Authorizes funding to local government entities from the urban development corporation through the electric generation facility cessation mitigation fund for an additional five years.
NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
BILL NUMBER: A10949A
SPONSOR: Levenberg TITLE OF BILL:
An act to amend subpart H of part C of chapter 20 of the laws of 2015,
relating to appropriating money for certain municipal corporations and
school districts, in relation to authorizing funding to local government
entities from the urban development corporation, and in relation to the
effectiveness thereof
PURPOSE OR GENERAL IDEA OF BILL:
The purpose of this amendment is to extend the number of years eligible
municipal corporations and school districts can review mitigation
assistance when facing loss of tax or PILOT revenue from the closure of
electric generating facilities, and to extend the window of eligibility
for assistance from the current 7 years to a total of 12 years.
SUMMARY OF PROVISIONS:
Section 1. Amends subpart H of part C of chapter 20 of the laws of 2015
to specify that the mitigation fund shall be available for a period of
12 years and specifies the maximum available award for years 8-12.
Section 2. Establishes the effective date.
DIFFERENCE BETWEEN ORIGINAL AND AMENDED VERSION (IF APPLICABLE):
The difference between the original and A print, is a technical change
to the effective date.
JUSTIFICATION:
The electric generation facility cessation mitigation program was
created to provide funding assistance to counties, towns, cities,
villages school district, and special districts that experience a
reduction in the amount of real property taxes and/or PIOLTs owed by an
electric generating facility. Under the current structure of the
program, a local government entity may receive annual funding over seven
years. In each year for which an application is made, the revenue loss
from the amount owed in the last year of operation must be 20% or great-
er and occur as a direct result of the electric generating facility
ceasing operations. Since the inception of this legislation in 2015,
municipal corporations and school districts continue to face the dire
consequences of lost revenue due to a facility closure. This amendment
extends the funding formula from an additional five years to ensure that
such local government entities can compensate for lost revenue.
PRIOR LEGISLATIVE HISTORY:
This is new legislation.
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:
There are no fiscal implications to the state, as additional appropri-
ations have already been made to the fund.
EFFECTIVE DATE:
This act shall take effect immediately.
STATE OF NEW YORK
________________________________________________________________________
10949--A
IN ASSEMBLY
April 14, 2026
___________
Introduced by M. of A. LEVENBERG -- read once and referred to the
Committee on Local Governments -- committee discharged, bill amended,
ordered reprinted as amended and recommitted to said committee
AN ACT to amend subpart H of part C of chapter 20 of the laws of 2015,
relating to appropriating money for certain municipal corporations and
school districts, in relation to authorizing funding to local govern-
ment entities from the urban development corporation, and in relation
to the effectiveness thereof
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Section 1 of subpart H of part C of chapter 20 of the laws
2 of 2015, relating to appropriating money for certain municipal corpo-
3 rations and school districts, as amended by section 1 of part XX of
4 chapter 55 of the laws of 2021, is amended to read as follows:
5 Section 1. Contingent upon available funding, and not to exceed
6 $140,000,000 moneys from the urban development corporation shall be
7 available for a local government entity, which for the purposes of this
8 section shall mean a county, city, town, village, school district or
9 special district, where (i) on or after June 25, 2015, an electric
10 generating facility located within such local government entity has
11 ceased operations, and (ii) the closing of such facility has caused a
12 reduction in the real property tax collections or payments in lieu of
13 taxes of at least twenty percent owed by such electric generating facil-
14 ity. Such moneys attributable to the cessation of operations, shall be
15 paid annually on a first come, first served basis by the urban develop-
16 ment corporation to such local government entity within a reasonable
17 time upon confirmation from the state office of real property tax
18 services or the local industrial development authority established
19 pursuant to titles eleven and fifteen of article eight of the public
20 authorities law, or the local industrial development agency established
21 pursuant to article eighteen-A of the general municipal law that such
22 cessation has resulted in a reduction in the real property tax
23 collections or payments in lieu of taxes, provided, however, that the
24 urban development corporation shall not provide assistance to such local
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD15365-03-6
A. 10949--A 2
1 government entity for more than [seven] twelve years, and shall award
2 payments reflecting the loss of revenues due to the cessation of oper-
3 ations as follows:
4 Award Year Maximum Potential Award
5 1 no more than eighty percent of loss of revenues
6 2 no more than seventy percent of loss of revenues
7 3 no more than sixty percent of loss of revenues
8 4 no more than fifty percent of loss of revenues
9 5 no more than forty percent of loss of revenues
10 6 no more than thirty percent of loss of revenues
11 7 no more than twenty percent of loss of revenues
12 8no more than twenty percent of loss of revenues
13 9no more than twenty percent of loss of revenues
14 10no more than twenty percent of loss of revenues
15 11no more than twenty percent of loss of revenues
16 12no more than twenty percent of loss of revenues
17 A local government entity shall be eligible for only one payment of
18 funds hereunder per year. A local government entity may seek assistance
19 under the electric generation facility cessation mitigation fund once a
20 generator has submitted its notice to the federally designated electric
21 bulk system operator (BSO) serving the state of New York of its intent
22 to retire the facility or of its intent to voluntarily remove the facil-
23 ity from service subject to any return-to-service provisions of any
24 tariff, and that the facility also is ineligible to participate in the
25 markets operated by the BSO. The date of submission of a local govern-
26 ment entity's application for assistance shall establish the order in
27 which assistance is paid to program applicants, except that in no event
28 shall assistance be paid to a local government entity until such time
29 that an electric generating facility has retired or become ineligible to
30 participate in the markets operated by the BSO. For purposes of this
31 section, any local government entity seeking assistance under the elec-
32 tric generation facility cessation mitigation fund must submit an attes-
33 tation to the department of public service that a facility is no longer
34 producing electricity and is no longer participating in markets operated
35 by the BSO. After receipt of such attestation, the department of public
36 service shall confirm such information with the BSO. In the case that
37 the BSO confirms to the department of public service that the facility
38 is no longer producing electricity and participating in markets operated
39 by such BSO, it shall be deemed that the electric generating facility
40 located within the local government entity has ceased operation. The
41 department of public service shall provide such confirmation to the
42 urban development corporation upon receipt. The determination of the
43 amount of such annual payment shall be determined by the president of
44 the urban development corporation based on the amount of the differen-
45 tial between the annual real property taxes and payments in lieu of
46 taxes imposed upon the facility, exclusive of interest and penalties,
47 during the last year of operations and the current real property taxes
48 and payments in lieu of taxes imposed upon the facility, exclusive of
49 interest and penalties. The total amount awarded from this program shall
50 not exceed $140,000,000.
51 § 2. Section 4 of subpart H of part C of chapter 20 of the laws of
52 2015, as separately amended by section 2 of part XX of chapter 55 and
53 chapter 254 of the laws of 2021, is amended to read as follows:
A. 10949--A 3
1 § 4. This act shall take effect immediately[; provided, however, a
2 local government which has not completed its seven years of assistance
3 prior to such date shall continue to receive funding until such seven
4 year timeframe is complete].
5 § 3. This act shall take effect immediately.
