Bill Text: NY A00740 | 2011-2012 | General Assembly | Amended
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Enacts the "improper payments reporting and reduction act" to require state agencies to annually report on their improper payments and to seek to reduce or eliminate such payments.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2012-05-31 - held for consideration in governmental operations [A00740 Detail]
Download: New_York-2011-A00740-Amended.html
Bill Title: Enacts the "improper payments reporting and reduction act" to require state agencies to annually report on their improper payments and to seek to reduce or eliminate such payments.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2012-05-31 - held for consideration in governmental operations [A00740 Detail]
Download: New_York-2011-A00740-Amended.html
S T A T E O F N E W Y O R K
________________________________________________________________________
740--A
2011-2012 Regular Sessions
I N A S S E M B L Y
(PREFILED)
January 5, 2011
___________
Introduced by M. of A. KELLNER -- read once and referred to the Commit-
tee on Governmental Operations -- recommitted to the Committee on
Governmental Operations in accordance with Assembly Rule 3, sec. 2 --
committee discharged, bill amended, ordered reprinted as amended and
recommitted to said committee
AN ACT to amend the executive law, in relation to enacting the "improper
payments reporting and reduction act"
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
1 Section 1. The executive law is amended by adding a new article 4-B to
2 read as follows:
3 ARTICLE 4-B
4 IMPROPER PAYMENTS REPORTING AND REDUCTION ACT
5 SECTION 56. SHORT TITLE.
6 56-A. DEFINITIONS.
7 57. IDENTIFICATION OF SUSCEPTIBLE PROGRAMS AND ACTIVITIES.
8 57-A. ESTIMATION OF IMPROPER PAYMENTS.
9 57-B. REPORTS ON ACTIONS TO REDUCE IMPROPER PAYMENTS.
10 58. IMPROPER PAYMENT ESTIMATE GUIDANCE GROUP.
11 59. APPLICATION OF ARTICLE.
12 S 56. SHORT TITLE. THIS ARTICLE SHALL BE KNOWN AND MAY BE CITED AS THE
13 "IMPROPER PAYMENTS REPORTING AND REDUCTION ACT".
14 S 56-A. DEFINITIONS. AS USED IN THIS ARTICLE, THE FOLLOWING TERMS
15 SHALL MEAN:
16 1. "AGENCY" MEANS ANY EXECUTIVE BRANCH AGENCY, DEPARTMENT, DIVISION,
17 OFFICE, BOARD, COMMISSION, PUBLIC AUTHORITY (OTHER THAN A MULTI-STATE OR
18 MULTI-NATIONAL AUTHORITY) OR PUBLIC BENEFIT CORPORATION, WITH AN ANNUAL
19 BUDGET OF AT LEAST TWENTY MILLION DOLLARS, THE HEAD OF WHICH IS
20 APPOINTED BY THE GOVERNOR.
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD00681-03-2
A. 740--A 2
1 2. "IMPROPER PAYMENT" MEANS ANY PAYMENT THAT SHOULD NOT HAVE BEEN MADE
2 OR THAT WAS MADE IN AN INCORRECT AMOUNT, INCLUDING OVERPAYMENTS AND
3 UNDERPAYMENTS, WHETHER UNDER STATUTORY, CONTRACTUAL, ADMINISTRATIVE OR
4 OTHER LEGALLY APPLICABLE REQUIREMENTS. SUCH TERM SHALL INCLUDE, BUT NOT
5 BE LIMITED TO, ANY PAYMENT TO AN INELIGIBLE RECIPIENT, ANY PAYMENT FOR
6 AN INELIGIBLE SERVICE, ANY DUPLICATE PAYMENT, PAYMENTS FOR SERVICES NOT
7 RECEIVED AND ANY PAYMENT THAT DOES NOT ACCOUNT FOR CREDIT FOR APPLICABLE
8 DISCOUNTS.
9 3. "PAYMENT" MEANS ANY PAYMENT, INCLUDING A COMMITMENT FOR FUTURE
10 PAYMENT, THAT IS MADE BY AN AGENCY, A STATE CONTRACTOR, OR A GOVERN-
11 MENTAL OR OTHER ORGANIZATION ADMINISTERING A STATE PROGRAM OR ACTIVITY,
12 AND WHICH DERIVED FROM STATE FUNDS OR OTHER STATE RESOURCES, OR THAT
13 WILL BE REIMBURSED FROM STATE FUNDS OR OTHER STATE RESOURCES.
14 S 57. IDENTIFICATION OF SUSCEPTIBLE PROGRAMS AND ACTIVITIES. THE HEAD
15 OF EACH AGENCY SHALL, IN ACCORDANCE WITH GUIDELINES PROMULGATED PURSUANT
16 TO SECTION FIFTY-EIGHT OF THIS ARTICLE, ANNUALLY REVIEW ALL PROGRAMS AND
17 ACTIVITIES THAT IT ADMINISTERS, AND IDENTIFY ALL SUCH PROGRAMS AND
18 ACTIVITIES THAT MAY BE SUSCEPTIBLE TO IMPROPER PAYMENTS.
19 S 57-A. ESTIMATION OF IMPROPER PAYMENTS. WITH RESPECT TO EACH PROGRAM
20 AND ACTIVITY IDENTIFIED IN SECTION FIFTY-SEVEN OF THIS ARTICLE, THE HEAD
21 OF THE AGENCY SHALL:
22 1. ESTIMATE THE ANNUAL AMOUNT OF IMPROPER PAYMENTS; AND
23 2. REPORT SUCH ESTIMATE TO THE PUBLIC, AND THE CHAIRS OF THE SENATE
24 FINANCE COMMITTEE AND THE ASSEMBLY WAYS AND MEANS COMMITTEE ON OR BEFORE
25 JANUARY FIRST OF THE SUCCEEDING CALENDAR YEAR, AND SHALL BE POSTED ON
26 THE AGENCY'S INTERNET WEBSITE AND ANY OTHER WEBSITE ESTABLISHED PURSUANT
27 TO SECTION FIFTY-EIGHT OF THIS ARTICLE.
28 ALL AGENCIES SHALL USE THE SAME METHOD OF REPORTING, AS PRESCRIBED BY
29 SECTION FIFTY-EIGHT OF THIS ARTICLE.
30 S 57-B. REPORTS ON ACTIONS TO REDUCE IMPROPER PAYMENTS. WITH RESPECT
31 TO ANY PROGRAM OR ACTIVITY OF AN AGENCY WITH IDENTIFIED IMPROPER
32 PAYMENTS PURSUANT TO SECTION FIFTY-SEVEN OF THIS ARTICLE, THE HEAD OF
33 THE AGENCY SHALL INCLUDE WITH THE ESTIMATE PURSUANT TO SECTION
34 FIFTY-SEVEN-A OF THIS ARTICLE A REPORT ON WHAT ACTIONS THE AGENCY IS
35 TAKING TO REDUCE THE IMPROPER PAYMENTS, INCLUDING:
36 1. A DISCUSSION OF THE CAUSES OF THE IMPROPER PAYMENTS IDENTIFIED,
37 ACTIONS TAKEN TO CORRECT THOSE CAUSES, AND RESULTS OF THE ACTIONS TAKEN
38 TO ADDRESS THOSE CAUSES;
39 2. A STATEMENT OF WHETHER THE AGENCY HAS THE INFORMATION SYSTEMS AND
40 OTHER INFRASTRUCTURE IT NEEDS IN ORDER TO REDUCE IMPROPER PAYMENTS TO
41 MINIMAL COST-EFFECTIVE LEVELS;
42 3. IF THE AGENCY DOES NOT HAVE SUCH SYSTEMS AND INFRASTRUCTURE, A
43 DESCRIPTION OF THE RESOURCES THE AGENCY HAS REQUESTED IN ITS BUDGET
44 SUBMISSION TO OBTAIN THE NECESSARY INFORMATION SYSTEMS AND INFRASTRUC-
45 TURE; AND
46 4. A DESCRIPTION OF THE STEPS THE AGENCY HAS TAKEN TO ENSURE THAT
47 AGENCY MANAGERS (INCLUDING THE AGENCY HEAD) ARE HELD ACCOUNTABLE FOR
48 REDUCING IMPROPER PAYMENTS.
49 S 58. IMPROPER PAYMENT ESTIMATE GUIDANCE GROUP. 1. THERE SHALL BE
50 ESTABLISHED, WITHIN THE EXECUTIVE BRANCH, THE IMPROPER PAYMENT ESTIMATE
51 GUIDANCE GROUP. SUCH GROUP SHALL BE COMPOSED OF THE DIRECTOR OF THE
52 BUDGET WHO SHALL CHAIR THE GROUP, THE STATE INSPECTOR GENERAL, THE
53 INSPECTOR GENERAL OF THE METROPOLITAN TRANSPORTATION AUTHORITY AND THE
54 WELFARE INSPECTOR GENERAL.
55 2. WITHIN ONE HUNDRED EIGHTY DAYS OF THE EFFECTIVE DATE OF THIS ARTI-
56 CLE, THE IMPROPER PAYMENT ESTIMATE GUIDANCE GROUP SHALL MEET AND, IN
A. 740--A 3
1 CONSULTATION WITH THE STATE COMPTROLLER, PRESCRIBE GUIDELINES FOR THE
2 IMPLEMENTATION OF THE PROVISIONS OF THIS ARTICLE. ALL AGENCIES SHALL
3 COOPERATE WITH SUCH GROUP TO ASSIST IT AS NECESSARY IN THE DEVELOPMENT
4 AND PROMULGATION OF GUIDELINES. THE GUIDELINES SHALL INCLUDE, BUT NOT BE
5 LIMITED TO:
6 A. THE MANNER IN WHICH AGENCIES SHALL REVIEW PROGRAMS AND ACTIVITIES,
7 AND IDENTIFY THOSE WHICH ARE SUSCEPTIBLE TO IMPROPER PAYMENTS;
8 B. THE MANNER IN WHICH AGENCIES SHALL CALCULATE STATISTICALLY VALID
9 ESTIMATES OF THE ANNUAL AMOUNT OF IMPROPER PAYMENTS IN PROGRAMS AND
10 ACTIVITIES;
11 C. THE MANNER IN WHICH AGENCIES SHALL IMPLEMENT PLANS TO REDUCE
12 IMPROPER PAYMENTS; AND
13 D. THE MANNER IN WHICH AGENCIES SHALL REPORT ESTIMATES OF THE ANNUAL
14 AMOUNT OF IMPROPER PAYMENTS IN PROGRAMS AND ACTIVITIES, AND PROGRESS IN
15 REDUCING THEM.
16 3. THE IMPROPER PAYMENT ESTIMATE GUIDANCE GROUP SHALL THEREAFTER MEET
17 AT ANY TIME AT THE CALL OF EITHER THE DIRECTOR OF THE BUDGET OR THE
18 STATE COMPTROLLER; PROVIDED THAT SUCH GROUP SHALL MEET NO FEWER THAN
19 ONCE EVERY FOUR YEARS TO REVIEW THE GUIDELINES.
20 S 59. APPLICATION OF ARTICLE. THE PROVISIONS OF THIS ARTICLE SHALL:
21 1. APPLY TO THE ADMINISTRATION OF PROGRAMS AND IMPROPER PAYMENTS MADE
22 IN STATE FISCAL YEARS COMMENCING ON OR AFTER APRIL FIRST, TWO THOUSAND
23 THIRTEEN; AND
24 2. REQUIRE THE INCLUSION OF THE ESTIMATES, REPORTED PURSUANT TO
25 SECTION FIFTY-SEVEN-A OF THIS ARTICLE, IN THE AGENCY BUDGET SUBMISSIONS
26 FOR STATE FISCAL YEARS COMMENCING ON OR AFTER APRIL FIRST, TWO THOUSAND
27 FOURTEEN.
28 S 2. This act shall take effect immediately.
