Bill Text: NY A01771 | 2023-2024 | General Assembly | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Relates to limitations on local indebtedness; removes school districts from those not permitted to contract indebtedness.

Spectrum: Strong Partisan Bill (Democrat 12-1)

Status: (Engrossed) 2023-08-04 - delivered to secretary of state [A01771 Detail]

Download: New_York-2023-A01771-Introduced.html

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                STATE OF NEW YORK
        ________________________________________________________________________

                                          1771

                               2023-2024 Regular Sessions

                   IN ASSEMBLY

                                    January 20, 2023
                                       ___________

        Introduced  by  M.  of  A.  McDONALD, WALLACE, BURDICK, LUPARDO, HUNTER,
          SAYEGH, ANGELINO, LUNSFORD, FAHY, OTIS -- Multi-Sponsored by -- M.  of
          A. COOK, SIMON -- read once and referred to the Committee on Judiciary

                    CONCURRENT RESOLUTION OF THE SENATE AND ASSEMBLY

        proposing an amendment to section 4 of article 8 of the constitution, in
          relation to limitations on local indebtedness

     1    Section  1. Resolved (if the Senate concur), That section 4 of article
     2  8 of the constitution be amended to read as follows:
     3    § 4. Except as otherwise provided in  this  constitution,  no  county,
     4  city,  town[,] or village [or school district] described in this section
     5  shall be allowed to contract indebtedness for  any  purpose  or  in  any
     6  manner  which,  including  existing indebtedness, shall exceed an amount
     7  equal to the following percentages of  the  average  full  valuation  of
     8  taxable  real estate of such county, city, town[,] or village [or school
     9  district]:
    10    (a) the county of Nassau, for county purposes, ten per centum;
    11    (b) any county, other than the county of Nassau, for county  purposes,
    12  seven per centum;
    13    (c) the city of New York, for city purposes, ten per centum;
    14    (d)  any  city,  other  than  the city of New York, having one hundred
    15  twenty-five thousand or more inhabitants according to the latest federal
    16  census, for city purposes, nine per centum;
    17    (e) any city having less than one hundred twenty-five thousand  inhab-
    18  itants  according  to  the  latest  federal  census,  for city purposes,
    19  [excluding education purposes,] seven per centum;
    20    (f) any town, for town purposes, seven per centum; and
    21    (g) any village for village purposes, seven per centum[; and
    22    (h) any school district which is coterminous with, or  partly  within,
    23  or  wholly within, a city having less than one hundred twenty-five thou-
    24  sand inhabitants according to the latest federal census,  for  education
    25  purposes,  five  per centum; provided, however, that such limitation may
    26  be increased in  relation  to  indebtedness  for  specified  objects  or

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD89043-01-3
        A. 1771                             2

     1  purposes  with (1) the approving vote of sixty per centum or more of the
     2  duly qualified voters of such school district voting  on  a  proposition
     3  therefor  submitted at a general or special election, (2) the consent of
     4  The  Regents  of  the  University  of  the State of New York and (3) the
     5  consent of the state comptroller. The legislature shall prescribe by law
     6  the qualifications for voting at any such election].
     7    Except as otherwise provided in this  constitution,  any  indebtedness
     8  contracted  in  excess  of the respective limitations prescribed in this
     9  section shall be void.
    10    [In ascertaining the power of any city having less  than  one  hundred
    11  twenty-five  thousand inhabitants according to the latest federal census
    12  to contract indebtedness, indebtedness  heretofore  contracted  by  such
    13  city  for  education  purposes  shall  be excluded. Such indebtedness so
    14  excluded shall be  included  in  ascertaining  the  power  of  a  school
    15  district  which is coterminous with, or partly within, or wholly within,
    16  such city to contract indebtedness. The legislature shall  prescribe  by
    17  law  the manner by which the amount of such indebtedness shall be deter-
    18  mined and allocated among such school districts. Such  law  may  provide
    19  that  such determinations and allocations shall be conclusive if made or
    20  approved by the state comptroller.
    21    In ascertaining the power of  a  school  district  described  in  this
    22  section  to  contract  indebtedness,  certificates or other evidences of
    23  indebtedness described in paragraph A of section five  of  this  article
    24  shall be excluded.]
    25    The  average full valuation of taxable real estate of any such county,
    26  city, town[,] or village [or school district] shall be determined in the
    27  manner prescribed in section ten of this article.
    28    Nothing contained in this section shall  be  deemed  to  restrict  the
    29  powers  granted to the legislature by other provisions of this constitu-
    30  tion to further restrict the powers of  any  county,  city,  town[,]  or
    31  village [or school district] to contract indebtedness.
    32    §  2. Resolved (if the Senate concur), That the foregoing amendment be
    33  submitted to the people for approval at the general election to be  held
    34  in the year 2024 in accordance with the provisions of the election law.