Bill Text: NY S02497 | 2009-2010 | General Assembly | Introduced

New York Senate Bill 2497 (Prior Session Legislation)

Introduced

Bill Title: Establishes the rate of interest required to be paid by local governments on certain judgments be calculated at a rate equal to the weekly average one year constant maturity treasury yield for the calendar week preceding the date of the entry of the judgment awarding damages, but in no event shall such rate exceed 9%.

Sponsorship: Partisan Bill (Republican 1)

Status: (Introduced - Dead) 2010-01-06 - REFERRED TO LOCAL GOVERNMENT [S02497 Detail]

Download: New_York-2009-S02497-Introduced.html

                           S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________
                                         2497
                              2009-2010 Regular Sessions
                                   I N  S E N A T E
                                   February 20, 2009
                                      ___________
       Introduced  by  Sen.  VOLKER -- read twice and ordered printed, and when
         printed to be committed to the Committee on Local Government
       AN ACT to amend the general municipal law, the public housing  law,  the
         state  finance law and chapter 585 of the laws of 1939 relating to the
         rate of interest to be paid by certain public corporations upon  judg-
         ments and accrued claims, in relation to the rate of interest on judg-
         ments
         THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
       BLY, DO ENACT AS FOLLOWS:
    1    Section 1.  Subdivision 1 of section 3-a of the general municipal law,
    2  as amended by chapter 4 of the laws of  1991,  is  amended  to  read  as
    3  follows:
    4    1.  Except  as  provided  in  subdivisions  two, four and five of this
    5  section, the rate of interest to be paid by a municipal corporation upon
    6  any judgment or accrued claim against the  municipal  corporation  shall
    7  [not  exceed nine per centum per annum] BE CALCULATED AT A RATE EQUAL TO
    8  THE WEEKLY  AVERAGE  ONE  YEAR  CONSTANT  MATURITY  TREASURY  YIELD,  AS
    9  PUBLISHED  BY  THE BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM, FOR
   10  THE CALENDAR WEEK PRECEDING THE DATE OF THE ENTRY OF THE JUDGMENT AWARD-
   11  ING DAMAGES. IN NO EVENT, HOWEVER, SHALL A MUNICIPAL CORPORATION  PAY  A
   12  RATE  OF  INTEREST  ON  ANY JUDGMENT OR ACCRUED CLAIM MORE THAN NINE PER
   13  CENTUM PER ANNUM.
   14    S 2. Subdivision 5 of section  157  of  the  public  housing  law,  as
   15  amended  by  chapter  681  of  the  laws  of 1982, is amended to read as
   16  follows:
   17    5. The rate of interest to be paid by an authority upon  any  judgment
   18  or accrued claim against the authority shall [not exceed nine per centum
   19  per  annum] BE CALCULATED AT A RATE EQUAL TO THE WEEKLY AVERAGE ONE YEAR
   20  CONSTANT MATURITY TREASURY YIELD, AS PUBLISHED BY THE BOARD OF GOVERNORS
   21  OF THE FEDERAL RESERVE SYSTEM, FOR THE CALENDAR WEEK PRECEDING THE  DATE
   22  OF  THE  ENTRY  OF  THE JUDGMENT AWARDING DAMAGES. IN NO EVENT, HOWEVER,
        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD01515-01-9
       S. 2497                             2
    1  SHALL AN AUTHORITY PAY A RATE OF INTEREST ON  ANY  JUDGMENT  OR  ACCRUED
    2  CLAIM MORE THAN NINE PER CENTUM PER ANNUM.
    3    S 3. Section 16 of the state finance law, as amended by chapter 681 of
    4  the laws of 1982, is amended to read as follows:
    5    S  16.  Rate  of  interest on judgments and accrued claims against the
    6  state.  The rate of interest to be paid by the state upon  any  judgment
    7  or accrued claim against the state shall [not exceed nine per centum per
    8  annum]  BE  CALCULATED  AT  A  RATE EQUAL TO THE WEEKLY AVERAGE ONE YEAR
    9  CONSTANT MATURITY TREASURY YIELD, AS PUBLISHED BY THE BOARD OF GOVERNORS
   10  OF THE FEDERAL RESERVE SYSTEM, FOR THE CALENDAR WEEK PRECEDING THE  DATE
   11  OF  THE  ENTRY  OF  THE JUDGMENT AWARDING DAMAGES. IN NO EVENT, HOWEVER,
   12  SHALL THE STATE PAY A RATE OF INTEREST ON ANY JUDGMENT OR ACCRUED  CLAIM
   13  MORE THAN NINE PER CENTUM PER ANNUM.
   14    S  4.  Section  1  of chapter 585 of the laws of 1939, relating to the
   15  rate of interest to be paid by certain public  corporations  upon  judg-
   16  ments and accrued claims, as amended by chapter 681 of the laws of 1982,
   17  is amended to read as follows:
   18    Section  1.  The  rate  of interest to be paid by a public corporation
   19  upon any judgment or accrued claim against the public corporation  shall
   20  [not  exceed nine per centum per annum] BE CALCULATED AT A RATE EQUAL TO
   21  THE WEEKLY  AVERAGE  ONE  YEAR  CONSTANT  MATURITY  TREASURY  YIELD,  AS
   22  PUBLISHED  BY  THE BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM, FOR
   23  THE CALENDAR WEEK PRECEDING THE DATE OF THE ENTRY OF THE JUDGMENT AWARD-
   24  ING DAMAGES.  IN NO EVENT, HOWEVER, SHALL A  PUBLIC  CORPORATION  PAY  A
   25  RATE  OF  INTEREST  ON  ANY JUDGMENT OR ACCRUED CLAIM MORE THAN NINE PER
   26  CENTUM PER ANNUM.  The term "public corporation" as  used  in  this  act
   27  shall mean and include every corporation created for the construction of
   28  public  improvements,  other  than a county, city, town, village, school
   29  district or fire district or an improvement district  established  in  a
   30  town  or  towns,  and possessing both the power to contract indebtedness
   31  and the power to collect rentals, charges, rates or fees for services or
   32  facilities furnished or supplied.
   33    S 5. This act shall take effect on the first of January next  succeed-
   34  ing the date on which it shall have become a law.