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

                                        5655--A

                              2011-2012 Regular Sessions

                                 I N  A S S E M B L Y

                                   February 24, 2011
                                      ___________

       Introduced by M. of A. MURRAY -- read once and referred to the Committee
         on  Education -- committee discharged, bill amended, ordered reprinted
         as amended and recommitted to said committee

       AN ACT in relation to establishing a reserve fund to  liquidate  certain
         serial  bonds  issued  to  the  Patchogue-Medford  union  free  school
         district

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

    1    Section  1. Notwithstanding the provisions of article 74 of the educa-
    2  tion law, the Patchogue-Medford union free  school  district  is  hereby
    3  authorized  to  establish  a reserve fund for the purpose of liquidating
    4  any serial bonds issued pursuant to chapter 109 of the laws of 2006.
    5    S 2. Notwithstanding any other provision of law, rule or regulation to
    6  the contrary, the  Patchogue-Medford  union  free  school  district  may
    7  transfer  monies  from  the  general fund of such school district to the
    8  reserve fund created by this act,  provided  however,  that  the  amount
    9  transferred  from the general fund shall not exceed the amount necessary
   10  to liquidate the serial bonds issued pursuant to chapter 109 of the laws
   11  of 2006.
   12    S 3.  The reserve fund authorized by this act shall not be established
   13  (a) until approved by a majority vote of the  qualified  voters  of  the
   14  district  voting  on  a  proposition  therefor submitted at a regular or
   15  special school district meeting and (b) unless the notice of such  meet-
   16  ing  shall  have  stated  that a proposition to establish a reserve fund
   17  would be so submitted, the purpose of  the  fund,  the  ultimate  amount
   18  thereof,  its probable term and the source from which the funds would be
   19  obtained. The proposition shall specify the purpose for which  the  fund
   20  is  established,  the  ultimate amount, the probable term and the source
   21  from which the funds are to be obtained. There shall be  paid  into  any
   22  such  fund  an  annual amount sufficient to meet the requirements of the
   23  proposition. In addition, the voters may from time to  time  direct  the
   24  school  authorities  to pay into such fund moneys derived from any other
   25  source.
   26    S 4. This act shall take effect immediately.

        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD04932-02-1