Bill S5996-2013

Relates to providing additional funding to counties to cover the costs of unfunded state mandates

Provides additional funding to counties to cover the costs of unfunded state mandates; provides $20 per county resident in counties outside of New York city, increasing ten percent until 2024.

Details

Actions

  • Jan 8, 2014: REFERRED TO FINANCE
  • Nov 27, 2013: REFERRED TO FINANCE

Memo

BILL NUMBER:S5996

TITLE OF BILL: An act to amend the state finance law, in relation to providing additional funding to counties to cover the costs of unfunded state mandates; and providing for the repeal of such provisions upon expiration thereof

PURPOSE:

To provide counties funding for state laws, rules and regulations that require county action without providing funding for the actions.

SUMMARY OF PROVISIONS:

Section 1 titles this act as the "County Payment Relief."

Section 2 of this bill amends Article 4 of the State Finance Law by adding a new section 54-M. County payment relief to counties outside of New York City of twenty dollars per resident commencing in 2014 increased by ten percent each succeeding fiscal year until two thousand twenty-four. The County payment relief shall in addition to aid already provided. Counties are to utilize funds to pay for costs associated with currently unfunded mandates imposed by the state.

Section 3 provides that this section shall take effect April 1, 2014 and shall expire and be repealed after December 31, 2024.

JUSTIFICATION:

Dutchess County faces a $27 million budget gap. As a result, various taxes are being proposed and local municipalities are losing their share of sales tax from purchases that occur within their boundaries. The county is seeking to add these new taxes at a time when residents are getting even less services in return for those ever increasing taxes. Residents are fleeing and businesses are moving or starting in other states.

Dutchess County is not alone. Other counties around the state are running budget deficits and eight are currently considered as distressed by the Comptroller of the State of New York. State mandates are one reason for rising expenses in county budgets - though some counties have been able to meet these fiscal challenges and maintained balanced budgets despite these unfunded mandates. New York State has mandated hundreds of millions of actions to counties. County executives around the state are stating that 70 to 80 % of county budget is comprised on unfunded mandates.

These mandates have among other things led to high property taxes and driven jobs out of the state.

LEGISLATIVE HISTORY:

This is a new bill.

FISCAL IMPLICATIONS:

This bill would provide $20 per resident to counties outside of New York City to pay for unfunded mandates. The state would provide approximately $227 million from state general fund for use by counties outside of New York City. The payment created under this legislation would return some of the costs of mandated programs from counties to the state. The payment would provide counties with additional room for discretionary services that are requested by county residents.

EFFECTIVE DATE:

This section shall take effect April 1, 2014 and shall expire and be repealed after December 31, 2024.


Text

STATE OF NEW YORK ________________________________________________________________________ 5996 2013-2014 Regular Sessions IN SENATE November 27, 2013 ___________
Introduced by Sen. GIPSON -- read twice and ordered printed, and when printed to be committed to the Committee on Finance AN ACT to amend the state finance law, in relation to providing addi- tional funding to counties to cover the costs of unfunded state mandates; and providing for the repeal of such provisions upon expira- tion thereof THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. This act shall be known and may be cited as the "county payment relief act". S 2. The state finance law is amended by adding a new section 54-m to read as follows: S 54-M. COUNTY PAYMENT RELIEF. 1. THERE SHALL BE APPORTIONED AND PAID TO THE SEVERAL COUNTIES OUTSIDE THE CITY OF NEW YORK, FROM MONEYS APPRO- PRIATED, AN AMOUNT EQUAL TO TWENTY DOLLARS PER RESIDENT OF THE COUNTY AS DETERMINED BY THE MOST RECENT UNITED STATES CENSUS FOR THE STATE FISCAL YEAR TWO THOUSAND FOURTEEN. SUCH AMOUNT SHALL BE INCREASED BY TEN PERCENT IN EACH SUCCEEDING FISCAL YEAR OVER THE PRIOR YEAR UNTIL TWO THOUSAND TWENTY-FOUR. 2. THE COUNTY PAYMENT RELIEF SHALL BE PROVIDED IN ADDITION TO THE OTHER STATE AID ALREADY PROVIDED BY THIS CHAPTER AND OTHER ALREADY EXISTING AID TO COUNTIES. PAYMENTS MADE UNDER THIS SECTION SHALL NOT DECREASE THE AMOUNT OF AID PROVIDED UNDER OTHER PROVISIONS OF LAW. 3. COUNTIES SHALL UTILIZE FUNDS PROVIDED UNDER THIS SECTION TO PAY FOR COSTS ASSOCIATED WITH CURRENTLY UNFUNDED MANDATES IMPOSED BY THE STATE. 4. FOR PURPOSES OF THIS SECTION, AN UNFUNDED MANDATE MEANS ANY PROGRAM OR SERVICE REQUIREMENT IMPOSED ON A COUNTY BY THE STATE THROUGH STATUTE, REGULATION OR OTHER DIRECTIVE THAT HAS A DIRECT FINANCIAL IMPACT ON ANY COUNTY IN EXCESS OF TEN THOUSAND DOLLARS PER YEAR, OR ON TWO OR MORE COUNTIES IN EXCESS OF ONE HUNDRED THOUSAND DOLLARS. S 3. This act shall take effect April 1, 2014 and shall expire and be deemed repealed on and after December 31, 2024.

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