Bill Text: NY S02067 | 2019-2020 | General Assembly | Amended

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Authorizes school districts to establish an insurance reserve fund in an amount and manner determined by a qualified and independent actuary certified by the American Academy of Actuaries to be reasonable and necessary.

Spectrum: Partisan Bill (Republican 9-0)

Status: (Introduced - Dead) 2020-01-08 - REFERRED TO LOCAL GOVERNMENT [S02067 Detail]

Download: New_York-2019-S02067-Amended.html

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                STATE OF NEW YORK
        ________________________________________________________________________
                                         2067--A
                               2019-2020 Regular Sessions
                    IN SENATE
                                    January 22, 2019
                                       ___________
        Introduced  by  Sen.  JORDAN -- read twice and ordered printed, and when
          printed to be committed  to  the  Committee  on  Local  Government  --
          committee  discharged,  bill amended, ordered reprinted as amended and
          recommitted to said committee
        AN ACT to amend the general municipal law, in  relation  to  authorizing
          all school districts to establish reserve funds
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
     1    Section 1. Paragraph (a) of subdivision 2 of section 6-n of the gener-
     2  al municipal law, as separately amended by chapters 414 and 416  of  the
     3  laws of 2016, is amended to read as follows:
     4    (a)  The  governing board of any municipal corporation may establish a
     5  reserve fund to be  known  as  the  insurance  reserve  fund.  Upon  the
     6  creation  of  the  fund, the municipality may make expenditures from the
     7  fund for any loss, claim, action or judgment  for  which  the  municipal
     8  corporation is authorized or required to purchase or maintain insurance,
     9  except  those  kinds of risks for which insurance is authorized pursuant
    10  to paragraph one, two, three,  fifteen,  sixteen,  seventeen,  eighteen,
    11  twenty-two or twenty-three of subsection (a) of section one thousand one
    12  hundred  thirteen  of  the  insurance  law,  or  for payments in lieu of
    13  contributions under article eighteen of the labor law; provided however,
    14  that no municipality shall make an expenditure from such  fund  for  any
    15  loss,  claim, action or judgment for which the municipal corporation has
    16  established a reserve fund under any other provision of  law;  provided,
    17  further  that  [the  Scarsdale union free school district and the Vernon
    18  Verona Sherrill central school district may establish insurance  reserve
    19  funds  in  compliance  with this section and article seventy-four of the
    20  education law and the Minisink Valley central] any school  district  may
    21  establish  insurance  reserve  funds in compliance with this section and
    22  article seventy-four of the education  law,  in  an  amount  and  manner
    23  determined by a qualified and independent actuary certified by the Amer-
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD08480-02-9
        S. 2067--A                          2
     1  ican  Academy  of  Actuaries  to  be  reasonable and necessary, and such
     2  school districts may make expenditures in compliance with  this  section
     3  and article seventy-four of the education law from such reserve fund for
     4  any  loss,  claim, action or judgment for which the school districts are
     5  authorized or required to purchase or maintain insurance for  the  kinds
     6  of  risks  for which insurance is authorized pursuant to paragraph three
     7  of subsection (a) of section one thousand one hundred  thirteen  of  the
     8  insurance law.
     9    §  2.  This act shall take effect on the first of July next succeeding
    10  the date on which it shall have become a law.