NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
BILL NUMBER: A4158
SPONSOR: Peoples-Stokes TITLE OF BILL:
An act to amend the education law, in relation to the financing of char-
ter schools
PURPOSE OR GENERAL IDEA OF BILL:
The purpose of this bill is to relieve school districts of financial
pressures associated with charter schools.
SUMMARY OF PROVISIONS:
Sections 1 and 2 amend section 2856 of the education law to provide that
school districts, outside of the city of New York, shall be eligible for
an annual apportionment equal to the amount of the supplemental basic
tuition for the charter school in the current school year.
Section 3 of the bill adds a new subdivision 42 to the Education Law to
provide for the state takeover of the increase in charter school
payments school districts are responsible for going forward.
Section four provides for an immediate effective date.
JUSTIFICATION:
This bill is necessary to mitigate some of the detrimental impacts the
State's current system for financing charter schools has on school
districts.
Under current law, the state reimburses, via an annual apportionment,
some of a district's expenses related to charter school tuition
payments. Such apportionment is usually made in the following school
year. Requiring the annual apportionment be paid by the state to
districts in the current school year will provide districts with flexi-
bility needed to manage the costs associated with charter school
tuition.
Charter schools are a creation of the state, and it is appropriate at
this time for the state to take over the increase in charter school
payments school districts are responsible for going forward in order to
provide some relief to struggling school districts across the state.
PRIOR LEGISLATIVE HISTORY:
2022: A9366
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:
To be determined.
EFFECTIVE DATE:
This act shall take effect immediately; provided that the amendments to
subdivision 1 of section 2856 of the education law made by section one
of this act shall be subject to the expiration and reversion of such
subdivision pursuant to subdivision d of section 27 of chapter of the
laws of 2007, as amended, when upon such date the provisions of section
two of this act shall take effect.
STATE OF NEW YORK
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4158
2023-2024 Regular Sessions
IN ASSEMBLY
February 10, 2023
___________
Introduced by M. of A. PEOPLES-STOKES, LUNSFORD -- read once and
referred to the Committee on Education
AN ACT to amend the education law, in relation to the financing of char-
ter schools
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Paragraph (d) of subdivision 1 of section 2856 of the
2 education law, as amended by section 36-c of part A of chapter 56 of the
3 laws of 2021, is amended to read as follows:
4 (d) School districts shall be eligible for an annual apportionment
5 equal to the amount of the supplemental basic tuition for the charter
6 school in the base year for the expenses incurred in the two thousand
7 fourteen--two thousand fifteen, two thousand fifteen--two thousand
8 sixteen, two thousand sixteen--two thousand seventeen school years and
9 thereafter, provided however, that for any school district having a
10 population of less than one million, such payment shall be made in the
11 current year for expenses incurred in the two thousand twenty-three--two
12 thousand twenty-four school year and thereafter. Provided further, that
13 for expenses incurred in the two thousand twenty--two thousand twenty-
14 one school year, for a city school district in a city having a popu-
15 lation of one million or more, the annual apportionment shall be reduced
16 by thirty-five million dollars ($35,000,000) upon certification by the
17 director of the budget of the availability of a grant in the same amount
18 from the elementary and secondary school emergency relief funds provided
19 through the American rescue plan act of 2021.
20 § 2. Paragraph (c) of subdivision 1 of section 2856 of the education
21 law, as amended by section 36-d of part A of chapter 56 of the laws of
22 2021, is amended to read as follows:
23 (c) School districts shall be eligible for an annual apportionment
24 equal to the amount of the supplemental basic tuition for the charter
25 school in the base year for the expenses incurred in the two thousand
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD02044-02-3
A. 4158 2
1 fourteen--two thousand fifteen, two thousand fifteen--two thousand
2 sixteen, two thousand sixteen--two thousand seventeen school years and
3 thereafter, provided however, that for any school district having a
4 population of less than one million, such payment shall be made in the
5 current year for expenses incurred in the two thousand twenty-three--two
6 thousand twenty-four school year and thereafter. Provided further, that
7 for expenses incurred in the two thousand twenty--two thousand twenty-
8 one school year, for a city school district in a city having a popu-
9 lation of one million or more, the annual apportionment shall be reduced
10 by thirty-five million dollars ($35,000,000) upon certification by the
11 director of the budget of the availability of a grant in the same amount
12 from the elementary and secondary school emergency relief funds provided
13 through the American rescue plan act of 2021.
14 § 3. Section 3602 of the education law is amended by adding a new
15 subdivision 42 to read as follows:
16 42. Aid for charter school tuition payments. (a) Any school district
17 that is required to pay tuition to charter schools pursuant to section
18 twenty-eight hundred fifty-six of this chapter in the two thousand twen-
19 ty-three--two thousand twenty-four school year and thereafter shall be
20 eligible for an apportionment under this subdivision.
21 (b) Each school year, any such eligible school district shall submit
22 the total amount of charter school tuition paid by the district in the
23 base year on a form prescribed by the commissioner.
24 (c) The apportionment herein for each school district shall equal the
25 positive result of total charter school basic tuition paid in the
26 current year minus the total charter school basic tuition paid in the
27 two thousand twenty-three--two thousand twenty-four school year.
28 § 4. This act shall take effect immediately; provided that the amend-
29 ments to subdivision 1 of section 2856 of the education law made by
30 section one of this act shall be subject to the expiration and reversion
31 of such subdivision pursuant to subdivision d of section 27 of chapter
32 378 of the laws of 2007, as amended, when upon such date the provisions
33 of section two of this act shall take effect.
