Amd St Fin L, generally; amd S1615, Tax L; amd SS17.03, 27.15 & 27.17, Pks & Rec L; amd S551, LabL; amd
SS16-a, 316 & 316-a, R & SS L; add Art 4-B SS75 & 76, Leg L
 
Establishes procedure for implementation of a contingency budget on the first day of the fiscal year in the event the legislature has not finally acted upon all appropriation bills submitted by the governor; enacts provisions relating to appropriations for public education; submission of financial plans; requires use of separate schedules; multi-year financial plan changes; provides for additional debt reporting; revisions of financial plans and capital improvement programs; establishes earlier time frames for certain actions (quickstart); creates the health care reform act fund; provides for reporting of journal voucher transactions; changes the date of the fiscal year; creates the New York state independent budget office; provides for procedures relating to appropriations and reporting for information technology projects; provides for revision of information by the executive to reflect legislative action on the executive budget and contingency budget; relates to amounts held and transferred to and by the tax stabilization reserve fund and establishes the fiscal stabilization reserve fund; and provides that the budget shall include a current services budget projecting the cost of continuing levels of activities and programs authorized for the current state fiscal year as well as provisions of law scheduled to take effect through the conclusion of the ensuing state fiscal year.
STATE OF NEW YORK
________________________________________________________________________
2
2005-2006 Regular Sessions
IN SENATE
January 5, 2005
___________
Introduced by Sens. BRUNO, JOHNSON, LIBOUS, SALAND, WINNER, ALESI,
BALBONI, BONACIC, DeFRANCISCO, FARLEY, FLANAGAN, FUSCHILLO, GOLDEN,
HANNON, LARKIN, LAVALLE, LEIBELL, LITTLE, MALTESE, MARCELLINO, MARCHI,
MAZIARZ, McGEE, MEIER, MORAHAN, NOZZOLIO, PADAVAN, RATH, ROBACH,
SEWARD, SKELOS, TRUNZO, VOLKER, WRIGHT -- read twice and ordered
printed, and when printed to be committed to the Committee on Finance
AN ACT to amend the state finance law, in relation to establishing a
procedure for the implementation of a contingency budget; to amend the
state finance law, in relation to appropriations for the education
department for elementary, secondary and continuing education; to
amend the state finance law, in relation to submission of financial
plans; to amend the state finance law, in relation to requiring sepa-
rate schedules; to amend the state finance law, in relation to multi-
year financial plan changes; to amend the state finance law, in
relation to additional debt reporting; to amend the state finance law,
in relation to revisions of financial plans and capital improvement
programs; to amend the state finance law, in relation to establishing
earlier time frames for certain actions (quickstart); to amend the
state finance law, in relation to creating the health care reform act
(HCRA) fund; to amend the state finance law, in relation to the
reporting of journal voucher transactions; to amend the state finance
law, the tax law, the parks, recreation and historic preservation law,
the labor law and the retirement and social security law, in relation
to changing the fiscal year; to amend the legislative law, in relation
to creating the New York state independent budget office; to amend the
state finance law, in relation to information technology reporting; to
amend the state finance law, in relation to financial plan revision by
the executive; to amend the state finance law, in relation to the tax
stabilization reserve fund and establishing the fiscal stabilization
reserve fund; and to amend the state finance law, in relation to a
current services budget
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
S LBD05043-01-5
S. 2 2
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. The state finance law is amended by adding a new section
2 24-a to read as follows:
3 § 24-a. Contingency budget. 1. A contingency budget shall take effect
4 on the first day of the fiscal year in the event the legislature has not
5 finally acted upon all the appropriation bills submitted by the governor
6 for such fiscal year and shall be sufficient for the ongoing operation
7 and support of state government and local assistance. Such contingency
8 budget shall take effect without further action by the legislature or
9 the governor, and shall remain in effect until both houses of the legis-
10 lature pass a single multiple appropriation bill which alters such
11 contingency budget. Passage by both houses of the legislature of such
12 multiple appropriation bill shall constitute the conclusion of the
13 contingency period.
14 2. The contingency budget shall authorize the renewal of the appropri-
15 ations and reappropriations enacted for the immediately preceding fiscal
16 year. Such appropriations and reappropriations, in addition to any
17 related statutory spending and revenue provisions in effect during such
18 year, shall remain in effect for the same period as the contingency
19 budget remains effective.
20 3. (a) The aggregate disbursements authorized by appropriations and
21 reappropriations in the contingency budget for such fiscal year shall
22 not exceed aggregate disbursements made in the immediately preceding
23 fiscal year, provided further that disbursements authorized by individ-
24 ual items of appropriation and reappropriation in the contingency budget
25 shall not exceed disbursements made for such individual items of appro-
26 priation and reappropriation in the immediately preceding fiscal year,
27 with the following exceptions:
28 (i) payments related to public assistance grants under the family
29 assistance, safety net and disability assistance programs established
30 pursuant to chapter four hundred thirty-six of the laws of nineteen
31 hundred ninety-seven, and for emergency assistance for families and
32 payments for eligible aged, blind and disabled persons related to
33 supplemental security income;
34 (ii) federal funds for which receipt would be jeopardized or federal
35 law would be violated if subject to such disbursement limitation; and
36 (b) The contingency budget shall not authorize disbursements for the
37 contingency period for any:
38 (i) spending related to prior year appropriations or reappropriations
39 for items which were one-time or non-recurring in nature; or
40 (ii) new contracts that are not for the continuation of ongoing
41 services or capital projects; or
42 (iii) trend factors, cost of living adjustments or other rate adjust-
43 ments that would otherwise automatically become effective, except those
44 required by federal law.
45 (c) No law changing the exceptions contained in paragraph (a) or (b)
46 of this subdivision may become effective until three years from the date
47 of its enactment.
48 4. If, after a contingency budget becomes effective, the independent
49 budget office projects that annual receipts are insufficient to meet
50 annual disbursements under the contingency budget, uniform reductions
51 shall be applied to all disbursements other than those included in para-
52 graph (a) of subdivision three of this section in order to achieve a
53 balanced plan of receipts and disbursements. Such reductions shall be
S. 2 3
1 applied not later than the thirtieth day that the contingency budget is
2 in effect, except where federal or other notification is required to
3 effectuate a reduction, in which case such notification shall be made no
4 later than the thirtieth day after the contingency budget is in effect
5 and the related reduction shall take effect as soon thereafter as
6 allowed. No reduction implemented under this subdivision shall alter any
7 eligibility provision for any program.
8 § 2. Subdivisions 1, 2 and 3 of section 40 of the state finance law,
9 as amended by chapter 169 of the laws of 1994, are amended to read as
10 follows:
11 1. The budget and the budget bills submitted by the governor shall
12 include all appropriations which in the opinion of the governor will be
13 required during the full succeeding fiscal year. In the case of appro-
14 priations for the general support of public schools and the state
15 lottery fund, the budget and the budget bills submitted by the governor
16 shall include all appropriations for the general support of public
17 schools and the state lottery fund which in the opinion of the governor
18 will be required during the next full fiscal year following the succeed-
19 ing fiscal year, and any additional appropriations for the general
20 support of public schools which in the opinion of the governor will be
21 required during the full succeeding fiscal year above, at or below the
22 amounts appropriated for such purposes in the current fiscal year. Such
23 appropriations shall be proposed as separate appropriations applying
24 individually to the succeeding fiscal year and the next succeeding
25 fiscal year.
26 2. (a) No appropriation made at a regular session of the legislature
27 shall, unless the contrary is expressly provided in the act by which
28 such appropriation is made, be available prior to the commencement of
29 the fiscal year for which the budget is adopted at such session, and
30 every appropriation made at such session, except as provided in para-
31 graphs (b), (d), and (e) of this subdivision, shall cease to have force
32 and effect, except as to liabilities already incurred thereunder, at the
33 close of [such] the fiscal year in which such appropriation shall first
34 become available.
35 (b) Every deficiency appropriation made at a regular session of the
36 legislature which by the express terms of the act by which such appro-
37 priation is made shall be available prior to the commencement of the
38 fiscal year for which the budget is adopted at such session shall cease
39 to have force and effect, except as to liabilities already incurred
40 thereunder, at the close of the fiscal year in which such appropriation
41 shall become available.
42 (c) Every appropriation made at an extraordinary session of the legis-
43 lature shall, unless the contrary is expressly provided in the act by
44 which such appropriation is made, be available immediately upon the
45 taking effect of such act and shall cease to have force and effect,
46 except as to liabilities already incurred thereunder, at the close of
47 the fiscal year in which such appropriation shall become available.
48 (d) Every appropriation enacted in the fund type special revenue
49 funds-federal for a grant period which extends beyond [March thirty-
50 first] April thirtieth of the fiscal year in which the appropriations
51 are enacted shall be available for liabilities incurred during such
52 grant period after such [March thirty-first] April thirtieth date.
53 (e) All state operations appropriations made to the city university of
54 New York and the state university of New York shall cease to have force
55 and effect, except as to liabilities already incurred thereunder, as of
S. 2 4
1 the thirtieth day of June immediately following the state fiscal year
2 for which they are enacted.
3 3. Every appropriation for whatever purpose which at the close of the
4 fiscal year in which such appropriation shall first become available,
5 shall cease to have force and effect except as to liabilities already
6 incurred thereunder shall as to such liabilities continue in force and
7 effect until the dates specified in paragraphs (a), (b), (c) and (d) of
8 this subdivision, on which dates such appropriation shall lapse and no
9 money shall thereafter be paid out of the state treasury or any of its
10 funds or any of the funds under its management pursuant to such appro-
11 priation.
12 (a) Except for appropriations made to the city university of New York
13 and the state university of New York, all state operations appropri-
14 ations including special revenue funds-federal appropriations continued
15 pursuant to paragraph (d) of subdivision two of this section shall lapse
16 on the [thirtieth] thirty-first day of [June] July immediately following
17 the close of the fiscal year. The appropriations made to the city
18 university of New York or the state university of New York shall lapse
19 on the thirtieth day of September immediately following the close of the
20 fiscal year.
21 (b) All aid to localities appropriations including special revenue
22 funds-federal appropriations continued pursuant to paragraph (d) of
23 subdivision two of this section shall lapse on the fifteenth day of
24 [September] October immediately following the close of the fiscal year.
25 (c) All capital projects appropriations shall lapse on the fifteenth
26 day of [September] October immediately following the close of the fiscal
27 year.
28 (d) All other appropriations shall lapse on the fifteenth day of
29 [September] October immediately following the close of the fiscal year.
30 § 3. Paragraph d-2 of subdivision 3 of section 22 of the state finance
31 law, as amended by chapter 260 of the laws of 1993, is amended to read
32 as follows:
33 d-2. Within ten days following the submission of the financial plans
34 presented in accordance with subdivisions one and two of this section,
35 the director of the budget shall submit to the comptroller and the
36 chairs of the senate finance committee and the assembly ways and means
37 committee:
38 (i) a detailed schedule by fund of the receipts and disbursements
39 comprising such summary financial plan, and
40 (ii) a schedule for each governmental fund type other than the general
41 fund showing the differences between projected operating results on a
42 cash basis and those on the basis of generally accepted accounting prin-
43 ciples, and
44 (iii) a detailed schedule by fund of revenues and expenditures within
45 the general fund, and
46 (iv) a detailed schedule by fund of receipts for the prior, current
47 and next ensuing fiscal years shown by each major revenue category,
48 including each individual tax, each individual component part of miscel-
49 laneous receipts, and each revenue source which accounts for at least
50 one-half of one percent of all receipts within each fund type, and
51 (v) an itemized list of transfers to and from each fund.
52 § 4. Paragraph e of subdivision 3 of section 22 of the state finance
53 law, as amended by chapter 762 of the laws of 1992, is amended to read
54 as follows:
55 e. The anticipated general fund quarterly schedule and fiscal year
56 total for the prior, current and next ensuing fiscal [year] years of:
S. 2 5
1 disbursements; receipts; repayments of advances; total tax refunds; and
2 refunds for the tax imposed under article twenty-two of the tax law.
3 Such information shall be presented in the same form as the summary
4 financial plans presented in accordance with subdivisions one and two of
5 this section. A separate, detailed, report of such schedule shall be
6 provided with receipts shown by each major revenue category, including
7 each individual tax, each individual component part of miscellaneous
8 receipts, and each revenue source which accounts for at least one-half
9 of one per centum of all receipts within each fund type and with
10 disbursements shown by major agency or major spending item.
11 The director of the division of the budget shall submit concurrent
12 with the submission of the financial plan to the legislature pursuant to
13 subdivision two of this section and with each update thereafter a sched-
14 ule of actual and planned disbursements by month and by fund type stat-
15 ing separately and distinctly variances between actual and projected
16 disbursements for the most recent practicable month and previous twelve
17 months. Such report shall document actual and projected state disburse-
18 ments inclusive of, and distinctly stated by categories of local assist-
19 ance grants including general purpose, education, social services, medi-
20 caid, health and environment, mental hygiene, transportation, criminal
21 justice and miscellaneous; by departmental operations including personal
22 services and non-personal services; by general state charges; and by
23 debt service payments. Such reports shall utilize a format that shall
24 facilitate comparison and analysis with those reports submitted to the
25 legislature by the office of audit and control pursuant to subdivision
26 nine of section eight of this chapter.
27 § 5. Paragraph e-2 of subdivision 3 of section 22 of the state finance
28 law, as added by chapter 762 of the laws of 1992, is amended to read as
29 follows:
30 e-2. A [measure of the] description of employment [level] levels for
31 each state department, division or office, for [both] the prior, current
32 and next ensuing fiscal [year, provided however that for the fiscal year
33 beginning April first, nineteen hundred ninety-three--ninety-four, such
34 measure shall be presented only for the general fund] years containing
35 separate schedules for the following fund types: general fund; federal
36 special revenue funds; other special revenue funds; capital projects
37 funds; and an all funds summary. Such information shall be presented in
38 summary form suitable for comparison and shall contain the following
39 measures including actual experience where possible:
40 (i) budgeted-fill level or measure of employment used to determine
41 personal service appropriations;
42 (ii) full-time equivalents;
43 (iii) civil service jurisdiction classification (competitive, non-com-
44 petitive, exempt, labor);
45 (iv) employee status (permanent, temporary, provisional); and
46 (v) changes to the work force proposed in the executive budget
47 proposal, including but not limited to: new positions, layoffs, attri-
48 tion, elimination of funded vacancies, and transfers to other funding
49 sources.
50 § 6. Subdivision 4 of section 22 of the state finance law, as amended
51 by chapter 762 of the laws of 1992, is amended to read as follows:
52 4. a. Include a three year financial projection[, which shall be
53 submitted not later than thirty days after submission of the financial
54 plans pursuant to subdivision one of this section,] showing the antic-
55 ipated disbursements and receipts for each of the governmental fund
56 types of the state [and, for the general fund the anticipated expendi-
S. 2 6
1 tures and revenues for the ensuing fiscal year and for the two years
2 following the ensuing fiscal year]. For the purposes of this three year
3 financial projection, disbursements [and expenditures] shall be
4 presented by the following purposes: state purposes, local assistance,
5 capital projects, debt service, transfers and general state charges with
6 each major agency or major spending item identified separately within
7 each purpose; and receipts [and revenues] shall be presented[,] by each
8 major revenue category, including each individual tax, each individual
9 component part of miscellaneous receipts, and each revenue source which
10 accounts for at least one-half of one per centum of all receipts within
11 each fund type and with disbursements shown by major agency or major
12 spending item for the ensuing and each of the next [successive] two
13 fiscal [year by each revenue source which accounts for not less than one
14 per centum of all receipts or revenues of the general fund] years, and
15 otherwise by each major source which is separately estimated and
16 presented pursuant to paragraph b of subdivision three of this section
17 [and, for the remaining fiscal year by each revenue source which
18 accounts for at least ten per centum of all the receipts or revenues and
19 otherwise by categories of revenue sources. Provided however, that for
20 the fiscal year beginning in nineteen hundred ninety-three, for the
21 governmental funds other than the general fund, receipts shall be
22 presented by each revenue source which accounts for at least ten per
23 centum of all the receipts and otherwise by categories of revenue
24 source]. Receipts and disbursements for special revenue funds shall be
25 presented separately for federal funds and all other special revenue
26 funds. Whenever receipts and disbursements are proposed to be moved to a
27 different fund type, each significant amount so moved shall be
28 explained. This three year financial projection shall include an expla-
29 nation of any changes to the financial plans submitted in accordance
30 with subdivision one of this section and include explanations of the
31 economic, statutory and other assumptions used to estimate the disburse-
32 ments[, expenditures,] and receipts [and revenues] which are presented.
33 Whenever the projections for receipts and disbursements are based on
34 assumptions other than the current levels of service, such assumptions
35 shall be separately identified and explained. The three year financial
36 projections shall include a description of any projected deficits or
37 surpluses with a discussion of the causes and effects of such deficits
38 or surpluses as well as a description of available options to reduce any
39 projected deficits or utilize any projected surpluses.
40 b. Include a three year financial projection prepared on the basis of
41 generally accepted accounting principles similar in format to that
42 required by paragraph (a) of this subdivision. Such projection shall be
43 updated each year no later than September thirtieth.
44 § 7. Subdivision 11 of section 22 of the state finance law, as amended
45 by chapter 762 of the laws of 1992 and as renumbered by section 2 of
46 part F of chapter 389 of the laws of 1997, is amended to read as
47 follows:
48 11. a. Within ten days following the submission of the financial plans
49 presented in accordance with subdivisions one and two of this section,
50 the director of the budget shall submit to the chairs of the senate
51 finance committee and the assembly ways and means committee for the
52 prior, the current and next ensuing fiscal years detailed schedules by
53 agency [for the general fund] or major program and bill and fund type
54 with general state charges identified separately showing proposed appro-
55 priations [in the state operations and aid to localities budget bills]
56 with disbursements to be made against such appropriations, as well as
S. 2 7
1 disbursements to be made against any existing appropriations in a form
2 suitable for comparison.
3 b. The following detail on appropriations and disbursements for debt
4 service as required by paragraph a of this subdivision shall also be
5 provided:
6 (1) For all bonds, notes or other obligations issued on or after the
7 effective date of the chapter of the laws of two thousand five which
8 amended this subdivision:
9 (i) a schedule of each of the issuance's gross principal, interest,
10 and other payments, by payment date;
11 (ii) a schedule of any funds used or expected to be used to offset
12 such payments as detailed in clause (i) of this subparagraph, by payment
13 date, which shall include, but not be limited to, each of the following:
14 A. accrued interest;
15 B. capitalized interest;
16 C. principal or interest earnings for monies held as bond proceeds,
17 debt service, debt service reserve or any other reserve funds;
18 D. principal, interest or any other monies utilized from any other
19 funds, accounts or other sources;
20 (iii) a schedule of each of the issuance's net principal, interest and
21 other payments, by payment date, which shall be those amounts arrived at
22 by subtracting clause (ii) of this subparagraph from clause (i) of this
23 subparagraph.
24 For purposes of this paragraph, information for payments on refunding
25 bonds may be substituted for information for payments on the bonds which
26 have been refunded.
27 (2) For each projected issuance of bonds, notes or other obligations:
28 (i) projected issuance date;
29 (ii) projected amount to be issued;
30 (iii) the projected final maturity of such bonds, notes or other obli-
31 gations to be sold;
32 (iv) assumptions as to interest rates, structuring, use of credit
33 enhancement, and any other relevant information;
34 (v) a schedule of each of the issuance's projected gross principal,
35 interest and other payments, by payment date;
36 (vi) a schedule of any funds used or expected to be used to offset
37 such payments as detailed in clause (v) of this subparagraph, by payment
38 date, which shall include, but not be limited to, each of the following:
39 A. accrued interest;
40 B. capitalized interest;
41 C. principal or interest earnings for monies held as bond proceeds,
42 debt service, debt service reserve or any other reserve funds;
43 D. principal, interest or any other monies utilized from any other
44 funds, accounts or other sources.
45 (vii) a schedule of each of the issuance's projected net principal,
46 interest and other payments, by payment date, which shall be those
47 amounts arrived at by subtracting clause (vi) of this subparagraph from
48 clause (v) of this subparagraph.
49 (viii) if such issuance consists of refunding bonds, notes, or other
50 obligations, a schedule of both gross and net projected principal,
51 interest, and other payment savings, by payment date.
52 (3) For each bonding program, a projected schedule of both the gross
53 and net principal, interest and other payments to be made during the
54 next succeeding three state fiscal years.
55 § 8. Subdivisions 3 and 4 of section 23 of the state finance law,
56 subdivision 3 as amended by chapter 837 of the laws of 1983 and subdivi-
S. 2 8
1 sion 4 as amended by chapter 59 of the laws of 2000, are amended to read
2 as follows:
3 3. Financial plans and capital improvement program; revisions. [As
4 soon as practicable] Not later than thirty days after the legislature
5 has completed action on the budget bills submitted by the governor [for
6 state purposes, local assistance, capital projects and debt service, the
7 governor] who shall cause to be submitted to the legislature the
8 revisions to the financial plans and the capital plan required by subdi-
9 visions one, two, four and five of section twenty-two of this [chapter]
10 article as are necessary to account for all enactments affecting the
11 financial plans and the capital plan. [Such] The financial plan shall
12 also contain a cash flow analysis of projected receipts and disburse-
13 ments and other financing sources or uses for each month of the state's
14 fiscal year. Notwithstanding any other law to the contrary, such revised
15 plans and accompanying cash flow analysis shall be submitted to the
16 legislature and the comptroller in [the same] such form as the [plans
17 required by such subdivisions] comptroller shall prescribe.
18 4. Financial plan updates. Quarterly, throughout the fiscal year, the
19 governor shall submit to the comptroller, the [chair] chairs of the
20 senate finance [committee] and [the chair of] the assembly ways and
21 means [committee for the use of the committees and the information of
22 the legislature] committees, within thirty days of the close of the
23 quarter to which it shall pertain, a report which summarizes the actual
24 experience to date and projections for the remaining quarters of the
25 current fiscal year and for each of the next two fiscal years of
26 receipts, disbursements, tax refunds, and repayments of advances
27 presented in forms suitable for comparison with the financial plan
28 submitted pursuant to [subdivision] subdivisions one, four, five, eleven
29 and thirteen and paragraphs d-2, e and e-2 of subdivision three of
30 section twenty-two of this article and revised in accordance with the
31 provisions of subdivision three of this section. The governor shall
32 submit with the budget and on September first of each year a similar
33 report that summarizes revenue and expenditure experience to date as
34 well as projections for the remaining quarters of the current fiscal
35 year and each of the next two fiscal years in a form suitable for
36 comparison with the financial plan submitted pursuant to subdivision two
37 of section twenty-two of this article and revised in accordance with the
38 provisions of subdivision three of this section. Each such quarterly
39 report shall also contain a cash flow analysis of projected receipts and
40 disbursements and other financing sources or uses, in a format
41 prescribed by the comptroller, for each month remaining in the fiscal
42 year. Such reports shall provide an explanation of the causes of any
43 major deviations from the revised financial plans and, shall provide for
44 the amendment of the plan or plans to reflect those deviations. The
45 governor may, if he determines it advisable, provide more frequent
46 reports to the legislature regarding actual experience as compared to
47 the financial plans. The quarterly financial plan update most proximate
48 to October thirty-first of each year shall include the calculation of
49 the limitations on the issuance of state-supported debt computed pursu-
50 ant to the provisions of subdivisions one and two of section sixty-sev-
51 en-b of this chapter.
52 § 9. Subdivision 5 of section 23 of the state finance law, as added by
53 chapter 762 of the laws of 1992, is amended to read as follows:
54 5. Financial information review. Annually on or before November
55 fifteenth, the governor, temporary president of the senate and the
56 speaker of the assembly shall cause their respective appropriate person-
S. 2 9
1 nel to meet for the purpose of jointly reviewing available financial
2 information [and developing a process] to facilitate timely adoption of
3 a budget for the next fiscal year. Such [process] review shall include
4 meetings to discuss the economic outlook, revenue forecasts, projected
5 spending, the impact of relevant state and federal statutory provisions,
6 and any other matters deemed appropriate. Not later than December
7 [fifteenth] fifth, such respective appropriate personnel shall [report
8 to their principals on the steps necessary to accomplish the adoption of
9 a timely budget] separately prepare and make available reports on esti-
10 mated state receipts and state disbursements for the current and ensuing
11 fiscal years. Each report on estimated state receipts shall include, but
12 shall not be limited to, estimated tax receipts on an all-funds basis,
13 estimated lottery receipts, estimated miscellaneous receipts to be
14 received in the general fund, and the underlying factors and data upon
15 which such estimated receipts are based. Each report on estimated state
16 disbursements shall include, but shall not be limited to, estimates of
17 state disbursements for Medicaid and the underlying factors and data on
18 which such estimates are based, estimates of state disbursements for
19 public assistance and the underlying caseload and other factors and data
20 on which such estimates are based, and estimates of state disbursements
21 for assistance for elementary and secondary education and the underlying
22 factors and data on which such estimates are based.
23 The governor, temporary president of the senate and the speaker of the
24 assembly shall cause their respective appropriate personnel to meet
25 annually on or after December fifth to review the separate reports on
26 estimated state receipts and state disbursements. The respective appro-
27 priate personnel shall identify and evaluate the differences between the
28 estimates of state receipts and state disbursements, and the differences
29 between the underlying factors and data on which such estimates are
30 based, and separately report such differences and the evaluation thereof
31 to their principals.
32 § 10. The state finance law is amended by adding a new section 92-cc
33 to read as follows:
34 § 92-cc. Health care reform act (HCRA) fund. 1. There is hereby
35 established in the joint custody of the comptroller and the department
36 of taxation and finance a special fund to be known as the health care
37 reform act fund.
38 2. On and after April first, two thousand six, such fund shall consist
39 of the revenues collected or required to be deposited pursuant to para-
40 graph (a) of subdivision eighteen of section twenty-eight hundred
41 seven-c, and sections twenty-eight hundred seven-j, twenty-eight hundred
42 seven-s and twenty-eight hundred seven-t of the public health law,
43 section four hundred eighty-two of the tax law, subparagraph (O) of
44 paragraph four of subsection (j) of section four thousand three hundred
45 one of the insurance law, section twenty-seven of part A of chapter one
46 of the laws of two thousand two and all other moneys credited or trans-
47 ferred thereto from any other fund or source pursuant to law.
48 3. Moneys in the health care reform act fund shall be kept separate
49 from and shall not be commingled with any other moneys in the joint or
50 sole custody of the comptroller and the department of taxation and
51 finance.
52 4. With submission of the budget for the fiscal year beginning April
53 first, two thousand six, the governor shall be required to provide sepa-
54 rate appropriations from the fund for each item included in sections
55 twenty-eight hundred seven-k, twenty-eight hundred seven-l, twenty-eight
56 hundred seven-m, twenty-eight hundred seven-s and twenty-eight hundred
S. 2 10
1 seven-v of the public health law, as necessary to accomplish the
2 purposes of the health care reform act.
3 5. Moneys of the fund, following appropriation by the legislature
4 shall be expended in accordance with sections twenty-eight hundred
5 seven-k, twenty-eight hundred seven-l, twenty-eight hundred seven-m,
6 twenty-eight hundred seven-s and twenty-eight hundred seven-v of the
7 public health law, pursuant to a certificate of approval of availability
8 issued by the director of the budget, upon the recommendation of the
9 commissioner of health, or where appropriate, the superintendent of
10 insurance, and the commissioner of mental health and a copy of such
11 certificate filed with the state comptroller, the chairman of the senate
12 finance committee and the chairman of the assembly ways and means
13 committee.
14 6. The moneys, following allocation, shall be paid out of the fund on
15 the audit and warrant of the comptroller on vouchers certified or
16 approved by the commissioner of health, or by an officer or employee of
17 the department of health designated by the commissioner.
18 § 11. Section 8 of the state finance law is amended by adding two new
19 subdivisions 19 and 20 to read as follows:
20 19. Notwithstanding any inconsistent provision of law, maintain
21 detailed records of all activity commonly known as "journal transfers"
22 relating to any fund or account of the state for which he or she has the
23 duty pursuant to law to audit and maintain accountability, including any
24 supporting documentation relating thereto.
25 20. On or before April fifteenth of each year, submit an annual report
26 of such activity pursuant to subdivision nineteen of this section to the
27 temporary president of the senate and to the speaker of the assembly.
28 § 12. Section 2 of the state finance law is amended by adding a new
29 subdivision 20 to read as follows:
30 20. "Journal transfer". Any transfer or other method of movement of
31 federal or state monies by the comptroller including, but not limited
32 to, expenditure journal transfers, revenue journal transfers and statu-
33 tory transfers, between accounts and/or funds not specifically author-
34 ized by the state legislature.
35 § 13. Section 3 of the state finance law, as added by chapter 1 of the
36 laws of 1943 and as separately renumbered by chapters 405 and 957 of the
37 laws of 1981, is amended to read as follows:
38 § 3. Fiscal year. 1. The [current] fiscal year of the state which
39 [commenced] commences with the first day of [July] April, [nineteen
40 hundred forty-two] two thousand six, is hereby [abridged] extended and
41 shall end with the [thirty-first] thirtieth day of [March] April, [nine-
42 teen hundred forty-three] two thousand seven. For [all purposes of
43 determining annual increments of state employees pursuant to the educa-
44 tion law, the civil service law or other state law, and for] all
45 purposes whenever by law some act is to be performed or time is to be
46 measured by the fiscal year of the state, [the current] such fiscal
47 year, as so [abridged] extended, shall be deemed to be [a full] only one
48 year unless the context clearly requires a contrary construction.
49 On and after the first day of [April] May, [nineteen hundred forty-
50 three] two thousand seven, the fiscal year of the state, for the purpose
51 of budget, appropriations, receipts and disbursements of state moneys
52 and all other state affairs which are regulated in accordance with or
53 based on fiscal years, including the fiscal affairs of all state depart-
54 ments, commissions, boards, agencies, offices and institutions, shall
55 begin with the first day of [April] May and end with the next following
56 [thirty-first] thirtieth day of [March] April.
S. 2 11
1 2. All books and accounts in the offices of the comptroller and the
2 department of taxation and finance shall be kept by fiscal years. All
3 annual accounts required to be rendered to the comptroller or to such
4 department by any person shall be closed on the [thirty-first] thirtieth
5 day of [March] April in each year, and be rendered as soon thereafter as
6 practicable, if no time is specially prescribed by law.
7 3. Where any statute provides, in terms or effect, that any inventory
8 or account, or a report relating in whole or in part to receipts and
9 disbursements of money, be made to the legislature or any state officer
10 annually, or for a year, by a department, commission, board, or officer
11 under the state government, such inventory or account, and such report
12 so far as it relates to such receipts and disbursements, shall be for
13 the preceding fiscal year, unless the calendar year be expressly
14 mentioned.
15 4. Existing provisions of other laws describing or referring to a
16 fiscal year of the state as beginning [July] April first and ending
17 [June thirtieth] March thirty-first, or making any requirement with
18 respect to such fiscal year, or referring to any year so beginning and
19 ending which applies to [inventories or accounts in] state matters, or
20 to [reports relating to] state money or property, shall be deemed modi-
21 fied by and be construed in connection with this section, and be deemed
22 to refer to a fiscal [or to another] year [or period] beginning May
23 first, and ending [as herein prescribed for a fiscal year] April thirti-
24 eth. Nothing contained in this subdivision shall be deemed to alter any
25 statutory requirement with respect to an obligation of the state to
26 disburse moneys on or before a specific date or with respect to an obli-
27 gation of any person to make required payments in the form of taxes,
28 fees or other charges or other obligations to the state on or before a
29 specific date.
30 § 14. The opening paragraph of subdivision 17 of section 8 of the
31 state finance law, as added by chapter 992 of the laws of 1983, is
32 amended to read as follows:
33 Report annually to the legislature on or before [May] June first on
34 the contracts issued by state agencies during the previous fiscal year
35 for consulting services. The report shall include the following informa-
36 tion for each agency:
37 § 15. Intentionally omitted.
38 § 16. The opening paragraph of paragraph j of subdivision 1 of section
39 54 of the state finance law, as added by chapter 430 of the laws of
40 1997, is amended to read as follows:
41 The comptroller and the commissioner of taxation and finance shall
42 jointly prepare and furnish to the state board of real property services
43 by [June] July fifteenth of each year, a certified report setting forth
44 total state tax collections during the prior state fiscal year.
45 § 17. The opening paragraph of subdivision 5 of section 55 of the
46 state finance law, as added by chapter 59 of the laws of 1982, is
47 amended to read as follows:
48 The comptroller shall annually submit a report to the director of the
49 budget, the [chairman] chairs of the senate finance committee and the
50 [chairman of the] assembly ways and means committee. Such report shall
51 be submitted no later than the last business day of [June] July and
52 shall provide a comprehensive analysis of any flexible notes and/or
53 short-term series notes issued or outstanding in the previous fiscal
54 year. Such report shall include, but not be limited to:
S. 2 12
1 § 18. Subparagraph (ii) of paragraph 4 of subdivision (a) of section
2 83 of the state finance law, as amended by chapter 512 of the laws of
3 1994, is amended to read as follows:
4 (ii) The state comptroller shall provide an annual report of the trust
5 account which lists the amount of the principal, the earned income, the
6 earned income accrued to the principal, and the earned income trans-
7 ferred to the conservation fund pursuant to subparagraph (iii) of this
8 paragraph not later than [April] May tenth of each year for the state
9 fiscal year ending the immediately preceding [March thirty-first] April
10 thirtieth. A copy of such report shall be transmitted, forthwith, to the
11 director of the division of the budget, the [chairman] chair of the
12 senate finance committee, the [chairman] chair of the assembly ways and
13 means committee, the commissioner of the department of environmental
14 conservation and each of the eleven members of the conservation fund
15 advisory [council] board, created pursuant to section [seven hundred of
16 the executive law] 11-0327 of the environmental conservation law.
17 § 19. Subdivision 6 of section 85 of the state finance law, as added
18 by chapter 63 of the laws of 1988, is amended to read as follows:
19 6. Commencing [April] May first, [nineteen hundred ninety] two thou-
20 sand seven and at the beginning of each fiscal year thereafter, if the
21 state comptroller finds that the total amount to the credit of the fund
22 as of the first day of the previous month is in excess of the sum of one
23 million dollars, he shall advise the [chairman] chair of the senate
24 finance committee, the [chairman] chair of the assembly ways and means
25 committee and the director of the budget of such findings, and shall
26 within thirty days thereafter transfer to the general fund of the state
27 a sum equal to the amount of such excess.
28 § 20. Subdivision 4 of section 92-a of the state finance law, as added
29 by chapter 53 of the laws of 1985, is amended to read as follows:
30 4. In the budget bills accompanying the budget for each state fiscal
31 year beginning on or after April first, nineteen hundred eighty-six but
32 prior to [April] May first, two thousand seven, the governor shall
33 recommend an appropriation to be made to the account established by this
34 section during the ensuing fiscal year from any moneys in the general
35 fund to the credit of the local assistance account. The amount of such
36 recommended appropriation shall be an amount that the governor deter-
37 mines to be appropriate based on the economic condition of the state at
38 such time, his prognosis as to the condition of the state economy during
39 the ensuing fiscal year, [his] estimates of all the state expenditures
40 that are necessary to be made for other purposes during the ensuing
41 fiscal year, and [his] projections of all the revenues and moneys that
42 are likely to be available therefor. No moneys shall be paid into such
43 fund until a certificate of approval by the director of the budget has
44 been filed with the [chairmen] chairs of the senate finance committee
45 and the assembly ways and means committee.
46 § 21. Subdivision 4 of section 94 of the state finance law, as amended
47 by chapter 190 of the laws of 1990, is amended to read as follows:
48 4. On or before [April] May twentieth in each year[, commencing with
49 April twentieth, nineteen hundred ninety-one], the chief administrator
50 shall determine and certify to the comptroller the difference between:
51 (a) the aggregate receipts derived by the state from the fees specified
52 in paragraph (e) of subdivision two of section thirty-nine of the judi-
53 ciary law during the fiscal year ending the preceding [March thirty-
54 first] April thirtieth plus all interest paid to the commissioner of
55 taxation and finance during such fiscal year pursuant to section one
56 hundred eighty-two of this chapter, and (b) the aggregate receipts
S. 2 13
1 derived by the state from the fees specified in paragraph (e) of subdi-
2 vision two of section thirty-nine of the judiciary law during the state
3 fiscal year commencing April first, nineteen hundred eighty-six. One-
4 half of the amount of such difference shall thereupon be transferred by
5 the comptroller from the general fund to the court facilities incentive
6 aid fund.
7 § 22. Subdivision 4 of section 99-d of the state finance law, as added
8 by chapter 474 of the laws of 1996, is amended to read as follows:
9 4. Notwithstanding section forty of this chapter or any other
10 provision of law, appropriations of this fund shall be available for
11 liabilities incurred during and after the close of the fiscal year for
12 which such appropriations are enacted, provided however that such appro-
13 priations shall lapse on the fifteenth day of [September] October
14 following the close of the fiscal year, and no monies shall thereafter
15 be paid out of the state treasury or any of its funds or the funds under
16 its management pursuant to such appropriations.
17 § 23. Subdivision 2 of section 99-e of the state finance law, as added
18 by chapter 309 of the laws of 1996, is amended to read as follows:
19 2. Such account shall consist (a) of any and all unexpended and unen-
20 cumbered moneys received by the state university of New York from
21 tuition, fees, user charges, or other sources and deposited into the
22 income offset account, and (b) any other undisbursed balance of the
23 general fund appropriation as of the last day of the state university
24 fiscal year as reduced pursuant to subparagraph six of paragraph c of
25 subdivision four of section three hundred fifty-five of the education
26 law to reflect any aggregate amount established by the director of the
27 budget less than the amount appropriated. Such moneys shall be trans-
28 ferred by the state comptroller into the stabilization account on or
29 before [September] October fifteenth within thirty days of such date. In
30 addition, all or a portion of the account balances in other state
31 university income accounts, except the dormitory income reimbursable
32 account, shall be transferred by the state comptroller, at the request
33 of the state university, to the stabilization account.
34 § 24. Subdivision a of section 1615 of the tax law, as amended by
35 chapter 170 of the laws of 1994, is amended to read as follows:
36 a. All books, accounts and records of the division, relating to the
37 state lottery, shall be kept by fiscal years beginning on the first day
38 of [April] May and ending on the [thirty-first] thirtieth day of [March]
39 April next following. The division shall separately identify the actual
40 sales receipts, prizes, appropriations and expenditures for advertising
41 and promotions, reserves and the interest thereon by type by game, and
42 the source and use of unclaimed prize funds by type by game on an
43 accrual and cash basis where both are available and on an accrual or
44 cash basis where both are not available.
45 § 25. Section 17.03 of the parks, recreation and historic preservation
46 law is amended to read as follows:
47 § 17.03 Allocation of monies. The monies received by the state from
48 the sale of bonds sold pursuant to the outdoor recreation development
49 bond act shall be expended pursuant to appropriations for (1) marine,
50 (2) park, (3) historic site and (4) forest recreation projects, and for
51 (5) municipal park projects in New York city and (6) municipal park
52 projects outside New York City. The director of the budget shall certify
53 to the state comptroller on the first day of [April] May of each year
54 that portion of the outdoor recreation development bond act authori-
55 zation estimated to be expended in the ensuing fiscal year for each of
56 the above purposes in fulfillment of capital construction development
S. 2 14
1 appropriations, and proceeds of the sale of outdoor recreation develop-
2 ment bonds shall be so allocated. Such certification may be amended from
3 time to time by the director of the budget. The director of the budget
4 shall file a copy of such certificate and each amendment thereof with
5 the [chairman] chair of the senate finance committee, and the [chairman]
6 chair of the assembly ways and means committee.
7 § 26. Subdivision 1 of section 27.15 of the parks, recreation and
8 historic preservation law, as amended by chapter 400 of the laws of
9 1973, is amended to read as follows:
10 1. Every county, city, town or village enforcing the provisions of
11 this chapter relating to snowmobiles shall be entitled to receive state
12 aid as hereinafter provided. A county, city, town or village seeking
13 reimbursement for expenditures incurred in enforcement of this article,
14 including expenditures incurred for signs and markers therefor, shall
15 submit to the commissioner by January first of each year an estimate of
16 such expenditures for the current fiscal year, in such form and contain-
17 ing such information as the commissioner may require. Within one month
18 after the close of the fiscal year, each such county, city, town or
19 village shall submit to the commissioner a statement of authorized
20 expenditures actually incurred, in such form and containing such infor-
21 mation as he may require. For the purpose of this section, "fiscal year"
22 shall mean the period from [April] May first through [March thirty-
23 first] April thirtieth.
24 § 27. Subdivision 3 of section 27.17 of the parks, recreation and
25 historic preservation law, as amended by section 2 of part G of chapter
26 82 of the laws of 2002, is amended to read as follows:
27 3. Every county or, where applicable, any city, town or village within
28 such county, shall be eligible for a grant for the development and main-
29 tenance of a system of snowmobile trails and a program with relation
30 thereto within its boundaries. Such grants shall be made by the commis-
31 sioner and may constitute up to one hundred percent of the cost of such
32 program including expenditures incurred for signs and markers of snowmo-
33 bile trails. Any county or, where applicable, any city, town or village
34 within such county, applying for such grant shall submit to the commis-
35 sioner by September first of each year an estimate of such expenditures
36 for the current fiscal year, in such form and containing such informa-
37 tion as the commissioner may require. No city, town or village may
38 apply for such grant where the county within which it is contained has
39 submitted an application for the same fiscal year. For the purpose of
40 this section, "fiscal year" shall mean the period from [April] May first
41 through [March thirty-first] April thirtieth. The commissioner shall
42 review all such applications and shall determine the amount of state aid
43 to be allocated to each county or, where applicable, any city, town or
44 village within such county in accordance with the provisions of subdivi-
45 sion five of this section. Of the amount the commissioner determines
46 each county or, where applicable, any city, town or village within such
47 county is eligible to receive, seventy percent shall be made available
48 for distribution by November first and thirty percent for distribution
49 upon demonstration of completion, submitted by June first, of the
50 program.
51 § 28. Subdivision 3 of section 551 of the labor law, as added by chap-
52 ter 705 of the laws of 1944, is amended to read as follows:
53 3. Payment of administrative expenses. The total amount of expenses
54 incurred by the commissioner in connection with the administration of
55 this article and such proportion of the total expenses of maintaining
56 the public employment offices as established under this chapter and for
S. 2 15
1 the purposes of this article, as shall be determined to be necessary and
2 required by the provisions of this article and so certified by the
3 commissioner, shall, upon audit by the comptroller, be disbursed from
4 the unemployment administration fund. Annually, as soon as practicable
5 after [April] May first, the commissioner and the comptroller shall
6 ascertain the total amount of such expenses incurred during the preced-
7 ing fiscal year. An itemized statement of the total expenses so ascer-
8 tained shall be open to public inspection in the office of the commis-
9 sioner after notice in an official publication of the department. All
10 disbursements from such fund shall be made by the commissioner of taxa-
11 tion and finance on the warrant of the comptroller.
12 § 29. Subdivision d of section 16-a of the retirement and social secu-
13 rity law, as added by chapter 33 of the laws of 1986, is amended to read
14 as follows:
15 d. On or before October fifteenth of nineteen hundred eighty-six and
16 each succeeding year during the amortization period, the comptroller
17 shall file with the director of the budget an estimate of the amount of
18 the annual payment required to be made pursuant to this section in the
19 state fiscal year beginning the first day of [April] May next succeeding
20 such October fifteenth.
21 § 30. Subdivision a of section 316 of the retirement and social secu-
22 rity law, as amended by chapter 33 of the laws of 1986, is amended to
23 read as follows:
24 a. Upon the basis of each annual actuarial valuation and appraisal
25 provided for in this article, the comptroller, on or before the
26 fifteenth day of October of each year, shall prepare and file with the
27 director of the budget an itemized estimate of the amounts necessary to
28 be appropriated by the state to the pension accumulation fund and the
29 New York state public employees group life insurance plan, as appropri-
30 ate. Such itemized estimate may be revised on or before December thirti-
31 eth of each such year. Such amounts shall be sufficient to provide for
32 payment in full for (i) the succeeding fiscal year of all estimated
33 obligations of the state to the [policemen's and firemen's] New York
34 state and local police and fire retirement system; and (ii) any actual
35 obligations of the state to such retirement system, remaining unpaid,
36 plus interest on such amount, for the fiscal year ending on the [March
37 thirty-first] April thirtieth preceding such date; provided, however,
38 that such estimate of actual obligations shall be made commencing with
39 the filings due on October fifteenth, [nineteen hundred eighty-seven]
40 two thousand six and thereafter. If, as a result of the estimate
41 required to be made pursuant to clause (i) of the preceding sentence,
42 the state overpaid its actual obligation to the retirement system in any
43 year, the amount estimated in the filing required by this subdivision
44 next succeeding such overpayment shall reflect the amount of such over-
45 payment, plus interest on such amount, as a reduction in amounts that
46 would otherwise be estimated to be due the retirement system from the
47 state. An item of appropriation which shall be sufficient to provide for
48 such obligations shall be included in the next annual appropriation bill
49 when it is presented to the legislature for passage. The amounts so
50 appropriated or so much thereof as may be required shall be paid from
51 the state treasury on warrant of the comptroller into the pension accu-
52 mulation fund and the New York state public employees group life insur-
53 ance plan, as appropriate, on March first of each state fiscal year. For
54 the purposes of this section, interest shall mean the rate or rates of
55 interest used in the actuarial valuations covering the period of time
56 over which such interest is computed.
S. 2 16
1 § 31. Subdivision d of section 316-a of the retirement and social
2 security law, as added by chapter 33 of the laws of 1986, is amended to
3 read as follows:
4 d. On or before October fifteenth of [nineteen hundred eighty-six] two
5 thousand six and each succeeding year during the amortization period,
6 the comptroller shall file with the director of the budget an estimate
7 of the amount of the annual payment required to be made pursuant to this
8 section in the state fiscal year beginning the first day of [April] May
9 next succeeding such October fifteenth.
10 § 32. The legislative law is amended by adding a new article 4-B to
11 read as follows:
12 ARTICLE 4-B
13 NEW YORK STATE INDEPENDENT BUDGET OFFICE
14 Section 75. Powers and duties of the New York state independent budget
15 office.
16 76. Director of the New York state independent budget office.
17 § 75. Powers and duties of the New York state independent budget
18 office. There shall hereby be established a New York state independent
19 budget office. 1. It shall be the duty of the New York state independent
20 budget office to provide the members and committees of the legislature
21 with information which will assist such officials and bodies in the
22 discharge of their responsibilities which are related to the budgetary
23 process including:
24 (a) information with respect to the budget, appropriations bills and
25 proposed laws with fiscal implications;
26 (b) information with respect to estimated revenues and receipts, and
27 changing revenue conditions; and
28 (c) to the extent practicable, such other information or analyses as
29 may be requested by such officials and bodies.
30 Requests made by the speaker of the assembly, the temporary president
31 of the senate, the chair of the assembly ways and means committee and
32 the chair of the senate finance committee regarding the budget, revenues
33 and expenditures shall receive priority attention.
34 2. The independent budget office may complete a fiscal impact state-
35 ment:
36 (a) for any bill at the request of the speaker of the assembly or the
37 temporary president of the senate; and
38 (b) at the request of committee chairs for any bill referred to their
39 respective committees. Fiscal impact statements shall estimate the
40 impact on state revenues or expenditures.
41 3. The independent budget office may publish a report with respect to
42 the expected levels of state revenues by the first day of January, the
43 first day of April, the first day of July and the first day of October
44 of each year.
45 4. The independent budget office may prepare an economic and revenue
46 forecast in time for its review by the conveners of the consensus
47 economic and revenue forecasting conference in the month of March of
48 each year.
49 5. The independent budget office may publish by December first of each
50 year a report analyzing the fiscal outlook of the state for the next
51 three years.
52 6. The independent budget office may, from time to time, publish such
53 reports as may be appropriate to enhance the official and public under-
54 standing of the budgetary process and of the budget documents.
S. 2 17
1 7. All studies and reports prepared by the independent budget office
2 shall be made available to the public and shall also be made available
3 by electronic means over the internet.
4 § 76. Director of the New York state independent budget office. 1. The
5 New York state independent budget office shall be headed by a director
6 who shall be jointly appointed by the speaker of the assembly and the
7 temporary president of the senate.
8 2. (a) There shall be an independent budget office advisory committee
9 consisting of (i) one person appointed by each of the following offi-
10 cials and who shall serve at the pleasure of such officials; the chair
11 and ranking member of the assembly ways and means committee and the
12 chair and ranking member of the senate finance committee, and (ii) six
13 other members jointly appointed by the speaker of the assembly and the
14 temporary president of the senate, who shall serve for two year terms.
15 The members shall all be individuals with extensive experience and know-
16 ledge in the fields of finance, economics, accounting, public adminis-
17 tration and public policy analysis including at least one nationally
18 recognized expert in the fields of budget theory and the budget process;
19 one dean or director or former dean or director of a graduate school of
20 business administration located in New York state; one officer or former
21 officer or economic advisor of a labor union; one officer or former
22 officer or economic advisor to a business corporation; and one officer
23 or former officer of a civic or public interest advocacy organization
24 involved in budget matters.
25 (b) The independent budget office advisory committee may assist in the
26 development of guidelines for the best practices of the independent
27 budget office. The independent budget office advisory committee shall
28 meet annually. In the event of a vacancy, the committee shall provide
29 to the speaker of the assembly and the temporary president of the senate
30 a list of qualified candidates for the position of director.
31 (c) Members of the advisory committee shall receive no compensation
32 but shall be reimbursed for reasonable expenses incurred in connection
33 with their duties.
34 3. The director of the independent budget office shall be appointed
35 without regard to political affiliation and solely on the basis of
36 fitness to perform the duties assigned by this article. The initial term
37 of office of the first director shall be three years commencing on Janu-
38 ary first, two thousand six, and the subsequent terms of office there-
39 after shall be for two years commencing January first, two thousand
40 nine. Any individual appointed to fill a vacancy prior to the expira-
41 tion of a term shall serve only for the unexpired portion of such term.
42 An individual serving as director at the expiration of the term may
43 continue to serve until a successor is appointed.
44 4. The director of the independent budget office shall appoint such
45 personnel and procure the services of such experts and consultants,
46 within the appropriations available therefor, as may be necessary for
47 such director to carry out the duties and functions assigned pursuant to
48 this article. Such personnel and experts shall perform such duties as
49 may be assigned to them by the director.
50 5. The director of the independent budget office shall be authorized
51 to secure such information, data, estimates and statistics directly from
52 the agencies of the state as the director determines to be necessary for
53 the performance of the functions and duties of the independent budget
54 office, and such agencies shall provide such information in a timely
55 fashion. Such director shall not be entitled to obtain records which are
S. 2 18
1 protected by the privileges for attorney-client communications, attorney
2 work product and material prepared for litigation.
3 § 33. Section 22 of the state finance law is amended by adding a new
4 subdivision 16 to read as follows:
5 16. a. With respect to appropriations for any information technology
6 project involving one or more contracts and totalling five million
7 dollars or more proposed for funding in the budget submitted annually by
8 the governor to the legislature, the amount requested to fund each such
9 project shall be set forth as a separate item of appropriation.
10 Notwithstanding any provision of law to the contrary, such appropriation
11 or a portion thereof shall be made available only upon the submission to
12 the director of the budget, the chair of the senate finance committee
13 and the chair of the assembly ways and means committee, of a project
14 design, development and implementation plan prepared by the commissioner
15 of the lead agency for the project. Such plan shall include, but not be
16 limited to, a schedule for the design, development and implementation of
17 the project that identifies functional design components, specifica-
18 tions, and requirements, key milestones, timetable, the estimated cost
19 of each phase of the project and weighs the appropriateness of discrete
20 technical and functional project components. The plan shall document the
21 rationale for project scope and method of procurement, including whether
22 the project will be procured as a single contract or as separate
23 contracts of discrete technical and functional components. Any expendi-
24 ture made pursuant to such appropriation shall be in accordance with
25 such plan.
26 b. Within thirty days following the submission of the budget by the
27 governor for each fiscal year, beginning with the two thousand six--two
28 thousand seven fiscal year, the director of the budget shall transmit to
29 the chairs of the senate finance committee and the assembly ways and
30 means committee a report which includes project specific information for
31 the proposed appropriations identified in paragraph a of this subdivi-
32 sion and any other projects which appear as separate items of appropri-
33 ation. Such report shall set forth:
34 (1) existing or anticipated contracts, including the agency or agen-
35 cies which let or anticipate letting such contracts;
36 (2) vendor name when available;
37 (3) a description of the project and contract purpose in less than
38 thirty words;
39 (4) whether such contracts are or are anticipated to be centralized
40 contracts;
41 (5) anticipated lifetime contract costs, broken down by fiscal year;
42 (6) contract amendments and/or change orders for the current fiscal
43 year, including value if any and reasons therefor;
44 (7) the estimated date of contract completion, including annual time-
45 table for a multi-year contract and any change in such timetable since
46 the previous report and the reasons therefor;
47 (8) the total of all expenditures on such specific contracts made
48 prior to the then current fiscal year, including all agencies which have
49 incurred such costs including when expenditures are made off of a
50 centralized contract;
51 (9) the total amount of expenditures on such specific contracts esti-
52 mated to be made during the then current fiscal year and during each of
53 the next ensuing five fiscal years for multi-year contracts, including
54 all agencies which have incurred such costs including when expenditures
55 are made off of a centralized contract;
S. 2 19
1 (10) whether such project is financed by the issuance of certificates
2 of participation or similar instruments and the associated costs related
3 thereto; and
4 (11) such other information as necessary to fully describe the state
5 obligation with regard to such specific or anticipated contracts.
6 § 34. The state finance law is amended by adding a new section 2-b to
7 read as follows:
8 § 2-b. Additional definition. As used in subdivision sixteen of
9 section twenty-two of this chapter, the term "information technology"
10 shall mean a good, service or good and service that results in a
11 digital, electronic or similar technical method of achieving a practical
12 purpose or in improvements in productivity, including but not limited to
13 information management, equipment, software, operating systems, inter-
14 face systems, interconnected systems, telecommunications, data manage-
15 ment, networks, and network management, consulting, supplies, facili-
16 ties, maintenance and training.
17 § 35. Section 23 of the state finance law is amended by adding a new
18 subdivision 7 to read as follows:
19 7. Revision of information. Information required by subdivisions one,
20 three, seven, ten, eleven, twelve, and thirteen of section twenty-two of
21 this article shall be revised to reflect legislative action on the exec-
22 utive budget and on the contingency budget and shall be presented to the
23 legislature and the public within thirty days of final legislative
24 action on appropriation bills, not including any deficiency bill.
25 § 36. Subdivisions 3 and 4 of section 92 of the state finance law, as
26 separately amended by chapters 405 and 957 of the laws of 1981, are
27 amended to read as follows:
28 3. At the close of each fiscal year any cash surplus remaining in the
29 general fund over and above the norm for such fiscal year shall be
30 transferred from or retained in such fund as hereinafter in this subdi-
31 vision provided. There shall be transferred to the tax stabilization
32 reserve fund all of such surplus moneys, up to and including an amount
33 equivalent to two-tenths of one per centum of such norm, unless such
34 transfer would increase such reserve fund to an amount in excess of
35 [two] three per centum of the amount of the norm for such fiscal year,
36 in which event such transfer shall be limited to such amount as will
37 increase such reserve fund to such [two] three per centum limitation.
38 Any balance of such surplus moneys, thereafter remaining in the general
39 fund, shall be retained in such fund and be available for the reduction
40 of state taxes.
41 4. In the event that at the close of any fiscal year the receipts
42 derived from the taxes, fees and other sources, required to be paid
43 during such fiscal year into the general fund of the state shall fall
44 below the norm for such fiscal year, there shall be transferred from the
45 tax stabilization reserve fund to the general fund to the extent that
46 there are sufficient moneys in the tax stabilization reserve fund, an
47 amount equal to the difference between the norm and the amount of such
48 receipts. If such transfer reduces the tax stabilization reserve fund to
49 an amount less than [two] three per centum of the norm for such fiscal
50 year, the amount so transferred shall be repaid in cash prior to the
51 computation and payment of any transfer to the fund pursuant to subdivi-
52 sion three of this section in not less than three equal annual install-
53 ments within the period of six years or less next succeeding the date of
54 such transfer; provided, however, that if any such annual installment
55 shall increase such reserve fund to an amount in excess of [two] three
56 per centum of the amount of the norm for the then current fiscal year,
S. 2 20
1 such installment shall be limited to such amount as will increase such
2 reserve fund to such [two] three per centum limitation and no further
3 repayment of the whole or any part of such transfer shall be required in
4 any subsequent fiscal year. Repayments to the tax stabilization reserve
5 fund shall be stipulated in annual budget bills.
6 § 37. The state finance law is amended by adding a new section 92-dd
7 to read as follows:
8 § 92-dd. Fiscal stabilization reserve fund. 1. There is hereby estab-
9 lished in the state treasury a fund to be known as the fiscal stabiliza-
10 tion reserve fund. Such fund shall consist of moneys deposited therein
11 and monies shall be withdrawn from such fund only for the purposes as
12 provided therein.
13 2. For each fiscal year commencing on or after April first, two thou-
14 sand six, an amount shall be transferred from the general fund and
15 deposited in the fiscal stabilization reserve fund which shall be calcu-
16 lated as two-tenths of one per centum of all moneys deposited into the
17 state treasury excluding federal funds, fiduciary funds and bond
18 proceeds, during the immediately preceding fiscal year reduced by the
19 amount that the sum of the balance of the fund at the beginning of the
20 fiscal year and two-tenths of one per centum of all the moneys deposited
21 into the state treasury during the immediately preceding fiscal year
22 exceeds three per centum of the moneys deposited in the state treasury
23 excluding federal funds, fiduciary funds and bond proceeds deposited
24 into the state treasury during the immediately preceding fiscal year.
25 3. Moneys available in the fiscal stabilization reserve fund shall be
26 withdrawn from the fund and transferred to the general fund in any
27 subsequent fiscal year for the payment of education aid to school
28 districts and boards of cooperative educational services during the
29 first two months of the state fiscal year for each year beginning on or
30 after May first, two thousand seven and for other purposes in the amount
31 jointly certified as necessary by the governor, the temporary president
32 of the senate and speaker of the assembly, provided that the amount
33 transferred shall not exceed the amount of moneys available in the
34 fiscal stabilization reserve fund. Any transfers from the fund for the
35 payment of education aid to school districts and boards of cooperative
36 education shall be repaid in the subsequent fiscal year. If an addi-
37 tional transfer reduces the fiscal stabilization reserve fund to an
38 amount less than three per centum of the moneys deposited in the state
39 treasury excluding federal funds, fiduciary funds and bond proceeds for
40 such fiscal year, the amount so transferred shall be repaid in cash
41 prior to the computation and payment of any transfer to the fund in not
42 less than three equal annual installments within the period of six years
43 or less next succeeding the date of such transfer; provided, however,
44 that if any such annual installment shall increase such reserve fund to
45 an amount in excess of three per centum of the amount of the moneys
46 deposited in the state treasury excluding federal funds, fiduciary funds
47 and bond proceeds for the then current fiscal year, such installment
48 shall be limited to such amount as will increase such reserve fund to
49 such three per centum limitation and no further repayment of the whole
50 or any part of such transfer shall be required in any subsequent fiscal
51 year.
52 § 38. Section 22 of the state finance law is amended by adding two new
53 subdivisions 14 and 15 to read as follows:
54 14. (a) Include a current services estimate projecting the cost of
55 continuing levels of activities and programs authorized for the current
S. 2 21
1 state fiscal year as well as provisions of law scheduled to take effect
2 through the conclusion of the ensuing state fiscal year.
3 Calculation of current services projections shall include, but not be
4 limited to, the following elements:
5 (1) Adjustments for authorized interchanges, transfers and deficien-
6 cies;
7 (2) Adjustments for annualization, or the full year cost of implement-
8 ing current state fiscal year budget actions, especially new initiatives
9 which received partial year funding;
10 (3) Elimination of non-recurring costs;
11 (4) Adjustments for inflation costs associated with meeting nonper-
12 sonal service expenditures;
13 (5) Adjustments for negotiated personal service contractual agreements
14 and related fringe benefit costs; and
15 (6) Adjustments for currently enacted statutory changes scheduled to
16 take effect in the current or ensuing state fiscal year, entitlement
17 growth, and population driven service delivery growth.
18 (b) Current service projections shall be presented in a standardized
19 tabular format showing a comparison with current year appropriations,
20 current year adjusted appropriations and appropriations recommended by
21 the governor for the following state fiscal year. These comparisons
22 shall be made at the following level of detail, where applicable, and in
23 the following order:
24 (1) Program;
25 (2) Purpose which shall include state operations, local assistance,
26 and capital projects;
27 (3) Fund type which shall include general fund, special revenue -
28 other funds, capital project funds, debt service funds and federal
29 funds; and
30 (4) Object level which shall include personal service, nonpersonal
31 service, and maintenance undistributed.
32 (c) Accompanying the standardized tabular comparison shall be a brief
33 narrative description of the effects of the governor's recommended
34 appropriations on the current services estimate.
35 15. Include a contingency budget estimate projecting the cost of
36 activities and programs authorized during the current fiscal year.
37 Calculation of a contingency budget shall include, but not be limited
38 to:
39 (a) Level of appropriations and reappropriations enacted during the
40 current fiscal year;
41 (b) Level of disbursements authorized during the current fiscal year;
42 (c) Adjustments for related statutory spending and revenue provisions
43 which would remain in effect;
44 (d) Adjustments for exceptions to contingency limits provided for in
45 subdivision three of section twenty-four-a of this article.
46 § 39. This act shall take effect immediately, provided, however, that:
47 1. Sections one through thirty-five and section thirty-eight of this
48 act shall take effect on the same date as amendments made by a concur-
49 rent resolution entitled a "Concurrent Resolution of the Senate and
50 Assembly proposing amendments to articles IV and VII of the state
51 constitution in relation to the submission of the budget to the legisla-
52 ture by the governor", take effect; and
53 2. Sections thirty-six and thirty-seven of this act shall take effect
54 three years after the date on which it shall have become a law;
55 provided, however, that in the event that a concurrent resolution enti-
56 tled "Concurrent Resolution of the Senate and Assembly proposing amend-
S. 2 22
1 ments to articles IV and VII of the constitution, in relation to the
2 submission of the budget to the legislature by the governor" fails to
3 become a part of the constitution pursuant to the provisions of section
4 1 of article XIX of the constitution then this act shall not take effect
5 and the amendments to subdivisions 3 and 4 of section 92 of the state
6 finance law made by section thirty-six of this act and section 92-dd of
7 the state finance law as added by section thirty-seven of this act shall
8 be deemed repealed.