Requires the state to pay down the gap elimination adjustment in two years.
TITLE OF BILL: An act to amend the education law, in relation to requiring the state to pay down the gap elimination adjustment
Requires the state to pay down the gap elimination adjustment in three years.
SUMMARY OF PROVISIONS:
Section 1: Adds new paragraphs to subdivision 17 of section 3602 of the education law to require the phase out of the gap elimination adjustment in three years.
Section 2: Sets forth an effective date of July 1, 2014.
In 2010, the gap elimination adjustment (GEA) was introduced as a means to close a $10 billion state budget gap. The impact of the GEA on school districts was, and continues to be acute. The aggregate impact of the lost funding as a result of the GEA reaches nearly $8 billion. However, as the state's fiscal prospects improve efforts continue to be made to lessen the impact of the GEA. In the 2013-2014 Budget, the legislature increased the Executive's proposed GEA restoration from $321 million to $517.5 million, leaving a remaining gap of $1.64 billion. While districts are still facing financial hurdles, the state is diligently moving closer to closing the gap that necessitated the GEA. However, it is imperative that as the state's overall fiscal health improves, so must that of all school districts. Therefore, this bill would ensure that at the end of three years the GEA would be fully restored and phased out, providing much needed relief to all school districts.
2013: A similar provision was included in S.2607C of 2013; Passed Senate.
To be determined.
July 1, 2014.
STATE OF NEW YORK ________________________________________________________________________ 5452--A 2013-2014 Regular Sessions IN SENATE May 16, 2013 ___________Introduced by Sens. FLANAGAN, BOYLE, CARLUCCI, DeFRANCISCO, GRISANTI, KENNEDY, MARCHIONE, MARTINS, RANZENHOFER, RITCHIE, SEWARD, TKACZYK, VALESKY, YOUNG, ZELDIN -- read twice and ordered printed, and when printed to be committed to the Committee on Education -- recommitted to the Committee on Education in accordance with Senate Rule 6, sec. 8 -- reported favorably from said committee and committed to the Commit- tee on Finance -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee AN ACT to amend the education law, in relation to requiring the state to pay down the gap elimination adjustment THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Subdivision 17 of section 3602 of the education law is amended by adding three new paragraphs (g), (h) and (i) to read as follows: (G) NOTWITHSTANDING ANY OTHER LAW TO THE CONTRARY THE GAP ELIMINATION ADJUSTMENT FOR THE TWO THOUSAND FOURTEEN--TWO THOUSAND FIFTEEN SCHOOL YEAR SHALL EQUAL SIXTY-SIX PERCENT (0.66) OF THE GAP ELIMINATION ADJUST- MENT FOR SUCH DISTRICT FOR THE TWO THOUSAND THIRTEEN--TWO THOUSAND FOUR- TEEN SCHOOL YEAR. (H) NOTWITHSTANDING ANY OTHER LAW TO THE CONTRARY THE GAP ELIMINATION ADJUSTMENT FOR THE TWO THOUSAND FIFTEEN--TWO THOUSAND SIXTEEN SCHOOL YEAR SHALL EQUAL FIFTY PERCENT (0.50) OF THE GAP ELIMINATION ADJUSTMENT FOR SUCH DISTRICT FOR THE TWO THOUSAND FOURTEEN--TWO THOUSAND FIFTEEN SCHOOL YEAR. (I) NOTWITHSTANDING ANY OTHER LAW TO THE CONTRARY THE GAP ELIMINATION ADJUSTMENT FOR THE TWO THOUSAND SIXTEEN--TWO THOUSAND SEVENTEEN SCHOOL YEAR SHALL EQUAL ZERO. S 2. This act shall take effect July 1, 2014.EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD10529-03-4