Bill Text: NY S07627 | 2017-2018 | General Assembly | Introduced
Bill Title: Relates to special funds for counties, cities, villages, towns, and schools; allows the creation of special funds; authorizes tax credits for contributions to special funds.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2018-02-01 - REFERRED TO LOCAL GOVERNMENT [S07627 Detail]
Download: New_York-2017-S07627-Introduced.html
STATE OF NEW YORK ________________________________________________________________________ 7627 IN SENATE February 1, 2018 ___________ Introduced by Sen. MURPHY -- 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, in relation to special funds for counties, cities, villages, and towns; to amend the education law, in relation to the creation of special funds; and to amend the real property tax law, in relation to tax credits for contributions to special funds The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. The general municipal law is amended by adding a new 2 section 6-t to read as follows: 3 § 6-t. Special funds for counties, cities, villages, and towns. 1. As 4 used in this section the term "governing board", insofar as it is used 5 in reference to a village, shall mean the board of trustees thereof; 6 insofar as it is used in reference to a town, shall mean the town board 7 thereof; insofar as it is used in reference to a county, shall mean the 8 legislative body thereof; insofar as it is used in reference to a city, 9 shall mean the "local legislative body" thereof, as that term is defined 10 in subdivision seven of section two of the municipal home rule law, as 11 amended from time to time. 12 2. The governing board of any county, city, village, or town may 13 establish a special fund to accept monetary contributions for exclusive- 14 ly public purposes. The governing board shall specify the specific 15 purposes for which the fund is established. 16 3. The moneys in each such fund shall be deposited and secured in the 17 manner provided by section ten of this article. The governing board or 18 the chief fiscal officer of such municipality, if the governing board 19 shall delegate such duty to him, may invest the moneys in each such fund 20 in the manner provided in section eleven of this article. Any interest 21 earned or capital gains realized on the moneys so deposited or invested 22 shall accrue to and become part of each such fund. The separate identity 23 of each such fund shall be maintained, whether its assets consist of 24 cash or investments or both. EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD14273-05-8S. 7627 2 1 4. The governing board may authorize the transfer of all or any part 2 of any special fund to any other special fund established pursuant to 3 this section. 4 5. (a) The chief fiscal officer shall keep a separate account for each 5 fund established. Such account shall show: 6 (i) The date and amount of each sum paid into the fund. 7 (ii) The interest earned by such fund. 8 (iii) The capital gains or losses resulting from the sale of invest- 9 ments of the fund. 10 (iv) The amount and date of each withdrawal from the fund. 11 (v) The assets of the fund, indicating the cash balance therein and a 12 schedule of the amounts invested in federal or state obligations. 13 (b) The chief fiscal officer, at the termination of each fiscal year, 14 shall render a detailed report of the operation and condition of each of 15 such funds to the governing board. 16 6. Notwithstanding the foregoing provisions of this section, in any 17 town which is located wholly or partly within the Adirondack park and 18 has within its boundaries state lands subject to taxation assessed at 19 more than thirty per centum of the total taxable assessed valuation of 20 the town as determined from the assessment rolls of the town, as 21 completed from time to time, a special fund shall not be established 22 unless the state comptroller, on behalf of the state, shall consent 23 thereto. 24 7. The governing board shall establish a procedure for the public to 25 make a monetary contribution to a special fund created under this 26 section and for any contributor to the fund to obtain from the county, 27 city, village, or town a written acknowledgement of the contribution. 28 § 2. The education law is amended by adding a new article 78 to read 29 as follows: 30 ARTICLE 78 31 SPECIAL FUNDS 32 Section 3901. Special fund. 33 3902. Procedures. 34 § 3901. Special fund. 1. a. A special fund may be established by the 35 school authorities of any school district to accept monetary contrib- 36 utions for the purpose of promoting and enhancing high-quality public 37 education. 38 b. The school authorities shall specify the purpose for which the fund 39 is established, provided that such purpose must promote or enhance high- 40 quality public education. 41 2. The moneys in each such fund shall be deposited in one or more of 42 the banks or trust companies designated as depositories of the funds of 43 such school district and shall be known as the "________special fund" of 44 such district. The school authorities may direct the treasurer of such 45 school district to invest the moneys in each such fund in the manner 46 provided in section eleven of the general municipal law. Any interest 47 earned or capital gains realized on the money so deposited or so 48 invested shall accrue to and become a part of each such fund. The sepa- 49 rate identity of each such fund shall be maintained whether its assets 50 consist of cash or investments or both. 51 3. An expenditure shall be made from a special fund only for the 52 specific purpose specified by the school authorities. 53 4. The voters may authorize the transfer of all or any part of any 54 special fund to any other special fund established pursuant to this 55 section.S. 7627 3 1 5. The school authorities shall cause a separate account to be kept of 2 each fund established. Such account shall show: 3 a. The date and amount of each sum paid into the fund. 4 b. The interest earned by such fund. 5 c. The capital gains or losses resulting from the sale of investments 6 of the fund. 7 d. The amount and date of each withdrawal from the fund. 8 e. The assets of the fund indicating the cash balance therein and a 9 schedule of the amounts invested in federal or state obligations. 10 6. The school authorities shall render annually a detailed report of 11 the operation and conditions of each of such funds. A copy of such 12 report shall be filed with the commissioner. 13 7. a. Notwithstanding the foregoing provisions of this section, if in 14 any city any taxes raised on real estate for the purposes of the school 15 district must be included in computing the amount which the city may 16 raise by tax on real estate for city purposes pursuant to the provisions 17 of section ten of article eight of the constitution, the establishment 18 of a special fund by the school authorities of the school district shall 19 be subject to the consent of the legislative body of the city. 20 b. Notwithstanding the foregoing provisions of this section, in any 21 school district which is wholly or partly in the Adirondack park and has 22 within its boundaries state lands subject to taxation assessed at more 23 than thirty per centum of the aggregate taxable assessed valuation of 24 the real property within the bounds of such school district, the school 25 district shall not establish a special fund unless, on the recommenda- 26 tion of the commissioner, the state comptroller on behalf of the state, 27 shall consent thereto. Upon the expiration of fifteen days from the date 28 of the filing in his or her office of the application for such consent, 29 together with the recommendation of the commissioner, and upon reaching 30 a determination, the state comptroller shall make an order, in tripli- 31 cate, granting or denying such consent. One copy of such order shall be 32 filed in the office of the state department of audit and control at 33 Albany, New York, another in the state department of education at Alba- 34 ny, New York, and the third in the office of the clerk of such school 35 district. 36 § 3902. Procedures. School authorities shall establish a procedure for 37 the public to make a monetary contribution to a special fund created 38 under this article and for any contributor to the fund to obtain from 39 the school district a written acknowledgement of the contribution. 40 § 3. The real property tax law is amended by adding a new section 41 488-b to read as follows: 42 § 488-b. Tax credit for contributions to special funds. 1. (a) For 43 taxable years beginning January first, two thousand eighteen, there 44 shall be allowed as a credit against taxes imposed by a county, city, 45 village, or town, an amount equal to ninety percent of the amount 46 contributed by a taxpayer for the taxable year to a special fund created 47 by such county, city, village or town pursuant to section six-t of the 48 general municipal law. 49 (b) For taxable years beginning January first, two thousand eighteen, 50 there shall be allowed as a credit against taxes imposed by a school 51 district, an amount equal to ninety percent of the amount contributed by 52 a taxpayer for the taxable year to a special fund created by such school 53 district pursuant to section three thousand nine hundred one of the 54 education law.S. 7627 4 1 2. If the allowable tax credit exceeds the taxes otherwise owed by the 2 taxpayer, the taxpayer may claim the excess credit in the following 3 year, and succeeding year. 4 § 4. This act shall take effect on the ninetieth day after it shall 5 have become a law.
