (vii) such other persons having knowledge or exper-
 
 26  tise regarding the child as the board or the parents shall designate, to
 
 27  the  extent required under federal law; and[,] for a child in transition
 
 28  from programs and services provided pursuant to applicable federal  laws
 
                                        320                        13001-04-9
 
  1  relating  to  early  intervention services, the appropriate professional
 
  2  designated by the agency that has been charged with  the  responsibility
 
  3  for  the  preschool  child  pursuant to said applicable federal laws. In
 
  4  addition,  the  chief  executive  officer  of  the  municipality  of the
 
  5  preschool child’s residence shall appoint an appropriately certified  or
 
  6  licensed  professional  to the committee. Attendance of the appointee of
 
  7  the municipality shall not be required for a quorum.
 
  8    (2) At least five business days prior to a meeting of the committee on
 
  9  preschool special education notice of such meeting  shall  be  given  to
 
 10  each  committee member, including the appointee of the municipality, and
 
 11  the parent of the preschool child, in writing by first class mail, post-
 
 12  age prepaid, telefacsimile, or by personal  service.  The  appropriately
 
 13  licensed  or  certified  professional  designated by the agency that has
 
 14  been charged with the responsibility for the preschool child pursuant to
 
 15  applicable federal laws relating to early  intervention  services  shall
 
 16  attend  all  meetings  of  the  committee conducted prior to the child’s
 
 17  initial receipt of services pursuant  to  this  section.    The  regular
 
 18  education  teacher  of  the  child shall participate in the development,
 
 19  review and revision of an individualized education program for the child
 
 20  to the extent required under federal law. A  member  of  such  committee
 
 21  shall  be considered as a member of a committee on special education for
 
 22  the purposes of section thirty-eight hundred eleven of this chapter.
 
 23    § 48. Paragraphs a, b, c and d of subdivision 4 of section 4410 of the
 
 24  education law, paragraph a as amended by chapter  705  of  the  laws  of
 
 25  1992, paragraph b as added by chapter 243 of the laws of 1989, paragraph
 
 26  c  as  amended  by  chapter  474  of the laws of 1996 and paragraph d as
 
 27  amended by chapter 520 of the laws of  1993,  are  amended  to  read  as
 
 28  follows:
 
                                        321                        13001-04-9
 
  1    a. The board shall identify each preschool child suspected of having a
 
  2  [handicapping condition] disability who resides within the district and,
 
  3  upon  referral  to  the committee shall, with the consent of the parent,
 
  4  conduct or otherwise provide for [an]  a  multi-disciplinary  evaluation
 
  5  related  to  the suspected disability of the child.  Notwithstanding any
 
  6  other provision of law, the board may contract with an approved  private
 
  7  evaluator  to  conduct  an  evaluation,  or  any  portion  thereof, of a
 
  8  preschool child suspected of having a disability or  a  preschool  child
 
  9  with  a  disability. The board shall make such identification in accord-
 
 10  ance with regulations of the commissioner.
 
 11    b. Each board that determines to conduct the  evaluation  by  contract
 
 12  with an approved private evaluator shall, within time limits established
 
 13  by  the  commissioner,  be  responsible  for  providing  the parent of a
 
 14  preschool child suspected of having a [handicapping condition] disabili-
 
 15  ty with a list of approved private evaluators in  the  geographic  area.
 
 16  The  [parent may] board shall select the approved private evaluator from
 
 17  such list, provided however that the  parent  may  have  an  independent
 
 18  evaluation  conducted by an approved private evaluator at the expense of
 
 19  the school district under the same circumstances  as  the  parent  of  a
 
 20  student  with  a disability of school age.  Each board shall provide for
 
 21  dissemination of the list and other information to parents at  appropri-
 
 22  ate sites, including but not limited to pre-kindergarten, day care, head
 
 23  start  programs and early childhood direction centers, pursuant to regu-
 
 24  lations of the commissioner.
 
 25    c. The documentation of the evaluation shall  include  all  assessment
 
 26  reports and a summary report of the findings of the evaluation on a form
 
 27  prescribed  by  the  commissioner  including a detailed statement of the
 
 28  preschool child’s individual needs. The summary report and  the  assess-
 
                                        322                        13001-04-9
 
  1  ment  reports  shall  not  make  reference  to  any specific provider of
 
  2  special services or programs.   In addition, with  the  consent  of  the
 
  3  parents,  approved  private  evaluators  that conduct the evaluation and
 
  4  committees  shall be provided with the most recent evaluation report for
 
  5  a child in transition from programs and services  provided  pursuant  to
 
  6  title  [two-a]  two-A  of  article twenty-five of the public health law.
 
  7  Nothing shall prohibit [an] the school district  personnel  or  approved
 
  8  private  evaluator  conducting  the  evaluation,  or the committee, from
 
  9  reviewing other assessments or evaluations to determine if such  assess-
 
 10  ments  or evaluations fulfill the requirements of the regulations of the
 
 11  commissioner.   Notwithstanding  any  inconsistent  provisions  of  this
 
 12  section,  the  committee, in its discretion, may obtain an evaluation of
 
 13  the child from another approved evaluator prior to making any  recommen-
 
 14  dation  that  would place a child in the approved program that conducted
 
 15  the initial evaluation of the child.
 
 16    d.  The  school  district  personnel  or  approved  private  evaluator
 
 17  conducting the evaluation shall, following completion of the evaluation,
 
 18  transmit  the  documentation  of  the  evaluation  to all members of the
 
 19  committee and to a person designated by the municipality  in  which  the
 
 20  preschool  child  resides.   Each municipality shall notify the approved
 
 21  evaluators in the geographic area  of  the  person  so  designated.  The
 
 22  summary  report  of  the  evaluation shall be transmitted in English and
 
 23  when necessary, also in the dominant language or other mode of  communi-
 
 24  cation of the parent; the documentation of the evaluation shall be tran-
 
 25  smitted  in  English  and,  upon  the request of the parent, also in the
 
 26  dominant language or other mode of communication of the  parent,  unless
 
 27  not clearly feasible to do so pursuant to regulations promulgated by the
 
 28  commissioner.  Costs of translating the summary report and documentation
 
                                        323                        13001-04-9
 
  1  of the evaluation shall be separately reimbursed. If, based on the eval-
 
  2  uation, the committee finds that a child has a [handicapping  condition]
 
  3  disability,  the committee shall use the documentation of the evaluation
 
  4  to  develop an individualized education program for the preschool child.
 
  5  Nothing herein shall prohibit an approved evaluator  from  at  any  time
 
  6  providing  the parent with a copy of the documentation of the evaluation
 
  7  provided to the committee.
 
  8    § 49. Subparagraph (iii) of paragraph a of subdivision  9  of  section
 
  9  4410  of the education law, as added by chapter 474 of the laws of 1996,
 
 10  is amended to read as follows:
 
 11    (iii) Commencing July first, nineteen hundred ninety-six, a moratorium
 
 12  on the approval of any  new  or  expanded  programs  in  settings  which
 
 13  include  only  preschool  children  with disabilities is established for
 
 14  [three] six years.  Exceptions shall be made for cases in  which  school
 
 15  districts  document  a  critical need for a new or expanded program in a
 
 16  setting which includes only preschool  children  with  disabilities,  to
 
 17  meet  the  projected  demand  for services for preschool children in the
 
 18  least restrictive  environment.    Nothing  herein  shall  prohibit  the
 
 19  commissioner  from approving the modification of a full-day program into
 
 20  half-day sessions.
 
 21    § 50. Section 4410 of the education law is amended  by  adding  a  new
 
 22  subdivision 9-e to read as follows:
 
 23    9-e.  Report on extended absences. Where a preschool child enrolled in
 
 24  an approved program has an extended absence, as  defined  in  the  regu-
 
 25  lations  of  the  commissioner,  the approved provider shall report such
 
 26  extended absence to the committee and  the  municipality,  so  that  the
 
 27  committee  may  take  appropriate action. Such report shall be in a form
 
 28  prescribed by the commissioner.
 
                                        324                        13001-04-9
 
  1    § 51. Paragraph b of subdivision 10 of section 4410 of  the  education
 
  2  law,  as  amended by chapter 705 of the laws of 1992, is amended to read
 
  3  as follows:
 
  4    b.  Reimbursement  for  the approved costs of evaluations conducted by
 
  5  [approved evaluators] school districts shall  be  provided  pursuant  to
 
  6  regulations  of  the  commissioner  adopted  after consultation with the
 
  7  advisory committee established pursuant to paragraph  a  of  subdivision
 
  8  twelve  of this section and shall be subject to approval by the director
 
  9  of the budget.
 
 10    § 52. Paragraph a of subdivision 11 of section 4410 of  the  education
 
 11  law,  as  amended by chapter 474 of the laws of 1996, is amended to read
 
 12  as follows:
 
 13    a. The approved costs for a  preschool  child  who  receives  services
 
 14  pursuant to this section shall be a charge upon the municipality wherein
 
 15  such  child  resides.  All  approved  costs  shall  be paid in the first
 
 16  instance and at least quarterly by the  appropriate  governing  body  or
 
 17  officer  of  the municipality upon vouchers presented and audited in the
 
 18  same manner as the  case  of  other  claims  against  the  municipality;
 
 19  provided,  however,  that  where  a  school  district  contracts with an
 
 20  approved private evaluator to conduct an  evaluation,  the  municipality
 
 21  shall  deduct  from the payment due such school district an amount equal
 
 22  to forty and one-half percent of the approved costs of such  evaluation,
 
 23  and  provided  further that the amount of such approved evaluation costs
 
 24  remaining after such deduction shall be fully reimbursed  by  the  state
 
 25  pursuant   to   this  subdivision.    Notwithstanding  any  inconsistent
 
 26  provisions of this section, upon notification  by  the  commissioner,  a
 
 27  municipality  may  withhold  payments  due  any  provider  for  services
 
 28  rendered to preschool children in a program for which  the  commissioner
 
                                        325                        13001-04-9
 
  1  has  been  unable  to establish a tuition rate due to the failure of the
 
  2  provider to file complete and accurate  reports  for  such  purpose,  as
 
  3  required by the commissioner.
 
  4    § 53.  Paragraph k of section 25.00 of the local finance law, as added
 
  5  by chapter 754 of the laws of 1992 and subdivision 1 as amended by chap-
 
  6  ter 370 of the laws of 1993, is amended to read as follows:
 
  7    k.  1.  A special act public school district may [issue revenue antic-
 
  8  ipation notes] obtain letters of credit in anticipation of moneys to  be
 
  9  received  from  the  state, the United States government and from public
 
 10  school districts or social services districts which  place  students  in
 
 11  the special act public school district.
 
 12    2.  For  the  purposes  of  this  paragraph,  and  for the purposes of
 
 13  sections 30.00 and 39.00 and titles four, five, six and twelve  of  this
 
 14  article, the board of education shall be the finance board and its pres-
 
 15  ident  shall  be  its  chief  fiscal  officer[;  provided, further, that
 
 16  section 162.00 of this article shall be  applicable  to  revenue  antic-
 
 17  ipation notes issued under this paragraph].
 
 18    § 54. Section 81 of part C of chapter 58 of the laws of 1998, amending
 
 19  the education law and certain other laws relating to the calculation and
 
 20  payment  of  state  aid  to  school  districts and boards of cooperative
 
 21  educational services, is amended to read as follows:
 
 22    § 81. Notwithstanding any other provision  of  law  to  the  contrary,
 
 23  prior  year  state  aid  claims  due and payable [for the 1995-96 school
 
 24  year] shall be paid during June of the 1998-99 school  year  within  the
 
 25  limits  of funds appropriated for such purpose; provided that the sum of
 
 26  such payments made during the  1998-99  school  year  shall  not  exceed
 
 27  [eighteen]   fourteen  million  dollars  [($18,000,000)]  ($14,000,000);
 
 28  provided further that each eligible claim shall be payable in the  order
 
                                        326                        13001-04-9
 
  1  that  it  has been approved for payment by the commissioner of education
 
  2  but in no case shall a single claim draw down more than forty percent of
 
  3  the appropriation so designated for a single year, and; provided further
 
  4  that  no  claim  shall be set aside for insufficiency of funds to make a
 
  5  complete payment, but shall be eligible for a  partial  payment  in  one
 
  6  year and shall retain its priority date status for appropriations desig-
 
  7  nated for such purposes in future years.
 
  8    § 55. Sections 1, 2 and 3 of chapter 221 of the laws of 1998, relating
 
  9  to adjusting certain state aid payments to certain school districts, are
 
 10  amended to read as follows:
 
 11    Section  1. Notwithstanding any contrary provision of law, the employ-
 
 12  ment preparation education aid payments made to the Syracuse city school
 
 13  district in the 1992-93, 1993-94, and the 1994-95  school  years,  which
 
 14  included  excess  payments  of which the district has been notified, and
 
 15  for which a recovery must be made by  the  state  through  deduction  of
 
 16  future  aid  payments,  shall be reduced through aid deductions totaling
 
 17  the excess, by deducting one-sixth of the excess payments first, to  the
 
 18  extent  possible,  from each of the payments due for employment prepara-
 
 19  tion education programs to be operated by such city school district  and
 
 20  payable in the months of October 1998, 1999, 2000, 2001, 2002, and 2003,
 
 21  and  then,  if such scheduled aid deduction shall exceed such designated
 
 22  payment for employment preparation education programs,  from  any  other
 
 23  moneys  due  the  school  district, provided, however, there shall be no
 
 24  interest penalty against such district  assessed  or  collected  by  the
 
 25  state.
 
 26    §  2.  Notwithstanding  any  contrary provision of law, the employment
 
 27  preparation education  aid  payments  made  to  the  Utica  city  school
 
 28  district  in  the 1995-96 school year, which included excess payments of
 
                                        327                        13001-04-9
 
  1  which the district has been notified, and for which a recovery  must  be
 
  2  made  by  the  state  through deduction of future aid payments, shall be
 
  3  reduced through aid deductions totaling the excess,  by  deducting  one-
 
  4  sixth of the excess payments first, to the extent possible, from each of
 
  5  the  payments  due  for  employment preparation education programs to be
 
  6  operated by such city school district and payable in the months of Octo-
 
  7  ber 1998, 1999, 2000, 2001, 2002, and 2003, and then, if such  scheduled
 
  8  aid deduction shall exceed such designated payment for employment prepa-
 
  9  ration  education  programs,  from  any  other  moneys  due  the  school
 
 10  district, provided, however, there shall be no interest penalty  against
 
 11  such district assessed or collected by the state.
 
 12    §  3.  Notwithstanding  any  contrary provision of law, the employment
 
 13  preparation education aid payments made  to  the  Gloversville  enlarged
 
 14  city  school district in the 1991-92, 1992-93, and 1993-94 school years,
 
 15  which included excess payments of which the district has been  notified,
 
 16  and  for which a recovery must be made by the state through deduction of
 
 17  future aid payments, shall be reduced through  aid  deductions  totaling
 
 18  the  excess, by deducting one-sixth of the excess payments first, to the
 
 19  extent possible, from each of the payments due for  employment  prepara-
 
 20  tion  education  programs  to  be  operated by such enlarged city school
 
 21  district and payable in the months of October 1998,  1999,  2000,  2001,
 
 22  2002,  and  2003, and then, if such scheduled aid deduction shall exceed
 
 23  such designated payment for employment preparation  education  programs,
 
 24  from  any other moneys due the school district, provided, however, there
 
 25  shall be no interest penalty against such district assessed or collected
 
 26  by the state.
 
 27    § 56.  Subdivisions 22 and 24 of section 140 of chapter 82 of the laws
 
 28  of 1995, amending the education law and certain other laws  relating  to
 
                                        328                        13001-04-9
 
  1  state  aid  to  school  districts and the appropriation of funds for the
 
  2  support of government, as amended by section 62 of part C of chapter  58
 
  3  of the laws of 1998, are amended to read as follows:
 
  4    (22)  sections  one  hundred twelve, one hundred thirteen, one hundred
 
  5  fourteen, one hundred fifteen and one hundred sixteen of this act  shall
 
  6  take effect on July 1, 1995; provided, however, that section one hundred
 
  7  thirteen of this act shall remain in full force and effect until July 1,
 
  8  [1999] 2000 at which time it shall be deemed repealed;
 
  9    (24)  sections one hundred eighteen through one hundred thirty of this
 
 10  act shall be deemed to have been in full force and effect on  and  after
 
 11  July 1, 1995; provided further, however, that the amendments made pursu-
 
 12  ant  to  section  one hundred nineteen of this act shall be deemed to be
 
 13  repealed on and after July 1, [1999] 2000;
 
 14    § 57. Subdivision 1 of section 167 of chapter 169 of the laws of 1994,
 
 15  relating to certain provisions related to the 1994-95 state  operations,
 
 16  aid to localities, capital projects and debt service budgets, as amended
 
 17  by section 63 of part C of chapter 58 of the laws of 1998, is amended to
 
 18  read as follows:
 
 19    1.  Sections  one  through seventy of this act shall be deemed to have
 
 20  been in full force and effect as of April  1,  1994  provided,  however,
 
 21  that  sections one, two, [seventeen and twenty-two through] twenty-four,
 
 22  twenty-five and twenty-seven through seventy of this  act  shall  expire
 
 23  and  be  deemed  repealed  on  March  31,  1999; provided, however, that
 
 24  section twenty of this act shall apply only to hearings commenced  prior
 
 25  to  September  1,  1994, and provided further that section twenty-six of
 
 26  this act shall expire and be deemed repealed  on  March  31,  1997;  and
 
 27  provided  further  that  sections  four through fourteen, sixteen, [and]
 
 28  eighteen, nineteen and twenty-one through twenty-one-a of this act shall
 
                                        329                        13001-04-9
 
  1  expire and be deemed repealed on March 31, 1997;  and  provided  further
 
  2  that  sections  three,  fifteen [and], seventeen, twenty, twenty-two and
 
  3  twenty-three of this act shall expire and be deemed  repealed  on  March
 
  4  31, 2000.
 
  5    §  58.  Subdivision b of section 2 of chapter 756 of the laws of 1992,
 
  6  relating to funding a program for work force education conducted by  the
 
  7  consortium  for worker education in New York city, as amended by section
 
  8  64 of part C of chapter 58 of the laws of 1998, is amended  to  read  as
 
  9  follows:
 
 10    (b) Reimbursement for programs approved in accordance with subdivision
 
 11  a  of  this  section  for  the 1992-93 school year shall not exceed 61.4
 
 12  percent of the lesser of such approvable costs per contact hour or  five
 
 13  dollars  and sixty cents per contact hour, reimbursement for the 1993-94
 
 14  school year shall not exceed 65.1 percent of the lesser of such approva-
 
 15  ble costs per contact hour or five dollars and fifty cents  per  contact
 
 16  hour,  reimbursement  for  the  1994-95  school year shall not exceed 58
 
 17  percent of the lesser of such approvable costs per contact hour or  five
 
 18  dollars  and  seventy-five cents per contact hour, reimbursement for the
 
 19  1995-96 school year shall not exceed 61.2 percent of the lesser of  such
 
 20  approvable  costs  per contact hour or five dollars and eighty cents per
 
 21  contact hour, reimbursement for the 1996-97 school year shall not exceed
 
 22  61.7 percent of the lesser of such approvable costs per contact hour  or
 
 23  five  dollars  and  ninety cents per contact hour, reimbursement for the
 
 24  1997-98 school year shall not exceed 63.2 percent of the lesser of  such
 
 25  approvable  costs  per  contact  hour  or  six dollars and ten cents per
 
 26  contact hour, and reimbursement for the 1998-99 school  year  shall  not
 
 27  exceed  64.4  percent of the lesser of such approvable costs per contact
 
 28  hour or six dollars and five cents per contact  hour,  where  a  contact
 
                                        330                        13001-04-9
 
  1  hour  represents  sixty  minutes  of instruction services provided to an
 
  2  eligible adult.   Notwithstanding any other  provision  of  law  to  the
 
  3  contrary, for the 1992-1993 school year the apportionment calculated for
 
  4  the city school district of the city of New York pursuant to subdivision
 
  5  24  of  section  3602  of the education law shall be computed as if such
 
  6  contact hours provided by the consortium for worker  education,  not  to
 
  7  exceed  six  hundred  thousand hours (600,000), were eligible for aid in
 
  8  accordance with the provisions of such subdivision 24 of section 3602 of
 
  9  the education law, whereas, for the 1993-94  school  year  such  contact
 
 10  hours  shall  not  exceed  five hundred seventy-six thousand one hundred
 
 11  eighty-seven hours (576,187); whereas, for the 1994-95 school year  such
 
 12  contact  hours  shall  not  exceed  six  hundred  nineteen thousand five
 
 13  hundred thirty-one hours (619,531); whereas, for the 1995-96 school year
 
 14  such contact hours shall not exceed five hundred eighty-one thousand one
 
 15  hundred thirty-eight hours (581,138); whereas, for  the  1996-97  school
 
 16  year  such contact hours shall not exceed one million ninety-eight thou-
 
 17  sand nine hundred one hours (1,098,901); whereas, for the 1997-98 school
 
 18  year such contact hours  shall  not  exceed  one  million  five  hundred
 
 19  fifty-eight  thousand four hundred forty-one (1,558,441) hours; whereas,
 
 20  for the 1998-99 school year such contact  hours  shall  not  exceed  one
 
 21  million  [five]  nine  hundred  [forty-two]  twenty-eight thousand [four

 
 22  hundred sixteen (1,542,416)] twenty (1,928,020) hours.
 
 23    § 59. Special apportionment for salary expenses. a.    Notwithstanding
 
 24  any  other  provision  of  law,  upon application to the commissioner of
 
 25  education, not sooner than June 14, 2000 and not  later  than  June  24,
 
 26  2000,  a  school  district  eligible  for  an  apportionment pursuant to
 
 27  section 3602 of the education law shall be eligible to receive an appor-
 
 28  tionment pursuant to this section, for the school year ending  June  30,
 
                                        331                        13001-04-9
 
  1  2000,  for  salary  expenses incurred between April 1 and June 30, 2000,
 
  2  and such apportionment shall not exceed the deficit reduction assessment
 
  3  of 1990-91 as determined by the commissioner of education,  pursuant  to
 
  4  paragraph f of subdivision 1 of section 3602 of the education law, as in
 
  5  effect  through June 30, 1993, plus seventy-three percent of such amount
 
  6  for a city school district in a city with a population in excess of  one
 
  7  million  inhabitants,  and  shall  not exceed such salary expenses. Such
 
  8  application shall be made by a  school  district,  after  the  board  of
 
  9  education or trustees have adopted a resolution to do so and in the case
 
 10  of  a  city school district in a city with a population in excess of one
 
 11  hundred twenty-five thousand inhabitants, with the approval of the mayor
 
 12  of such city.
 
 13    b. The claim for an apportionment to be  paid  to  a  school  district
 
 14  pursuant  to  subdivision  a  of  this section shall be submitted to the
 
 15  commissioner of education on a form prescribed  for  such  purpose,  and
 
 16  shall  be  payable upon determination by such commissioner that the form
 
 17  has been submitted as prescribed. Such approved amounts shall be payable
 
 18  on the same day on or before September, 2000, as funds provided pursuant
 
 19  to subparagraph 3 of paragraph b of subdivision 4 of section 92-c of the
 
 20  state finance law, on the audit and warrant of the state comptroller  on
 
 21  vouchers  certified  or approved by the commissioner of education in the
 
 22  manner prescribed by law from moneys in the state lottery fund and  from
 
 23  the general fund to the extent that the amount paid to a school district
 
 24  pursuant  to  subdivision  c of this section exceeds the amount, if any,
 
 25  due such school district pursuant to subparagraph 3 of  paragraph  a  of
 
 26  subdivision  1  of  section  3609-a  of the education law in the 2000-01
 
 27  school year.
 
                                        332                        13001-04-9
 
  1    c. Notwithstanding the provisions of section 3609-a of  the  education
 
  2  law, an amount equal to the amount paid to a school district pursuant to
 
  3  subdivisions  a  and  b  of  this  section  shall first be deducted from
 
  4  payments due during the 2000-01 school year  pursuant  to  the  subpara-
 
  5  graphs  of  paragraph a of subdivision 1 of section 3609-a of the educa-
 
  6  tion law in the following order: subparagraph  2  followed  by  subpara-
 
  7  graphs  1  and 4, and any remainder to be deducted from payments due the
 
  8  district pursuant to paragraph b of such subdivision shall  be  deducted
 
  9  on  a  chronological  basis  starting  with the earliest payment due the
 
 10  district.
 
 11    § 60. Notwithstanding any other provision of law to the contrary,  any
 
 12  school district first joining a BOCES on or after July 1, 1995 and prior
 
 13  to  July  2,  1997 shall be eligible to apply to the commissioner for an
 
 14  interest free loan in the current year which shall not exceed: (i) eight
 
 15  hundred eighty-nine  thousand  dollars  ($889,000)  for  the  2000--2001
 
 16  school year and (ii) four hundred fifty-five thousand dollars ($455,000)
 
 17  for  the  2001--2002 school year. The annual application for such a loan
 
 18  shall be in a form prescribed by the commissioner  of  education.    The
 
 19  amount  of  the loan in any year shall be determined by the commissioner
 
 20  of education.  Notwithstanding any inconsistent  provisions  of  section
 
 21  3609-a  of  the  education  law, such loan amounts shall be paid to each
 
 22  eligible school district on or  before  June  15,  commencing  with  the
 
 23  1997--98  school  year, but only to the extent that the repayment of the
 
 24  base year loan has  been  secured.    Notwithstanding  any  inconsistent
 
 25  provision  of  law, the state comptroller shall deduct the amount of any
 
 26  base year loan from any monies due such school district in March of  the
 
 27  current  year.  Should the amount of any monies due such school district
 
 28  in March be insufficient to repay the total amount of the base year loan
 
                                        333                        13001-04-9
 
  1  to the school district, the state comptroller shall deduct  any  balance
 
  2  due the state from any other monies payable to such district. Should the
 
  3  total  amount  of  monies due to or on behalf of such school district be
 
  4  insufficient  to  repay  the  total  amount  of the base year loan, such
 
  5  school district shall make a direct payment to the  state  before  March
 
  6  first  of  the  current  year  and such payment shall be credited to the
 
  7  general fund local assistance account of the department of education.
 
  8    § 61. Notwithstanding any other provision  of  law  to  the  contrary,
 
  9  prior  year state aid claims due and payable for the 1995-96 and 1996-97
 
 10  school year shall be paid during June of the 1999-00 school year  within
 
 11  the limits of funds appropriated for such purpose; provided that the sum
 
 12  of  such  payments  made during the 1999-00 school year shall not exceed
 
 13  eighteen million  dollars  ($18,000,000);  provided  further  that  each
 
 14  eligible  claim  shall be payable in the order that it has been approved
 
 15  for payment by the commissioner of education but  in  no  case  shall  a
 
 16  single  claim  draw down more than forty percent of the appropriation so
 
 17  designated for a single year, and; provided further that no claim  shall
 
 18  be  set aside for insufficiency of funds to make a complete payment, but
 
 19  shall be eligible for a partial payment in one year and shall retain its
 
 20  priority date status for appropriations designated for such purposes  in
 
 21  future years.
 
 22    § 62. Notwithstanding any other provision of law to the contrary, when
 
 23  a  school  district that is eligible for aid pursuant to section 3602 of
 
 24  the education law receives payments in lieu of taxes on account  of  one
 
 25  or  more  parcels  of real property which are wholly or partially exempt
 
 26  from taxation on the final assessment roll completed in 1999  or  there-
 
 27  after,  and  the total of such payments in lieu of taxes received by the
 
 28  school district are equal to or greater than five percent of  the  total
 
                                        334                        13001-04-9
 
  1  amount  of  taxes  levied by or on behalf of the school district against
 
  2  the real property on that assessment roll, any actual valuation computed
 
  3  for the school district pursuant to paragraph  c  of  subdivision  1  of
 
  4  section  3602  of  the  education law shall include the actual valuation
 
  5  equivalent of such payments in  lieu  of  taxes.  The  actual  valuation
 
  6  equivalent  of  such  payments in lieu of taxes shall be annually deter-
 
  7  mined by the state board of real property services by dividing the total
 
  8  amount of such payments in lieu of taxes, as reported to the state board
 
  9  by the commissioner of education, by  the  school  tax  rate  which  was
 
 10  applied  to  the real property on that assessment roll, and dividing the
 
 11  result by the applicable state equalization  rate  for  that  roll.  The
 
 12  additional  actual  valuation  attributable  to such payments in lieu of
 
 13  taxes shall be reported to the state comptroller and the commissioner of
 
 14  education and shall be used by the commissioner  of  education  for  the
 
 15  computation  of  state  aid  to the school district and for the determi-
 
 16  nation of any state  average  which  uses  real  property  taxes  levied
 
 17  against  and/or  actual  valuation based on the corresponding assessment
 
 18  roll. The commissioner of  education  shall  require  each  such  school
 
 19  district to annually report the payments in lieu of taxes received by it
 
 20  each  year  as a condition for receiving aid pursuant to section 3602 of
 
 21  the education law, and shall forward such information to the state board
 
 22  so that it  may  calculate  the  actual  valuation  equivalent  of  such
 
 23  payments  in  lieu of taxes. Notwithstanding the foregoing, if a payment
 
 24  in lieu of taxes was received by a school district  on  account  of  the
 
 25  fact  that  a parcel was wholly or partially exempt on the final assess-
 
 26  ment roll completed in 1998, such payment in lieu of taxes and  payments
 
 27  in  lieu  of  taxes  made in every consecutive subsequent school year on
 
 28  account of the fact that the same parcel  received  the  same  exemption
 
                                        335                        13001-04-9
 
  1  shall  be  disregarded  for  purposes of administering the provisions of
 
  2  this section.
 
  3    § 63. Severability. The provisions of this act shall be severable, and
 
  4  if  the  application  of  any  clause, sentence, paragraph, subdivision,
 
  5  section or part of this act to  any  person  or  circumstance  shall  be
 
  6  adjudged  by  any  court  of  competent jurisdiction to be invalid, such
 
  7  judgment shall not necessarily affect, impair or invalidate the applica-
 
  8  tion of any such clause, sentence, paragraph, subdivision, section, part
 
  9  of this act or remainder thereof, as the  case  may  be,  to  any  other
 
 10  person  or  circumstance,  but shall be confined in its operation to the
 
 11  clause,  sentence,  paragraph,  subdivision,  section  or  part  thereof
 
 12  directly  involved  in the controversy in which such judgment shall have
 
 13  been rendered.
 
 14    § 64. This act shall take effect July 1, 1999 except that:
 
 15    (1) sections four, six and thirty-nine of this act shall  take  effect
 
 16  180 days after the date on which this act shall have become a law;
 
 17    (2)  sections  seven,  eight,  nine,  ten,  eleven,  twelve, thirteen,
 
 18  fifteen, nineteen and twenty-seven of this act shall take effect July 1,
 
 19  2000;
 
 20    (3) section sixteen of this act  shall  take  effect  immediately  and
 
 21  shall  be  deemed to have been in full force and effect on and after the
 
 22  date on which chapter 171 of the laws of  1996  took  effect;  provided,
 
 23  however, that any vote on a budget or proposition for the expenditure of
 
 24  money  or  authorizing  the  levy  of a tax that was conducted by a city
 
 25  school district having a population of less than 125,000  prior  to  the
 
 26  date  on  which  this act became a law shall not be declared invalid for
 
 27  failure of the board of education to provide for absentee ballots;
 
                                        336                        13001-04-9
 
  1    (4) sections twenty and thirty-seven of this act shall  be  deemed  to
 
  2  have been in full force and effect on and after July 1, 1998;
 
  3    (5)  section  twenty-three of this act shall be deemed to have been in
 
  4  full force and effect on and after the effective date of section  43  of
 
  5  chapter 474 of the laws of 1996;
 
  6    (6)  section  twenty-five  of this act shall be deemed to have been in
 
  7  full force and effect on and after July 1, 1997;
 
  8    (7) section twenty-nine of this act shall be deemed to  have  been  in
 
  9  full  force  and effect on and after the effective date of section 50 of
 
 10  chapter 474 of the laws of 1996;
 
 11    (8) section thirty-six of this act shall be deemed  to  have  been  in
 
 12  full  force  and effect on and after the effective date of section 52 of
 
 13  part A of chapter 436 of the laws of 1997;
 
 14    (9) section forty of this act shall be deemed to  have  been  in  full
 
 15  force and effect on and after July 1, 1996;
 
 16    (10)  section forty-one of this act shall take effect immediately, and
 
 17  shall be deemed to have been in full force and effect on and after March
 
 18  1, 1999;
 
 19    (11) section fifty-five of this act shall take effect immediately  and
 
 20  shall  be  deemed to have been in full force and effect as of the effec-
 
 21  tive date of chapter 221 of the laws of 1998;
 
 22    (12) section fifty-six of this act shall take effect  immediately  and
 
 23  shall  be  deemed to have been in full force and effect as of the effec-
 
 24  tive date of section 99 of part A of chapter 436 of the laws of 1997;
 
 25    (13) section fifty-seven of this act shall take effect immediately and
 
 26  shall be deemed to have been in full force and effect as of  the  effec-
 
 27  tive  date  of section 101 of part A of chapter 436 of the laws of 1997;
 
 28  and
 
                                        337                        13001-04-9
 
  1    (14) section fifty-eight of this act shall take effect immediately and
 
  2  shall be deemed to have been in full force and effect as of  the  effec-
 
  3  tive date of section 64 of part C of chapter 58 of the laws of 1998.
 
  4                                    PART II
 
  5    § 1. Paragraph (d) of subdivision 2 of section 425 of the real proper-
 
  6  ty  tax  law, as added by section 1 of part B of chapter 389 of the laws
 
  7  of 1997, is amended to read as follows:
 
  8    (d)  Equalization adjustment.   To account for  the  variance  in  the
 
  9  level  of  assessment  among  assessing  units, the figure determined in
 
 10  paragraph (c) of this subdivision shall be multiplied by  an  "equaliza-
 
 11  tion factor," which shall be [the appropriate state equalization rate or
 
 12  special  equalization  rate established by the state board] equal to the
 
 13  ratio of assessed value to market value of residential property  in  the
 
 14  assessing unit as determined in the latest market value survey completed
 
 15  pursuant  to  article twelve of this chapter, unless the state board has
 
 16  applied the uniform percentage of value  prevailing  on  the  assessment
 
 17  roll  for  purposes  of  subdivision three of section six hundred six of
 
 18  this chapter, in which case the equalization factor shall  be  equal  to
 
 19  the  uniform percentage of value so applied.  Provided, that in the case
 
 20  of a special assessing unit, (i) the equalization factor for  class  one
 
 21  in each school district portion shall be the class equalization rate for
 
 22  class one in the portion, and (ii) the equalization factor for class two
 
 23  in  each  school  district  portion shall be the equalization factor for
 
 24  class one in the portion, multiplied by the latest tax  rate  for  class
 
 25  one  in  the  portion, and then divided by the latest tax rate for class
 
 26  two in the portion. Provided further, that in any instance  when  school
 
 27  district  taxes  are  levied  upon an assessment roll which predates the
 
 28  latest final assessment roll, the  equalization  factor  shall  be  [the
 
                                        338                        13001-04-9
 
  1  state  equalization  rate for] determined with respect to the assessment
 
  2  roll upon which school district taxes are to be levied.
 
  3    § 2. Paragraph (j) of subdivision 2 of section 425 of the real proper-
 
  4  ty  tax  law, as added by section 1 of part B of chapter 389 of the laws
 
  5  of 1997, is amended to read as follows:
 
  6    (j) Certain city school districts.  The state board shall  adjust  the
 
  7  exempt  amount  for  each  city  containing  a  school district which is
 
  8  subject to article fifty-two of the education law, to  account  for  the
 
  9  fact  that [a single tax is levied for both school district purposes and
 
 10  general city purposes] the school district is  fiscally  dependent  upon
 
 11  the  city.    This  adjustment  shall  be made by multiplying the exempt
 
 12  amount that would otherwise be determined for the  city  by  sixty-seven
 
 13  percent,  or,  in the case of a city with a population of one million or
 
 14  more, by fifty percent.  The exempt amount resulting  from  this  calcu-
 
 15  lation  shall  be  applied  both  to  the assessed value for city school
 
 16  district purposes and to the assessed value for general  city  purposes,
 
 17  and state aid shall be payable on the combined tax savings in the manner
 
 18  provided by section thirteen hundred six-a of this chapter.
 
 19    §  3.  Subparagraph  (ii) of paragraph (k) of subdivision 2 of section
 
 20  425 of the real property tax law, as added by section 1  of  part  B  of
 
 21  chapter 389 of the laws of 1997, is amended to read as follows:
 
 22    (ii)  That proportion of the assessment of such real property owned by
 
 23  a cooperative apartment corporation determined by  the  relationship  of
 
 24  such  real  property  vested  in  such tenant-stockholder to such entire
 
 25  parcel and the buildings thereon owned  by  such  cooperative  apartment
 
 26  corporation in which such tenant-stockholder resides shall be subject to
 
 27  exemption  from  taxation  pursuant to this section and any exemption so
 
 28  granted shall be credited by the appropriate  taxing  authority  against
 
                                        339                        13001-04-9
 
  1  the  assessed  valuation  of  such  real  property  [;  the].   Upon the
 
  2  completion of the final assessment roll, or as  soon  thereafter  as  is
 
  3  practicable,  the  assessor  shall  forward to the cooperative apartment
 
  4  corporation a statement setting forth the exemption attributable to each
 
  5  eligible tenant-stockholder. The reduction in real property taxes [real-
 
  6  ized  thereby] attributable to each eligible tenant-stockholder shall be
 
  7  credited by the cooperative apartment corporation against the amount  of
 
  8  such  taxes otherwise payable by or chargeable to such tenant-stockhold-
 
  9  er.
 
 10    § 4. Subparagraph (iii) of paragraph (l) of subdivision 2  of  section
 
 11  425  of  the  real  property tax law, as added by section 1 of part B of
 
 12  chapter 389 of the laws of 1997, is amended to read as follows:
 
 13    (iii) If the owner of the trailer or mobile  home  does  not  own  the
 
 14  land,  he  or  she may apply for exemption pursuant to this section only
 
 15  upon the trailer or mobile home.  If granted, only the  portion  of  the
 
 16  assessment  of  the  parcel  attributable  to the trailer or mobile home
 
 17  shall be subject to exemption from taxation pursuant  to  this  section.
 
 18  In  no event shall the exemption exceed the total assessed value attrib-
 
 19  utable to the trailer or mobile home.  The exemption shall  be  credited
 
 20  by  the  appropriate  taxing authority against the assessed valuation of
 
 21  the parcel.  Upon the completion of the final  assessment  roll,  or  as
 
 22  soon  thereafter  as  is  practicable, the assessor shall forward to the
 
 23  landowner a statement setting forth the exemption attributable  to  each
 
 24  eligible  trailer  or  mobile home. The reduction in real property taxes
 
 25  [realized thereby] attributable to each eligible trailer or mobile  home
 
 26  shall  be  credited by the landowner against the rent payable on account
 
 27  of such trailer or mobile home, subject to the provisions of subdivision
 
 28  [(w)] w of section two hundred thirty-three of the real property law.
 
                                        340                        13001-04-9
 
  1    § 5. Paragraph (a) of subdivision 3  of section 425 of the real  prop-
 
  2  erty tax law, as added by section 1 of part B of chapter 389 of the laws
 
  3  of 1997, is amended to read as follows:
 
  4    (a)  Property use.  To qualify for exemption pursuant to this section,
 
  5  the property must be primarily used as a one, two or three family  resi-
 
  6  dence,  a  farm  dwelling or residential property held in condominium or
 
  7  cooperative form of ownership. [The exemption may be granted to property
 
  8  that is used for such purposes even if it is partially  used  for  other
 
  9  purposes  as well, provided that the eligibility requirements are other-
 
 10  wise satisfied.] If the property is primarily used for  other  purposes,
 
 11  but  a  portion  of the property is used by the owner as a primary resi-
 
 12  dence, that portion which is so used shall be entitled to the  exemption
 
 13  provided by this section; provided, that in no event shall the exemption
 
 14  exceed the assessed value attributable to that portion.
 
 15    §  6.  Subdivision  4  of section 425 of the real property tax law, as
 
 16  added by section 1 of part B of chapter 389 of  the  laws  of  1997  and
 
 17  paragraph  (b)  as  amended  by section 2 of part A of chapter 56 of the
 
 18  laws of 1998, is amended to read as follows:
 
 19    4.  Senior citizens.   The enhanced exemption for  property  owned  by
 
 20  senior  citizens  shall  be provided where all of the following require-
 
 21  ments are satisfied:
 
 22    (a)  Age.  (i) All of the owners must be at least sixty-five years  of
 
 23  age  or  older  as  of  the  [applicable  taxable status] date specified
 
 24  herein, or in the case of property owned  by  husband  and  wife  or  by
 
 25  siblings,  one of the owners must be at least sixty-five years of age as
 
 26  of [the applicable taxable status] that date.  For the two thousand--two
 
 27  thousand one school year, eligibility for the exemption shall  be  based
 
                                        341                        13001-04-9
 
  1  upon  age as of December thirty-first, two thousand. For each subsequent
 
  2  school year, the applicable date shall be advanced by one year
 
  3    (ii) The term "siblings" as used herein shall have the same meaning as
 
  4  set forth in section four hundred sixty-seven of this article.
 
  5    (iii)  In  the case of property owned by husband and wife, one of whom
 
  6  is sixty-five years of age or over, the exemption, once  granted,  shall
 
  7  not be rescinded solely because of the death of the older spouse so long
 
  8  as  the  surviving  spouse  is at least sixty-two years of age as of the
 
  9  date specified in this paragraph.
 
 10    (b) Income. (i) The combined income of all of the owners, and  of  any
 
 11  owners' spouses residing on the premises, for the income tax year [imme-
 
 12  diately  preceding  the  date  of  making application for the exemption]
 
 13  specified herein may not exceed sixty thousand dollars.    For  the  two
 
 14  thousand--two  thousand  one  school year, eligibility for the exemption
 
 15  shall be based upon income for the income tax year  ending  in  nineteen
 
 16  hundred  ninety-eight.  For  each subsequent school year, the applicable
 
 17  income tax year shall be advanced by one year.
 
 18    (ii) The term "income" as used herein shall mean the  "adjusted  gross
 
 19  income"  for  federal income tax purposes as reported on the applicant’s
 
 20  [latest available] federal or state income tax return for the applicable
 
 21  income tax year, subject to  any  subsequent  amendments  or  revisions,
 
 22  reduced  by  distributions,  to  the extent included in federal adjusted
 
 23  gross income, received from an  individual  retirement  account  and  an
 
 24  individual retirement annuity; provided that if no such return was filed
 
 25  [within  the  one  year  period  preceding  taxable status date] for the
 
 26  applicable income tax year,  "income"  shall  mean  the  adjusted  gross
 
 27  income that would have been so reported if such a return had been filed.
 
 28  [For  purposes of this subdivision, "latest available return" shall mean
 
                                        342                        13001-04-9
 
  1  the federal or state income tax return  for  the  tax  year  immediately
 
  2  preceding  the date of making application, provided however, that if the
 
  3  tax return for such tax year has not been filed,  then  the  income  tax
 
  4  return  for the tax year two years preceding the date of making applica-
 
  5  tion shall be considered the latest available.]
 
  6    (iii) Any information or documentation submitted by the  applicant  in
 
  7  connection  with applications for or renewal of the exemption authorized
 
  8  under this section to verify income, shall be deemed  confidential,  and
 
  9  the assessor, any municipal officer or municipal employees are prohibit-
 
 10  ed  from  disclosing  any  such  information,  except for any disclosure
 
 11  necessary in the performance of their official  duties,  and  except  as
 
 12  authorized  by  paragraph  (c)  of  this subdivision.   Any unauthorized
 
 13  disclosure of such information shall be deemed a  violation  of  section
 
 14  eight hundred five-a of the general municipal law.
 
 15    (c)  Verification  of  income.  At the request of the state board, the
 
 16  assessor shall identify those persons who have applied for the  enhanced
 
 17  exemption  authorized  by  this section, so that the state board may ask
 
 18  the department of taxation and finance to verify  whether  such  persons
 
 19  satisfy  the  income  eligibility  requirements of this paragraph.   The
 
 20  state board shall notify the assessor of the response  or  responses  it
 
 21  receives  from  the department. Such responses shall be confidential and
 
 22  shall not be subject to disclosure under article six of the public offi-
 
 23  cers law.
 
 24    (d) Absence from residence. An exemption may be  granted  pursuant  to
 
 25  this  subdivision  notwithstanding the fact that an owner is absent from
 
 26  the residence while receiving health-related care as an inpatient  of  a
 
 27  residential  health  care  facility,  as defined in section twenty-eight
 
 28  hundred one of the public health law, provided that during such confine-
 
                                        343                        13001-04-9
 
  1  ment such property is not occupied by anyone other than  the  spouse  or
 
  2  co-owner of such owner.
 
  3    §  7.  Section 425 of the real property tax law is amended by adding a
 
  4  new subdivision 4-a to read as follows:
 
  5    4-a. Special situations. (a) Married couples with two  or  more  resi-
 
  6  dences.  A  husband  and  wife may receive an exemption pursuant to this
 
  7  section on no more than one residence, unless living apart due to  legal
 
  8  separation.
 
  9    (b)  Parcels  with  two  or  more  separate residences thereon. When a
 
 10  parcel includes two or more physically separate residences, an exemption
 
 11  may be granted pursuant to this section  to  each  residence  which  (i)
 
 12  serves  as  the  primary  residence of at least one of the owners of the
 
 13  parcel, and (ii) would be eligible for an  exemption  pursuant  to  this
 
 14  section  if  it  were  separately  assessed and owned exclusively by the
 
 15  owner or  owners  who  reside  therein,  provided  that  only  one  such
 
 16  exemption may be applied to the land included within the parcel.
 
 17    (c)  Residences  split  by  municipal  boundaries. When an applicant’s
 
 18  primary residence is located in two or more municipal corporations, each
 
 19  portion of the residence shall be eligible for the exemption provided by
 
 20  this section if the eligibility requirements  are  otherwise  satisfied,
 
 21  provided that the exemption shall be pro-rated in the same manner as the
 
 22  full value of the property was apportioned to each municipal corporation
 
 23  by  the  respective  assessors,  so that the total tax savings resulting
 
 24  from the exemption does  not  exceed  the  tax  savings  that  would  be
 
 25  received  if  the residence were contained entirely within one municipal
 
 26  corporation. The provisions of this paragraph shall not apply  when  the
 
 27  land associated with a residential structure is located in more than one
 
                                        344                        13001-04-9
 
  1  municipal  corporation,  but the residential structure itself is located
 
  2  entirely within one of those municipal corporations.
 
  3    (d)  Mixed-use  property  in  approved assessing units. In an approved
 
  4  assessing unit which has adopted  the  provisions  of  section  nineteen
 
  5  hundred  three  of this chapter, if otherwise eligible property has been
 
  6  classified partially within the homestead class and partially within the
 
  7  non-homestead class, only the portion which has been  classified  within
 
  8  the  homestead  class  shall  be eligible for exemption pursuant to this
 
  9  section; provided, that in no  event  shall  the  exemption  exceed  the
 
 10  assessed value attributable to that portion.
 
 11    § 8. Paragraph (a) of subdivision 5 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    (a) Generally. Every school district shall annually notify,  or  cause
 
 15  to  be  notified,  each  person  owning residential real property in the
 
 16  school district of the provisions of this section.   The  provisions  of
 
 17  this subdivision may be met by a notice sent to such persons in substan-
 
 18  tially  the following form: "Residential real property may qualify for a
 
 19  partial exemption from school district taxes under the  New  York  state
 
 20  school tax relief (STAR) program.  [To receive such exemption, owners of
 
 21  qualifying  property  must file an application with their local assessor
 
 22  on or before the applicable taxable status date.   For further  informa-
 
 23  tion,  please  contact  your  local  assessor.]  If  you are not already
 
 24  receiving this exemption,  please  contact  your  assessor  for  further
 
 25  information."
 
 26    § 9. Paragraph (a) of subdivision 6 of section 425 of the real proper-
 
 27  ty  tax  law, as added by section 1 of part B of chapter 389 of the laws
 
 28  of 1997, is amended to read as follows:
 
                                        345                        13001-04-9
 
  1    (a) Generally. All owners of the property who primarily reside thereon
 
  2  must jointly file an application for exemption with the assessor  on  or
 
  3  before  the  appropriate  taxable status date.   Such application may be
 
  4  filed by mail  if  it  is  enclosed  in  a  postpaid  envelope  properly
 
  5  addressed  to  the  appropriate  assessor, deposited in a post office or
 
  6  official depository under the exclusive care of the United States postal
 
  7  service, and postmarked by the United States postal service on or before
 
  8  the applicable taxable status date.  Each such application shall be made
 
  9  on a form prescribed or approved by the state board, which shall require
 
 10  the applicant or applicants to agree to notify  the  assessor  if  their
 
 11  primary   residence  changes  while  their  property  is  receiving  the
 
 12  exemption.  The assessor may request that proof of residency be  submit-
 
 13  ted with the application.
 
 14    §  10.  Paragraphs  (b) and (c) of subdivision 7 of section 425 of the
 
 15  real property tax law, paragraph (b) as amended by chapter  447  of  the
 
 16  laws  of 1998 and paragraph (c) as added by section 1 of part B of chap-
 
 17  ter 389 of the laws of 1997, are amended to read as follows:
 
 18    (b) The exemption provided by this section shall be applied after  all
 
 19  other  exemptions  allowed  by law[, including the exemption for persons
 
 20  sixty-five years of age or  over  authorized  by  section  four  hundred
 
 21  sixty-seven of this article and the exemption for persons with disabili-
 
 22  ties and limited incomes authorized by section four hundred fifty-nine-c
 
 23  of  this article,] have been subtracted from the total assessed value of
 
 24  the parcel, notwithstanding the provisions of [paragraph (c) of subdivi-
 
 25  sion one of  section  four  hundred  sixty-seven  of  this  article  and
 
 26  notwithstanding  the  provisions  of  subdivision  three of section four
 
 27  hundred fifty-nine-c of this article, or  any  other]  any  law  to  the
 
 28  contrary.
 
                                        346                        13001-04-9
 
  1    (c)  In no event shall the exemption authorized by this section exceed
 
  2  the total assessed value of the parcel less all other exemptions allowed
 
  3  by law.  If an order has been entered in a proceeding pursuant to  arti-
 
  4  cle  seven  of this chapter relating to property receiving the exemption
 
  5  authorized by this section, and the order reduces the assessment of such
 
  6  property  to  an amount which is below the applicable exempt amount, the
 
  7  exemption shall be reduced accordingly.
 
  8    § 11. Paragraph (a) of subdivision 9 of section 425 of the real  prop-
 
  9  erty tax law, as added by section 1 of part B of chapter 389 of the laws
 
 10  of 1997, is amended to read as follows:
 
 11    (a)  Eligible  senior citizens.   The enhanced exemption authorized by
 
 12  subdivision four of this section for certain senior citizens shall apply
 
 13  for a term of one year.  To continue receiving such enhanced  exemption,
 
 14  a  renewal  application  must  be filed annually with the assessor on or
 
 15  before the applicable taxable  status  date  on  a  form  prescribed  or
 
 16  approved  by  the  state  board.    Provided, however, that if a renewal
 
 17  application is not so filed, the assessor shall discontinue the enhanced
 
 18  exemption authorized by this section for certain  senior  citizens,  but
 
 19  shall  grant  the  basic  exemption authorized by this section for other
 
 20  persons, subject  to  the  provisions  of  subdivision  eleven  of  this
 
 21  section.  Provided  further, however, that such enhanced exemption shall
 
 22  be continued without a renewal  application  as  long  as  the  property
 
 23  continues to be eligible for the senior citizens exemption authorized by
 
 24  section four hundred sixty-seven of this article.
 
 25    §  12.  Subdivisions 11 and 12 of section 425 of the real property tax
 
 26  law, as added by section 1 of part B of chapter 389 of the laws of 1997,
 
 27  are amended to read as follows:
 
                                        347                        13001-04-9
 
  1    11. Discontinuance of exemption. (a) Generally.   The  assessor  shall
 
  2  discontinue any exemption granted pursuant to this section if it appears
 
  3  that:  (i) the property may not be the primary residence of the owner or
 
  4  owners who applied for the exemption, (ii) title  to  the  property  has
 
  5  been  transferred to a new owner or owners, or (iii) the property other-
 
  6  wise may no longer be eligible for the exemption.
 
  7    (b) Rights of owners.   Upon determining  that  an  exemption  granted
 
  8  pursuant to this section should be discontinued, the assessor shall mail
 
  9  a  notice  so  stating to the owner or owners thereof at the time and in
 
 10  the manner provided by section five hundred ten of this chapter or  such
 
 11  other  law  as may be locally applicable.  Such owner or owners shall be
 
 12  entitled to seek administrative and judicial review of  such  action  in
 
 13  the  manner  provided by law, provided, that the burden shall be on such
 
 14  owner or owners to establish eligibility for the exemption.
 
 15    (c) Transfers of title.   When the  assessor  has  received  a  report
 
 16  pursuant  to  section  five  hundred  seventy-four  of this article or a
 
 17  comparable law of a transfer of title to real property which  is  exempt
 
 18  pursuant  to  this  section,  the  assessor  shall send the new owner or
 
 19  owners as shown thereon an application for the exemption  authorized  by
 
 20  this  section.    The  assessor  shall  not  implement the provisions of
 
 21  section five hundred twenty of this chapter or  a  comparable  law  upon
 
 22  such  a  transfer,  except  to  the extent that the property may also be
 
 23  receiving one or more other exemptions.
 
 24    (d) Notice not mailed or received.   The  failure  to  mail  any  such
 
 25  notice  or application, or the failure of the owner or owners to receive
 
 26  the same, shall not prevent the levy, collection and enforcement of  the
 
 27  payment of the taxes on such real property.
 
                                        348                        13001-04-9
 
  1    12.  Revocation  of prior exemptions.   (a) Generally.  In addition to
 
  2  discontinuing the exemption on the  next  ensuing  tentative  assessment
 
  3  roll,  if  the assessor determines that the property improperly received
 
  4  the exemption on one or more of the three preceding assessment rolls, he
 
  5  or she shall proceed to revoke the improperly granted prior exemption or
 
  6  exemptions.
 
  7    (b) Procedure.  The assessed value attributable to each such improper-
 
  8  ly  granted  exemption  shall  be entered separately on the next ensuing
 
  9  tentative or final assessment roll.   The  provisions  of  section  five
 
 10  hundred  fifty-one or five hundred fifty-three of this chapter, relating
 
 11  to the entry by the assessor of omitted real property on a tentative  or
 
 12  final  assessment  roll, or such other law as may be locally applicable,
 
 13  shall apply so far as practicable to the  revocation  procedure,  except
 
 14  that  the  tax  rate to be applied to any revoked exemption shall be the
 
 15  tax rate that was applied to the corresponding assessment roll.
 
 16    (c) Rights of owners.  Each owner or owners shall be given  notice  of
 
 17  the possible revocation of their exemption or exemptions at the time and
 
 18  in  the  manner  provided  by  section  five hundred ten or five hundred
 
 19  fifty-three of this chapter, or such other law as may be locally  appli-
 
 20  cable,  and shall be entitled to seek administrative and judicial review
 
 21  of such action in the manner provided by law.
 
 22    § 13. Subdivision 3 of section 459-c of the real property tax law,  as
 
 23  added by chapter 315 of the laws of 1997, is amended to read as follows:
 
 24    3.  Any exemption provided by this section shall be computed after all
 
 25  other partial exemptions allowed by law, excluding the school tax relief
 
 26  (STAR) exemption authorized by section four hundred twenty-five of  this
 
 27  article,  have been subtracted from the total amount assessed; provided,
 
 28  however, that no parcel may receive an exemption for the same  municipal
 
                                        349                        13001-04-9
 
  1  tax  purpose  pursuant  to  both  this  section and section four hundred
 
  2  sixty-seven of this title.
 
  3    §  14. Paragraph (c) of subdivision 1 of section 467 of the real prop-
 
  4  erty tax law, as amended by chapter 440 of the laws of 1985, is  amended
 
  5  to read as follows:
 
  6    (c) Any exemption provided by this section shall be computed after all
 
  7  other partial exemptions allowed by law, excluding the school tax relief
 
  8  (STAR)  exemption authorized by section four hundred twenty-five of this
 
  9  article, have been subtracted from the total amount assessed.
 
 10    § 15. Subdivision 3 of section 1306-a of the real property tax law  is
 
 11  amended by adding a new paragraph (f) to read as follows:
 
 12    (f) When an order has been entered in a proceeding pursuant to article
 
 13  seven  of this chapter relating to property receiving the STAR exemption
 
 14  authorized by section four hundred twenty-five of this chapter, and  the
 
 15  order  reduces  the  assessment  of  such property to an amount which is
 
 16  below the applicable exempt amount, the excess aid paid  to  the  school
 
 17  district  on  account of the excessive assessment shall be deducted from
 
 18  the next payment of aid to the school district pursuant to this section.
 
 19    § 16. Subdivision 2 of section 1573 of the real property tax  law,  as
 
 20  amended  by chapter 309 of the laws of 1996 and paragraph (a) as amended
 
 21  by chapter 430 of the laws of 1997, is amended to read as follows:
 
 22    2. State assistance pursuant to subdivision one of this section  shall
 
 23  be  payable  as follows for each separately assessed parcel appearing on
 
 24  the applicable assessment  roll,  excluding  parcels  which  are  wholly
 
 25  exempt or assessed by the state board, and shall be subject to a maximum
 
 26  payment  of  five  hundred  thousand  dollars per assessment roll:   (a)
 
 27  Triennial aid in an amount not to exceed five dollars  for  each  [sepa-
 
 28  rately  assessed] parcel appearing on a revaluation or update assessment
 
                                        350                        13001-04-9
 
  1  roll[, excluding parcels which are wholly  exempt  or  assessed  by  the
 
  2  state  board].   However, no assessing unit may qualify for this payment
 
  3  more than once in a three year period or within three years after quali-
 
  4  fying  for  any state assistance pursuant to either paragraph (b) or (d)
 
  5  of subdivision one of section fifteen hundred seventy-two of this  arti-
 
  6  cle.
 
  7    (b) Annual aid in an amount not to exceed five dollars for each parcel
 
  8  appearing on a final assessment roll completed in nineteen hundred nine-
 
  9  ty-nine  through  two  thousand four, inclusive, and in an amount not to
 
 10  exceed two dollars for each parcel appearing on a final assessment  roll
 
 11  completed  in  two thousand five or thereafter, for any year where state
 
 12  assistance is not paid pursuant to paragraph (a) of this  subdivision[,]
 
 13  and the state board determines that the assessing unit has maintained an
 
 14  equitable  assessment  roll. Such determination shall be made in accord-
 
 15  ance with standards established pursuant to regulations  promulgated  by
 
 16  the  state board, subject to the approval of the director of the budget,
 
 17  and shall be based upon criteria including but not limited to: (i) annu-
 
 18  ally maintaining assessments at the percentage  of  value  specified  in
 
 19  subdivision  one  of this section; (ii) annually conducting a systematic
 
 20  analysis of all locally assessed  properties;  (iii)  annually  revising
 
 21  assessments  as  necessary  to maintain the stated uniform percentage of
 
 22  value; and (iv) implementing a local program for  physically  inspecting
 
 23  and reappraising each parcel at least once every six years.
 
 24    (c)  If  an assessing unit qualified for aid pursuant to paragraph (a)
 
 25  of this subdivision with respect to  a  revaluation  implemented  on  an
 
 26  assessment  roll  completed  in  nineteen hundred ninety-seven, nineteen
 
 27  hundred ninety-eight, or nineteen hundred ninety-nine, and the assessing
 
 28  unit does not qualify for state assistance pursuant to paragraph (b)  of
 
                                        351                        13001-04-9
 
  1  this subdivision with respect to the assessment roll completed in either
 
  2  the  first  or  second year after the implementation of the revaluation,
 
  3  state assistance shall be payable in an annual amount not to exceed  two
 
  4  dollars  for  each  separately  assessed parcel appearing on the [latest
 
  5  completed] final assessment roll[, excluding parcels  which  are  wholly
 
  6  exempt  or assessed by the state board] completed in the first or second
 
  7  year, or both, after the implementation of the revaluation.  An  assess-
 
  8  ing  unit  having  completed  a  revaluation  and  having received state
 
  9  assistance pursuant to section fifteen hundred seventy-two of this arti-
 
 10  cle may make application for and receive state  assistance  pursuant  to
 
 11  this  paragraph,  in years subsequent to such revaluation, provided that
 
 12  such assessing unit satisfies all criteria and provisions set  forth  in
 
 13  subdivision one of this section.
 
 14    §  17.  The  real  property tax law is amended by adding a new section
 
 15  1573-a to read as follows:
 
 16    § 1573-a. Special one-time state assistance for  certain  reassessment
 
 17  projects.  1. State assistance shall be paid to an assessing unit, or to
 
 18  a county that has been authorized to coordinate or facilitate a  revalu-
 
 19  ation  on behalf of one or more assessing units, upon a determination of
 
 20  the state board that the assessing unit has satisfied the  standards  of
 
 21  quality  assessment administration established by the state board pursu-
 
 22  ant to section fifteen hundred  seventy-three  of  this  article,  after
 
 23  having  failed  to  conduct a revaluation or update since January first,
 
 24  nineteen hundred ninety or earlier.
 
 25    2. (a) Such assistance shall be payable in an amount of up  to  twenty
 
 26  dollars for each separately assessed parcel appearing on the revaluation
 
 27  assessment  roll,  excluding parcels which are wholly exempt or assessed
 
 28  by the state board. Such assistance may be paid in increments in accord-
 
                                        352                        13001-04-9
 
  1  ance with a schedule adopted by the state  board  and  approved  by  the
 
  2  director  of the budget. Such assistance shall be in lieu of the assist-
 
  3  ance that would otherwise be authorized for the  revaluation  or  update
 
  4  pursuant  to  paragraph  (a)  of subdivision two or subdivision three of
 
  5  section fifteen hundred seventy-three of this article.
 
  6    (b) With respect to  assessment  rolls  completed  subsequent  to  the
 
  7  completion  of  the revaluation assessment roll, state assistance may be
 
  8  paid as provided by sections fifteen hundred seventy-three of this arti-
 
  9  cle without regard to the provisions of this section.
 
 10    3. No state assistance shall be granted pursuant to this section for a
 
 11  reassessment implemented on a final assessment roll completed after  two
 
 12  thousand  four,  provided,  however,  that  in the case of a revaluation
 
 13  project involving at least one hundred seventy-five thousand parcels, if
 
 14  the revaluation is implemented pursuant to a plan that was submitted  to
 
 15  the  state board by December thirty-first, two thousand two and approved
 
 16  by the state board by  March  thirty-first,  two  thousand  three,  such
 
 17  assistance  may be granted if the reassessment is implemented on a final
 
 18  assessment roll completed no later than two thousand five.
 
 19    4. In the case of a county  which  is  a  special  assessing  unit  as
 
 20  defined  by  section  eighteen  hundred  one  of this chapter, and which
 
 21  implements a revaluation that qualifies for state assistance pursuant to
 
 22  this section, the provisions of section eighteen hundred  five  of  this
 
 23  chapter  shall  be  suspended  in  the year in which such revaluation is
 
 24  implemented, and all real property on the assessment roll on which  such
 
 25  revaluation  is  implemented  shall  be  assessed  without regard to the
 
 26  provisions of section eighteen hundred five of this  chapter.  Beginning
 
 27  in  the  year  following  the  implementation  of  such revaluation, the
 
 28  provisions of section eighteen hundred five of this chapter shall resume
 
                                        353                        13001-04-9
 
  1  its applicability, provided  that  such  section  shall  only  apply  to
 
  2  assessment  increases occurring after the implementation of such revalu-
 
  3  ation.
 
  4    5.    The  state  board  shall be authorized to adopt such rules as it
 
  5  deems necessary to implement the provisions of this section, subject  to
 
  6  the approval of the director of the budget.
 
  7    §  18. The tax law is amended by adding a new section 171-k to read as
 
  8  follows:
 
  9    § 171-k. Income verification for the  state  board  of  real  property
 
 10  services.  (1)  The  department  shall  enter into an agreement with the
 
 11  state board of real property services to verify, to the extent practica-
 
 12  ble, whether persons described in paragraph (b) of subdivision  four  of
 
 13  section  four  hundred twenty-five of the real property tax law meet the
 
 14  income eligibility requirements prescribed therein  for  the  applicable
 
 15  income  tax  year.  The  department shall advise the state board of real
 
 16  property services of its findings, stating in each case either that such
 
 17  person or persons do or do not satisfy such requirements,  or  that  the
 
 18  eligibility  of  such person or persons cannot be verified, whichever is
 
 19  appropriate. The department shall  not  provide  any  other  information
 
 20  about the income of such persons to the state board.
 
 21    (2) The provisions of article six of the public officers law shall not
 
 22  apply to any information that the department obtains from or provides to
 
 23  the state board of real property services pursuant to this section.
 
 24    §  19.  The  real  property tax law is amended by adding a new section
 
 25  1307 to read as follows:
 
 26    § 1307. Restrictions on tax levies in high spending school  districts.
 
 27  1.  Notwithstanding any other provision of law to the contrary, commenc-
 
 28  ing with the levy of school taxes for the school year two  thousand--two
 
                                        354                        13001-04-9
 
  1  thousand  one,  the  total  school  tax  levy for a high spending school
 
  2  district shall not exceed the total school tax levy for the prior school
 
  3  year by a percentage that exceeds the lesser of: (i)  four  percent,  or
 
  4  (ii)  the  result obtained when one hundred twenty percent is multiplied
 
  5  by the percentage increase in the consumer price index over  the  twelve
 
  6  month  period  preceding January first of the calendar year in which the
 
  7  current school year commences, with the result rounded  to  two  decimal
 
  8  places;  except  with the approval of the qualified voters in the manner
 
  9  prescribed in subdivision four of this section.
 
 10    2. Commencing with the levy of school taxes for the  school  year  two
 
 11  thousand--two  thousand one, the resolution of the school authorities of
 
 12  a high spending school district  levying  a  tax  shall  incorporate  by
 
 13  reference  a  statement  specifying the projected percentage increase or
 
 14  decrease in total school tax levy for the school  year,  and  explaining
 
 15  the  reasons  for  disregarding  any  portion  of the school tax levy in
 
 16  determining such percentage increase.
 
 17    3. Notwithstanding any other provision of law  to  the  contrary,  the
 
 18  school  authorities  of  a  high  spending  school district shall not be
 
 19  authorized to levy a tax for the school year two thousand--two  thousand
 
 20  one or thereafter for a purpose arising during the school year in excess
 
 21  of  the  total  tax levy limitation set forth in subdivision one of this
 
 22  section, except with the approval of the qualified voters in the  manner
 
 23  prescribed  in subdivision four of this section; provided, however, that
 
 24  nothing in this section shall  preclude  such  school  authorities  from
 
 25  levying  a  tax  directly  attributable to the types of expenditures set
 
 26  forth in paragraph b of subdivision four of section two  thousand  twen-
 
 27  ty-three  of  the education law, whether or not a contingency budget has
 
 28  been adopted, or for expenditures resulting from an actual  increase  in
 
                                        355                        13001-04-9
 
  1  enrollment  over  the  projected  enrollment  used to develop the school
 
  2  district budget,  provided  further  that  such  expenditures  shall  be
 
  3  subject  to voter approval by majority vote to the extent required under
 
  4  the education law.
 
  5    4.  Notwithstanding  any  other  provision of law to the contrary, the
 
  6  approval of at least two-thirds of the qualified voters of a high spend-
 
  7  ing school district present and voting at an annual  or  special  school
 
  8  district  meeting  shall  be required in order to override the total tax
 
  9  levy limitation imposed by this section  in  the  current  school  year;
 
 10  except  that  where  the  school authorities of the high spending school
 
 11  district determine, based on documented evidence, that more  than  fifty
 
 12  percent of all the qualified voters of such school district voted on the
 
 13  school  district budget or any proposition for the expenditure of moneys
 
 14  at such annual or special district meeting, such approval shall be by  a
 
 15  majority  of  the  qualified voters present and voting.  Notwithstanding
 
 16  any other provision of law to the contrary, where a two-thirds  vote  is
 
 17  required  pursuant  to  this subdivision and a majority of the qualified
 
 18  voters present and voting, but less than two-thirds, approve the  school
 
 19  district budget or proposition for the expenditure of money:
 
 20    (a)  such budget or proposition shall be deemed approved by the voters
 
 21  subject to the tax levy limitation imposed by this section;
 
 22    (b) the school authorities shall be authorized to make any  reductions
 
 23  in  such budget or proposition that are necessary to comply with the tax
 
 24  levy limitation without further  approval  of  the  voters  and  without
 
 25  adopting  a  contingency budget pursuant to section two thousand twenty-
 
 26  three of the education law; and
 
 27    (c) the school authorities shall be  authorized  to  resubmit  to  the
 
 28  voters on one additional occasion a separate proposition to override the
 
                                        356                        13001-04-9
 
  1  total tax levy limitation imposed by this section for the current school
 
  2  year  and  to  fully  implement  the  budget  or  proposition previously
 
  3  approved by majority vote, provided that such  separate  proposition  to
 
  4  override  is  approved  by  at  least two-thirds of the qualified voters
 
  5  present and voting; except that where the school authorities of the high
 
  6  spending school district determine, based on documented  evidence,  that
 
  7  more  than  fifty  percent  of  all  the qualified voters of such school
 
  8  district voted on such separate proposition, such approval of the  sepa-
 
  9  rate  proposition shall be by a majority of the qualified voters present
 
 10  and voting. Notwithstanding any other provision of law to the  contrary,
 
 11  if  the  approval  of the qualified voters to override the limitation on
 
 12  total tax levy is not obtained upon such one  resubmission,  the  school
 
 13  authorities  of  the  high  spending  school  district  shall  make  any
 
 14  reductions in the budget or proposition that  are  necessary  to  comply
 
 15  with the total tax levy limitation.
 
 16    5. For the purposes of this section:
 
 17    (a)  "Consumer  price index" shall mean the percentage that represents
 
 18  the average of the national consumer price indexes for all urban consum-
 
 19  ers (CPI-U) determined by the United States department of labor.
 
 20    (b) "Current school year" shall mean the school year for which  school
 
 21  taxes are levied.
 
 22    (c) "High spending school district" shall mean a school district which
 
 23  levies  real  property taxes pursuant to section thirteen hundred six of
 
 24  this article and which has a percentage increase in total spending  over
 
 25  the two school years next preceding the current school year that exceeds
 
 26  the  lesser of (i) four percent per year, compounded, or (ii) the result
 
 27  obtained when one hundred forty percent is multiplied by the  percentage
 
 28  increase  in  the consumer price index over the twenty-four month period
 
                                        357                        13001-04-9
 
  1  preceding January first of the calendar year in which the current school
 
  2  year commences, with the result rounded to two decimal places. Such term
 
  3  shall not include a city school district in a city having  a  population
 
  4  of one hundred twenty-five thousand inhabitants or more.
 
  5    (d)  "Total  spending"  shall mean the total amount appropriated under
 
  6  the school district budget  for  the  school  year,  provided  that  the
 
  7  following  types  of  expenditures  shall  be disregarded in det