Bill Text: NY A08401 | 2019-2020 | General Assembly | Introduced

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Bill Title: Establishes the state fiscal oversight commission to study fiscal issues in the city of New York; allows the commission to assume the day-to-day operations of a local entity if the entity is in severe fiscal distress.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2020-01-08 - referred to cities [A08401 Detail]

Download: New_York-2019-A08401-Introduced.html

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                STATE OF NEW YORK
        ________________________________________________________________________

                                          8401

                               2019-2020 Regular Sessions

                   IN ASSEMBLY

                                      June 15, 2019
                                       ___________

        Introduced  by  M. of A. FALL -- read once and referred to the Committee
          on Cities

        AN ACT to establish the  state  fiscal  oversight  commission  to  study
          fiscal issues in the city of New York

          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:

     1    Section 1. A state commission, to be known as the state  fiscal  over-
     2  sight  commission (hereinafter "commission"), is hereby created to study
     3  fiscal issues in the city of New York (hereinafter "city") including but
     4  not limited to:
     5    (a) the cost effectiveness of public-funded projects in the city;
     6    (b) a review of the city's local fiscal reports to identify and  solve
     7  any potential issues;
     8    (c)  the  use  of  loans  offered  by  the state to avoid default of a
     9  governmental entity of the city;
    10    (d) the approval and selling of bonds issued by the city or any of its
    11  political subdivisions for capital projects such as fire stations, water
    12  plants, and parks; and
    13    (e) any other area related to ensuring the fiscal health of  the  city
    14  as determined by the chairperson.
    15    §  2.  The  commission shall implement a plan whereby any governmental
    16  entity of the city that the commission determines is  in  severe  fiscal
    17  distress  shall  be  placed on a watch list. If such fiscal situation is
    18  not resolved in a reasonable period as determined  by  the  chairperson,
    19  the  commission  may assume and run such local entity's day-to-day oper-
    20  ations, including raising  taxes,  until  local  officials  resolve  the
    21  underlying crisis.
    22    §  3.  The  commission shall consist of six members to be appointed as
    23  follows: two shall be appointed by the governor; two shall be  appointed
    24  by the state comptroller; one shall be appointed by the temporary presi-
    25  dent  of  the  senate;  and one shall be appointed by the speaker of the

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD11945-02-9
        A. 8401                             2

     1  assembly. The members of the commission shall serve at the  pleasure  of
     2  the  official  making  the  appointment of such member. Vacancies in the
     3  membership of the commission shall be filled in the manner provided  for
     4  original appointments. Membership on the commission shall not constitute
     5  a  public  office.  A chairperson of the commission shall be selected by
     6  the governor from one of his or her two appointees.
     7    § 4. The members of the commission shall receive no  compensation  for
     8  their services, but shall be allowed their actual and necessary expenses
     9  incurred in the performance of their duties pursuant to this act.
    10    §  5.  The  commission  may  conduct  any hearings or take any written
    11  testimony as it deems necessary, and shall take all other  steps  neces-
    12  sary  to  provide  a  thorough  analysis  of  all  issues related to the
    13  provisions listed in section one of this act.
    14    § 6. The commission shall issue a report on its findings no later than
    15  December 31, 2020, and annually thereafter. The commission  shall  issue
    16  its  report  to  the governor, the state comptroller, the speaker of the
    17  assembly, and the temporary president of the senate.
    18    § 7. This act shall take effect immediately.