Provides for the payment of capital construction aid by the education department to the Randolph Academy union free school district for a certain project; authorizes such school district to issue revenue anticipation notes in the interim.
Ayes (61): Adams, Addabbo, Alesi, Aubertine, Bonacic, Breslin, DeFrancisco, Diaz, Dilan, Duane, Espada, Farley, Flanagan, Foley, Fuschillo, Golden, Griffo, Hannon, Hassell-Thomps, Huntley, Johnson C, Johnson O, Klein, Krueger, Kruger, Lanza, Larkin, LaValle, Leibell, Libous, Little, Marcellino, Maziarz, McDonald, Montgomery, Nozzolio, Onorato, Oppenheimer, Padavan, Parker, Peralta, Perkins, Ranzenhofer, Robach, Saland, Sampson, Savino, Schneiderman, Serrano, Seward, Skelos, Smith, Squadron, Stachowski, Stavisky, Stewart-Cousins, Thompson, Valesky, Volker, Winner, Young
Excused (1): Morahan
BILL NUMBER: S5806C
TITLE OF BILL :
An act to authorize the education department to provide state capital construction aid to the Randolph Academy union free school district, and to authorize such school district to issue revenue anticipation notes
PURPOSE OR GENERAL IDEA OF BILL :
Provides for the payment of capital construction aid by the education department to the Randolph Academy union free school district for a certain project.
SUMMARY OF SPECIFIC PROVISIONS :
This bill relates to the apportionment of aid to the Randolph Academy union free school district pursuant to subdivision four of chapter five hundred sixty-six of the laws of nineteen hundred sixty-seven, and to authorize the issuance of revenue anticipation notes in anticipation of the receipt of state aid payments.
This measure will allow the Randolph Academy in Randolph, New York to issue revenue anticipation notes (RANs) to finance the repair and rehabilitation of roofs at this school, which provides intensive education services for special needs students.
Section 1. Establishes that the apportionment of aid for project 0002-005 - a roof construction project at the Randolph Academy union free school district shall be computed in accordance with and be deemed to be an eligible building project pursuant to such subdivision six-f of such section thirty-six hundred two of the education law.
Section 2. Directs that the Randolph Academy union free school district is authorized to issue revenue anticipation notes in anticipation of the receipt of state aid payments made or to be made pursuant to subdivision one of this act, in an amount not to exceed the approved cost of such project 0002-005.
The Randolph Academy Union Free School District is a "Special Act" public school districts, one of thirteen created by a "special act" of the legislature over a period of many years. The Randolph Academy is located in Randolph, New York, and was established to provide intensive quality education for special needs students. The school offers therapy, counseling, and behavior management as well as a full 12 month academic program for children who have had frequent encounters with the criminal justice, foster care and mental health systems and confront serious personal and family challenges. The Randolph Academy provides educational services to a number of day students from to 34 area school districts, as well as children in residences at the Randolph Children's Home located adjacent to the school.
Unlike other public school districts, Special Act school districts do not have the authority to issue bonds for capital renovations, nor do these districts have taxing authority. Special Act school districts are instead funded through a TUITION REIMBURSEMENT METHODOLOGY that by design provides reimbursements today at a rate designed for the cost of expenses two years ago; Funding options for capital construction are therefore very limited. The project at issue also does not meet the $6,000,000 threshold required for the Dormitory
Authority of the State of New York to issue Special Act district bonds.
This measure will assist the Randolph Academy in financing a specific project, an urgently needed roof repair/rehabilitation at the school, by allowing the school to receive building aid on actual costs rather than assumed amortization, and to issue revenue anticipation notes (RANs) based on the building aid to be generated by project 002-005. This bill ensures the health and safety of staff and students by providing the District with the resources necessary to replace an old and leaking roof.
PRIOR LEGISLATIVE HISTORY :
This is a new bill.
FISCAL IMPLICATIONS :
Total project cost is estimated to be $560,000. The total estimated cost to the state, per state aid formula would be $91,467.
EFFECTIVE DATE : This act shall take effect immediately.
STATE OF NEW YORK ________________________________________________________________________ 5806--C 2009-2010 Regular Sessions IN SENATE June 5, 2009 ___________Introduced by Sen. YOUNG -- read twice and ordered printed, and when printed to be committed to the Committee on Rules -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee -- recommitted to the Committee on Education in accordance with Senate Rule 6, sec. 8 -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said commit- tee -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee AN ACT to authorize the education department to provide state capital construction aid to the Randolph Academy union free school district, and to authorize such school district to issue revenue anticipation notes THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Notwithstanding any other provision of law to the contrary, for the apportionment of aid to the Randolph Academy union free school district pursuant to section 4 of chapter 566 of the laws of 1967, the apportionment for project 0002-005 shall be computed in accordance with subdivision 6-f of section 3602 of the education law, and such project shall be deemed to be an eligible building project pursuant to such subdivision, and approved expenditures incurred within a school year for such project shall be deemed to be base year capital outlays eligible for an apportionment pursuant to such subdivision, except that for the purpose of such computation an aid ratio of forty-nine percent (0.49) shall be used. S 2. Notwithstanding the provisions of section 25.00 of the local finance law, or any other provision of the local finance law or the education law to the contrary, the Randolph Academy union free school district is hereby authorized to issue revenue anticipation notes, and renewals thereof, during its fiscal years beginning July 1, 2010, July 1, 2011 and July 1, 2012, in anticipation of the receipt of the totalEXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD14232-06-0 S. 5806--C 2
state aid payments, tuition payments or other payments made or to be made to such district pursuant to section one of this act or otherwise in connection with or as a result of such project 0002-005. Such notes may be issued in an amount not to exceed the total cost of such project, as approved by the education department, regardless of the amount of any such stated revenues budgeted in a particular fiscal year of the school district, and may be renewed annually, in accordance with paragraph f of section 25.00 of the local finance law, but in no event shall such notes, or the renewals thereof, extend beyond June 30, 2013. The proceeds of any revenue anticipation notes authorized by this act shall be spent only for the approved costs of such project. S 3. This act shall take effect immediately.