NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
BILL NUMBER: A8040A
SPONSOR: Hawley TITLE OF BILL: An act to amend the state finance law, in relation to
enhanced aid and incentives for municipalities
PURPOSE OR GENERAL IDEA OF BILL:
To provide enhanced aid and incentives for municipalities will be appor-
tioned to eligible municipalities by the director of the budget on a
per-capita basis, based on population.
SUMMARY OF PROVISIONS:
Municipalities in Tier 1 would receive eighty percent of the appropri-
ation provided annually, and municipalities in Tier 2 would receive
twenty percent of the appropriation provided annually."Tier 1" means a
town with a population equal to fifteen thousand or less or a village
with a population equal to ten thousand or less or a city with a popu-
lation twenty thousand or less."Tier 2" means a town with a population
greater than fifteen thousand or a village with a population greater
than ten thousand or a city with a population greater than twenty thou-
sand and less than one million.
DIFFERENCE BETWEEN ORIGINAL AND AMENDED VERSION (IF APPLICABLE):
Bill substituted for S6564.
JUSTIFICATION:
For several years, the state has appropriated $715 million for Aid and
Incentives for Municipalities (AIM) with 90% of that funding apportioned
to cities. The disparity between the amount of aid cities receive from
this funding has created an unfair burden among the smaller munici-
palities. Enhanced Aid and Incentives for Municipalities will equalize
the current top-heavy distribution without reducing the AIM funding
cities, towns and villages currently receive.
PRIOR LEGISLATIVE HISTORY:
05/25/17 referred to ways and means
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:
To be determined.
EFFECTIVE DATE:
April 1, 2018.
STATE OF NEW YORK
________________________________________________________________________
8040--A
2017-2018 Regular Sessions
IN ASSEMBLY
May 25, 2017
___________
Introduced by M. of A. HAWLEY, JAFFEE, RAIA, BUTLER, CROUCH, LAWRENCE,
NORRIS -- read once and referred to the Committee on Ways and Means --
recommitted to the Committee on Ways and Means in accordance with
Assembly Rule 3, sec. 2 -- committee discharged, bill amended, ordered
reprinted as amended and recommitted to said committee
AN ACT to amend the state finance law, in relation to enhanced aid and
incentives for municipalities
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Section 54 of the state finance law is amended by adding a
2 new subdivision 12 to read as follows:
3 12. a. Enhanced aid and incentives for municipalities. Notwithstand-
4 ing any inconsistent provision of this section or of any other provision
5 of law to the contrary, the payment of enhanced aid and incentives for
6 municipalities for the support of local government for state fiscal
7 years commencing April first, two thousand nineteen and thereafter,
8 shall be paid from an appropriation made for the enhanced aid and incen-
9 tives for municipalities program pursuant to the aid to localities budg-
10 et for such state fiscal years in a manner consistent with this subdivi-
11 sion. Enhanced aid and incentives for municipalities will be apportioned
12 to eligible municipalities by the director of the budget on a per-capita
13 basis, based on population. Municipalities in Tier 1 would receive
14 eighty percent of the appropriation provided annually and municipalities
15 in Tier 2 would receive twenty percent of the appropriation provided
16 annually.
17 b. Definitions. As used in this subdivision, unless otherwise express-
18 ly stated:
19 (i) "Municipalities" means a city with a population less than one
20 million, town or village.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD11901-03-8
A. 8040--A 2
1 (ii) "Enhanced aid and incentives for municipalities" means aid in
2 addition to the total of all aid payable to municipalities pursuant to
3 this subdivision.
4 (iii) "Population" means population data based upon the most recent
5 federal decennial census.
6 (iv) "Per capita basis" means the amount of the appropriation provided
7 annually divided by the population of the eligible municipality.
8 (v) "Tier 1" means a town with a population equal to fifteen thousand
9 or less or a village with a population equal to ten thousand or less or
10 a city with a population equal to twenty thousand or less.
11 (vi) "Tier 2" means a town with a population greater than fifteen
12 thousand or a village with a population greater than ten thousand or a
13 city with a population greater than twenty thousand and less than one
14 million.
15 § 2. This act shall take effect April 1, 2019, subject to appropri-
16 ation for the enhanced aid and incentives for municipalities in the
17 2019-2020 enacted state budget; provided that the director of the budget
18 shall notify the legislative bill drafting commission upon the occur-
19 rence of such an appropriation for the enhanced aid and incentives for
20 municipalities in the 2019-2020 enacted state budget in order that the
21 commission may maintain an accurate and timely effective data base of
22 the official text of the laws of the state of New York in furtherance of
23 effectuating the provisions of section 44 of the legislative law and
24 section 70-b of the public officers law.
