Bill Text: NY A04953 | 2023-2024 | General Assembly | Introduced

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Bill Title: Authorizes school districts to establish an insurance reserve fund in an amount and manner determined by a qualified and independent actuary certified by the American Academy of Actuaries to be reasonable and necessary.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2024-01-03 - referred to education [A04953 Detail]

Download: New_York-2023-A04953-Introduced.html

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                STATE OF NEW YORK
        ________________________________________________________________________

                                          4953

                               2023-2024 Regular Sessions

                   IN ASSEMBLY

                                    February 27, 2023
                                       ___________

        Introduced by M. of A. McDONALD -- read once and referred to the Commit-
          tee on Education

        AN  ACT  to  amend the general municipal law, in relation to authorizing
          all school districts to establish reserve funds

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

     1    Section 1. Paragraph (a) of subdivision 2 of section 6-n of the gener-
     2  al  municipal  law, as separately amended by chapters 251 and 338 of the
     3  laws of 2022, is amended to read as follows:
     4    (a) The governing board of any municipal corporation may  establish  a
     5  reserve  fund  to  be  known  as  the  insurance  reserve fund. Upon the
     6  creation of the fund, the municipality may make  expenditures  from  the
     7  fund  for  any  loss,  claim, action or judgment for which the municipal
     8  corporation is authorized or required to purchase or maintain insurance,
     9  except those kinds of risks for which insurance is  authorized  pursuant
    10  to  paragraph  one,  two,  three, fifteen, sixteen, seventeen, eighteen,
    11  twenty-two or twenty-three of subsection (a) of section one thousand one
    12  hundred thirteen of the insurance  law,  or  for  payments  in  lieu  of
    13  contributions under article eighteen of the labor law; provided however,
    14  that  no  municipality  shall make an expenditure from such fund for any
    15  loss, claim, action or judgment for which the municipal corporation  has
    16  established  a  reserve fund under any other provision of law; provided,
    17  further that the Scarsdale union free school  district,  the  Mamaroneck
    18  union free school district, the Minisink Valley central school district,
    19  the  Vernon  Verona  Sherrill  central  school district, the Ithaca city
    20  school  district,  the  Kenmore-Town  of  Tonawanda  union  free  school
    21  district,  the Bedford central school district, the Grand Island central
    22  school district, the Tonawanda city school district, the  enlarged  city
    23  school district of Middletown, the Frontier central school district, the
    24  Owego  Apalachin  central  school  district,  the  Maine-Endwell central
    25  school district, the Binghamton city school district, the Candor central

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD09087-01-3
        A. 4953                             2

     1  school district, the Depew union free  school  district,  the  Liverpool
     2  central  school  district, the Carmel central school district, [and] the
     3  Canastota central school district and any other school district,  pursu-
     4  ant  to  a  collective  bargaining  agreement,  may  establish insurance
     5  reserve funds in compliance with this section and  article  seventy-four
     6  of  the education law, in an amount and manner determined by a qualified
     7  and independent actuary certified by the American Academy  of  Actuaries
     8  to  be  reasonable  and  necessary,  and  such school districts may make
     9  expenditures in compliance with this section and article seventy-four of
    10  the education law from such reserve fund for any loss, claim, action  or
    11  judgment  for  which  the school districts are authorized or required to
    12  purchase or maintain insurance for the kinds of risks for  which  insur-
    13  ance  is  authorized  pursuant  to  paragraph three of subsection (a) of
    14  section one thousand one hundred thirteen of the insurance law.
    15    § 2. This act shall take effect on the first of July  next  succeeding
    16  the date on which it shall have become a law.