BILL NUMBER:S3728

TITLE OF BILL:
An act
to amend the executive law, in relation to raising the level of claims
for which proof of financial difficulty is not required

PURPOSE:
To raise the threshold amount for claims for compensation for
crime related losses, for which the Crime Victims Board must
determine that the claimant will suffer financial difficulty unless
the claim is approved, from $5,000 to $6,000.

SUMMARY OF PROVISIONS:
Section 631(6) (a) of the Executive Law is
amended to state that no finding of financial difficulty is required
for a claim for an emergency award or an award less than $6,000.

EFFECT ON EXISTING LAW:
Current law states that no finding of
financial difficulty is required for a claim for an emergency award
or an award less than $5,000.

JUSTIFICATION:
Under current law, any compensation to a victim which
approaches the maximum threshold award of $5,000 must be investigated
              

to determine whether, but for the award, the claimant would suffer
financial difficulty.
According to Crime victims Board statistics, only 1 or 2 claims are
denied annually for failure to establish financial difficulty. The
requirement of such a finding requires additional paperwork on the
part of the victim, places a greater burden on the family already
suffering as a result of the crime, and prolongs the reimbursement
process. In 1996, the Executive Law was amended to increase the
burial expenses for which the Crime Victims Board could provide
compensation to $6,000. In raising the maximum burial award, the
Legislature acknowledged the financial cost which can accrue to
families for burying homicide victims. As it now stands, every family
seeking the maximum compensation for burial expenses must show
financial difficulty simply because their claim exceeds $5,000. While
the increase proposed by this bill would apply to all claims filed
with the Board, it is anticipated that the greatest impact would be
in death claims for burial expenses. This bill eliminates the
additional paperwork and hassle to the families of victims by
creating parity between the burial expenses and the threshold for
providing compensation without a determination of financial difficulty.

LEGISLATIVE HISTORY:
03/14/07 REFERRED TO CRIME VICTIMS, CRIME AND CORRECTION
01/09/08 REFERRED TO CRIME VICTIMS, CRIME AND CORRECTION
04/07/09 REFERRED TO CRIME VICTIMS, CRIME AND CORRECTION
01/06/10 REFERRED TO CRIME VICTIMS, CRIME AND CORRECTION

FISCAL IMPLICATIONS:
Fiscal implications, if any, would be minimal. A
claimant would, at most, receive an award of an additional $1,000


before the need to determine financial difficulty would come into
play. When considered with the fact that only one or two claims are
annually denied for lack of showing of financial difficulty, it is
likely that this proposal would have no fiscal impact. The
administrative cost to the Board of having claims specialists compile
financial documentation in such claims would in all likelihood
surpass any increase in awards.

EFFECTIVE DATE:
This act shall take effect immediately and shall apply
to all claims pending before the board or submitted thereto on or
after its effective date.