Relates to debt payments for Rochester school facilities not affecting the city of Rochester's maintenance of effort requirements.

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S5630-2011 Actions

• Jan 4, 2012: REFERRED TO FINANCE
• Jun 11, 2011: COMMITTEE DISCHARGED AND COMMITTED TO RULES
• Jun 8, 2011: COMMITTEE DISCHARGED AND COMMITTED TO FINANCE
• Jun 8, 2011: REFERRED TO LOCAL GOVERNMENT

S5630-2011 Meetings

Finance: Jun 15, 2011

S5630-2011 Memo

BILL NUMBER:S5630          REVISED 06/08/11

TITLE OF BILL:
An act
to amend chapter 416 of the laws of 2007, establishing the
city of Rochester and the board of education of the city school district
of the city of Rochester school facilities modernization program act, in
relation to debt payments for such school facilities

PURPOSE:
To make it easier for the Rochester city School District to undertake
modernization of their school facilities.

SUMMARY OF PROVISIONS:
Section 5 of chapter 416 of the laws of 2007, establishing the city of
Rochester and the board of education of the city school district of
the city Rochester is amended as follows: All payments, including
lease payments and debt services on any bond, notes or other
obligations issued to finance project undertaken pursuant to this
act shall be considered debt service payments of the city school
districts for purpose of subparagraph (ii) of paragraph a of
subdivision 5-b of section 2576 of the education law in a manner
consistent with the legislative intent of such section

JUSTIFICATION:
The Rochester City School District cannot, by law, borrow money and,
therefore, relies on the City of Rochester to advance bonds for
annual construction and maintenance contracts. Due to confusion about
whether the advancement of bonds would increase the City of
Rochester's financial obligation to the RCSD under the 2007
Maintenance of Effort law. If not addressed, this uncertainty will
halt general maintenance of RCSD'S facilities making it unsafe for
children to attend school.
This legislation would clarify the 2007 Maintenance of Effort law.
Specifically, this bill will set forth in language from the New York
State Department of Education that bonded amounts for Rochester city
School District construction and/or modernization projects will not
be seen as an increase in the amount of money the city is required to
give the district under the MOE law. In short, this legislation will
provide the city of Rochester with the clarification needed from
NYSED to advance bonds to RCSD, thereby, allowing RCSD to move ahead
with necessary maintenance in an expeditious manner.

LEGISLATIVE HISTORY:
New Bill.

FISCAL IMPLICATIONS:
None.

EFFECTIVE DATE:
This act shall take effect immediately.

S5630-2011 Text

                      S T A T E   O F   N E W   Y O R K
  ________________________________________________________________________

                                    5630

                         2011-2012 Regular Sessions

                              I N  SENATE

                                June 8, 2011
                                 ___________

  Introduced  by  Sens. ROBACH, MAZIARZ -- read twice and ordered printed,
    and when printed to be committed to the Committee on Local Government

  AN ACT to amend chapter 416 of the laws of 2007, establishing  the  city
    of Rochester and the board of education of the city school district of
    the  city of Rochester school facilities modernization program act, in
    relation to debt payments for such school facilities

    THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
  BLY, DO ENACT AS FOLLOWS:


    Section 1.  Section 5 of chapter 416 of the laws of 2007, establishing
  the  city  of  Rochester  and  the board of education of the city school
  district of  the  city  of  Rochester  school  facilities  modernization
  program act, is amended to read as follows:

    S  5.  Comprehensive  school  facilities  modernization plan.   Before
  formal selection of the projects occurs, the RSC board shall  develop  a
  comprehensive  school  facilities  modernization  plan  recommending and
  outlining the projects it proposes to be potentially undertaken pursuant
  to this act.  Such plan shall include: (a) an estimate of total costs to
  be financed, proposed financing  plan,  proposed  method  of  financing,
  terms  and  conditions of the financing, estimated financing costs, and,
  if city general obligation bonds or notes are not proposed as the method
  of financing, a comparison of financing  costs  between  such  bonds  or
  notes  and  the  proposed method of financing.   ALL PAYMENTS, INCLUDING
  LEASE PAYMENTS AND DEBT SERVICE ON ANY BONDS, NOTES OR OTHER OBLIGATIONS
  ISSUED TO FINANCE PROJECTS UNDERTAKEN PURSUANT  TO  THIS  ACT  SHALL  BE
  CONSIDERED  DEBT  SERVICE  PAYMENTS  OF  THE  CITY  SCHOOL  DISTRICT FOR
  PURPOSES OF SUBPARAGRAPH (II) OF  PARAGRAPH  A  OF  SUBDIVISION  5-B  OF
  SECTION 2576 OF THE EDUCATION LAW IN A MANNER CONSISTENT WITH THE LEGIS-
  LATIVE INTENT OF SUCH SECTION. The plan should also address what specif-
  ic  options  would  be used to ensure that sufficient resources exist to
  cover the local share of any such project cost on an annual  basis;  (b)
  information  concerning  the  potential  persons  to  be involved in the

   EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                        [ ] is old law to be omitted.
                                                             LBD13010-01-1

 S. 5630                             2

  financing and such person's role and responsibilities; (c) estimates  on
  the  design,  reconstruction  and  rehabilitation  costs by project, any
  administrative costs for potential projects, and an outline of the time-
  frame  expected for completion of each potential project; (d) a detailed
  description of the request for proposals process and an outline  of  the
  criteria  to be used for selection of the program manager, the independ-
  ent compliance officer and all contractors; (e) any proposed  amendments
  to  the city school district's five year capital facilities plan submit-
  ted in accordance with subdivision 6 of section 3602  of  the  education
  law  and  the  regulations  of  the  commissioner; and (f) a preliminary
  diversity plan to develop diversity goals, including appropriate  commu-
  nity  input  and  public  discussion,  and develop strategies that would
  create and coordinate any efforts to ensure a more diverse workforce for
  the projects. The preliminary diversity plan should address accountabil-
  ity for attainment of the diversity  goals,  what  forms  of  monitoring
  would be used, and how such information would be publicly communicated.
    Prior  to  the  development  of  the  comprehensive  school facilities
  modernization plan, the RSC board shall hold as many public hearings  as
  may be necessary to ensure sufficient public input and allow for signif-
  icant  public  discussion on school building needs in such city, with at
  least one hearing to be held in each neighborhood  potentially  impacted
  by a proposed project.
    All  projects  proposed in the comprehensive school facilities modern-
  ization plan shall be included by the city school district as a  special
  section  of  the  district's  five-year  capital facilities plan that is
  required pursuant to subdivision 6 of section 3602 of the education  law
  and the regulations of the commissioner.
    The  [JSC] RSC board shall submit the components of such comprehensive
  plan outlined in subdivision (a) of this  section  to  the  comptroller,
  along  with  any other information requested by the comptroller, for his
  or her review and approval.
    S 2. This act shall take effect immediately.