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May 2002 Vol. XVI, No. 5                                               

STATE BUDGET APPROVED

The Legislature approved the 2002-03 state budget on Thursday, May 16, 2002, in an attempt to avoid the debacle of 2001 and to provide districts and school budget voters state education aid figures prior to the statewide vote date. More than $420 million in education aid was added to the Executive Budget including a $6 million restoration of the Governor’s Hurd Aid cut, restoration of BOCES Aid and Public and Private Excess Cost Aid, extension of Special Services Aid to non-components of BOCES including Albany CSD, Amsterdam CSD, Lackawanna CSD, Newburgh CSD and Troy CSD and a 1% supplement in Operating Aid for poorer districts as measured by the combined wealth ratio. 

 The following is a summary of highlights of the State Budget Appropriations Bill S.6255-C/A.9755-C for Education, Labor and Family Assistance 2002-2003 and the Article VII Bill S.6258-B/A.9760-B. Let us know if there are questions about any of these new provisions. 

S.6258-B/A.9760-B

Bill Section

Statute Section

Subject

Summary

PART H

§2

Education Law, §701, subd. 6

Textbook Aid

Decreases aid from $63.18 to $42.30

§3

Education Law, §751, subd. 4

Software Aid

Decreases the software factor from $23.90 to $14.98

§4

Education Law, §1608, subd. 7

Property Tax Report Card

Defines “percentage increase in consumer price index”

§5

Education Law, §1716, subd. 7

Property Tax Report Card

Defines “percentage increase in consumer price index”

§8

Education Law, §3602, subd 1, para y, subpara i

Public Excess Cost Aid Base

The base shall be 95% of 2001-2002 amount

§10

Education Law, §3602, subd. 6

Building Aid Apportionments

Provides that building aid for lease or other annual payments under §403-b  (leasing of school buildings) agreement, shall be based upon approved expenditures in the base year and that approved expenditures for capital outlays after July 1, 2002, not aidable under subd. 6-f shall be aidable as debt service under an assumed amortization

§12

Education Law, §3602, subd. 6, para e, subpara 3, clause c

Building Aid Definitions

Defines “state share of school construction project and the local share of school construction project”, “refinancing costs attributable to refinancing the state share of the school construction project for purposes of retroactive amortization”, “addition principle attributable to the refunding of bonds” and “additional principle attributable to the refunding of bonds to refinance the state share of school construction project for the purposes of retroactive amortization” among other things

§13

Education Law, §3602, subd. 6, para e, subpara 4

Building Aid Apportionments

Includes in definition of approved expenditures for non-amortized debt outstanding on 07-01-02 and lease-purchase payments for agreements expired on 07-01-02 debt service that would be incurred if amortized and the cost of refunding of bonds and the refinancing costs attributable to refinancing the state share plus the additional principal attributable to the refunding of bonds to refinance the state share

§17

Education Law, §3602, subd. 6

Assumed Amortization for Capital Outlays

Provides for assumed amortization for capital outlays for aid payable 2003-2004

§19

Education Law, §3602, subd. 6-f

Building Aid for Certain Projects for Capital Outlays

Provides building aid based upon base year expenditures for capital outlays for construction projects under $100,000 or for emergency projects or for small city school districts to avoid exceeding 95% of its constitutional debt limit

§20

Education Law, §3602, subd. 7, para c

Transportation Aid

Defines statewide median price for bus purchases and approvalable expenses

§24

Education Law, §3602, subd. 12, para e

Extraordinary Needs Aid

Extends option in 2002-2003 to receive current year or base year ENA aid

§27

Education Law, §3602, subd. 12-a, para a

Full Day Kindergarten Aid

For district with full day kindergarten programs starting in 2001-2002, which did not have an amount of aid displayed on executive budget run BT032-1, is eligible for aid under §3602, subd. 12 with modifications

§28

Education Law, §3602, subd. 12-b

Comprehensive Operating Aid

Districts are entitled to receive comprehensive operating aid in the amount set forth in the 2001-2002 SED run BT032-1 under the heading Flex Aid minus amounts payable in 2000-2001 under §3602, subds. 12 para e, 6-d, 19, 20, 22, 23, 32, 38 and §4405 and for districts with a combined wealth ratio less than one, such districts may receive 101% of such an amount; districts are not precluded from receiving ENA aid under §3602, subd. 12, para e (Subds. 12, para e is ENA aid; 6-d is building aid for structural inspections; 19 is public excess cost aid; 22 is LEP aid; 23 is gifted and talented program aid; 32 is ERSSA aid; 38 is operating standards aid; and §4405 is private excess cost aid); comprehensive operating aid is subds. 12, 16 or comprehensive operating aid plus tax equalization aid and tax effort aid

§29

Education Law, §3602, subd. 13

Growth Aid

For districts with growth indices over 1.04 provides payment of actual excess aid as if computed under §3602, subd. 12, para a

§32

Education Law, §3602, subd. 17, para a, subpara b, c

Special Services Aid

Extends such aid for school districts which are non-components of BOCES including Albany CSD, Troy CSD, Newburgh CSD, Amsterdam CSD, Lackawanna CSD

§33

Education Law, §3602, subd. 19, para l, subpara b, clause 1, subclause ii, iii

Public Excess Cost Aid

Extends such aid through 2002-2003

§34

Education Law, §3602, subd. 21, para c

Tax Limitation Aid

Limit statewide appropriation to the lesser of the actual calculation or $25 million

§35

Education Law, §3602, subd. 22, para a

LEP Aid

Extends such aid to 2002-2003

§36

Education Law, §3602, subd. 26, para a

Computer and Technology Aid

Decreases the technology factor from $32.35 to $19.25

§37

Education Law, §3602, subd. 31-a, para g

HURD Aid

Continues freeze on phase out of such aid at amount payable in base year

§38

Education Law, §3602, subd. 32, para 3, subpara a

ERSSA Aid

For districts with a combined wealth ratio less than .7 provides additional aid

§44

Education Law, §3602-e, subd. 17

Pre-kindergarten Aid

Provides for grant in amount shown on SED aid run BT032-1 plus supplemental amount

§55

Education Law, §3641, subd. 12

Capital Outlay transition Grants

Provides for such grants upon certification by the commissioner to the dormitory authority for outlays incurred 2001-2002, such grants to be in lieu of building aid, and provides for excess capital outlay transition grants in 2003-2004 for any such capital outlays not reimbursed in 2002-2003, and the dormitory authority shall pay such transition grants from bonds an notes issued under public authorities law, §1689-f

§55-a

Education Law, §4402, subd. 6

Special Education Class Size

Big-5 city school districts waiver of maximum class size is extended to 2002-2003

§56

Education Law, §4408, subd. 3

Private Excess Cost Aid Payment

Extends payments schedule for July/August program to 2002-2003

§57-a

Education Law, §4410, subd. 9, para a, subpara iii

Pre-School Children with Disabilities

Extends moratorium on new pre-school programs with disabilities to June 30, 2003 and sets deadline for commissioners evaluation report on December 1, 2003

§61

Public Authorities Law, §1678, subd. 24

Dormitory Authority Financing for School Districts

Adds authority to acquire bonds, notes and obligations of school districts etc., to powers of the dormitory authority

§62

Public Authorities Law, §1680, subd. 39

Dormitory Authority Financing for School Districts

Provides that leases between a school district and the dormitory authority are not subject to voter approval

§63

Public Authorities Law, §1689-a, subd. 2, para a

Dormitory Authority Service Contracts

Extends director of budget authority to enter into service contracts with the dormitory authority from 2002 to 2005

§64

Public Authorities Law, §1689-f

Dormitory Authority Financing for Capital Outlays by School Districts

Provides for financing of capital outlays by eligible school districts pursuant to education law, §3641, subd. 12 (capital outlay transition grant aid apportionment), bonds or notes not to exceed $140 million plus amounts for debt service reserve funds, fees, charges and other costs of issuance

§66

Public Authorities Law, §2431

Troy City School District

Provides for bonding of accumulated deficit

§67

Public Authorities Law, §2432, subds. 10, 5-a, 3, 2

Municipal Bond Bank Special Purpose Agreement and Special Deficit Program Agreement

Adds a special school deficit program to programs that may be financed by the municipal bond bank and includes any districts with prior year claims in excess of $1 million and any district that is designated a special school deficit program district under §2432

§68

Public Authorities Law, §2434, subds. 21, 18, 11, 3

See Above

 

§69

Public Authorities Law, §2435-e

Special School Purpose Agreements

Defines such agreements

§70

Public Authorities Law, §2435-e

Special School Deficit Program Agreements

Defines such agreements

§71

Public Authorities Law, §2436, subd. 5

Special School Deficit Program District Payment

Provides for state intercept of state aid to district failing to make payments hereunder

§72

Public Authorities Law, §2436-a

School Aid Revenues

Provides for certification of a schedule setting forth the amounts of school aid revenue necessary to pay special school purpose bond and deficit program obligation

§73

Public Authorities Law, §2437, subds. 5, 4, 1

Powers of Municipal Bond Bank

Adds necessary powers respecting special school purpose bonds and special school deficit program bonds

§74

Public Authorities Law, §2438

Bond Authorization

Specifies dollar limits on municipal bond bank bonds or school purpose bonds and special school deficit program bonds

§75

State Finance Law, §92-aa

Special School Purpose School Aid

Defines such aid

§86

 

Sherrill City School District

Provides for recoupment of aid overpayment

§91

 

Learning Technology Grants

Provides for same in total amount in $3.285 million

§93

 

Excess Medicaid Payments for School-age and Pre-school special Education Programs

Provides that money received form Federal Medicaid by the state in excess of $170 million may be made available for payment of prior year claims for services under education Law, §4410 and for school-aged students services

§95

 

Bi-lingual Grants

Provides $11.2 million

§102

 

Payments to Charter Schools for Students with Disabilities

Such payments may be increased with mutual agreement between the school district and the charter school to provide appropriate levels of service under the student’s IEP

§103

 

Grants in aid

Districts may receive grants up to a total of $7.7 million for mitigating effects for district changes and to ensure effective planning

PART I

§10

 

Early Grade Class Size Reduction Program, Teachers of Tomorrow Program

Provides $140 million and $25 million respectively

 

S.6255-C/A.9755-C

Appropriation Bill
Education, Labor and Family Assistance Budget

Page

Lines

Subject

Summary

47

1, 2

Magnet School Expenses

Provides $100,000 for Poughkeepsie Magnet School services and expenses

47

3, 4

Magnet School Expenses

Provides $48,000 for Beacon Magnet School expenses and services

53

14-23

Charter School Funding

Provides $20 million for expenses for development, implementation and operation of charter schools upon plan with DOB approval

54

1-32

STAR

Provides $2.7 billion in school tax relief program aid

73

19, 20, 30, 33

Special Appropriations

Provides as follows: Middletown teacher center $32,000; Mount Vernon City School District $30,000; New Rochelle City School District $30,000; Newburgh Teacher Center $40,000

75

10

Special Appropriations

Provides Vernon Verona Sherrill City School District $20,000

81

1, 2

Special Appropriations

Provides Mount Vernon Public Library $6,000; Mount Vernon City School District $5,000

87

18-31

Teacher Salary Enhancement Appropriation

Provides $2 million for 853 Schools and Special Acts School Districts school teachers to prevent excessive instructional staff turnover

 

DATES TO REMEMBER  

May 31, 2002
12:00
DeGraff-Foy, Albany
Board Meeting

August 18 & 19, 2002
Statler Hotel, Cornell University, Ithaca 
Summer Conference and Board Meeting

 

•Albany
•Amsterdam
•Auburn
•Batavia
•
Beacon
•Binghamton
•Canandaigua
•
Cohoes
•Corning
•
Cortland
•
Dunkirk
•
Elmira
•Fulton
•Geneva
•Glen Cove
•Glens Falls
•
Gloversville
•Hornell
•Hudson
•Ithaca
•Jamestown
•
Johnstown
•Kingston
•Lackawanna
•
Little Falls
•Lockport
•Long Beach
•
Mechanicville
•Middletown
•Mount Vernon
•
New Rochelle
•Newburgh
•
Niagara Falls
•N. Tonawanda
•Norwich
•Ogdensburg
•
Olean
•Oneida
•Oneonta
•Oswego
•Peekskill
•
Plattsburgh
•Port Jervis
•
Poughkeepsie
•
Rensselaer
•
Rome 
•Rye
•Salamanca
•Saratoga
•Schenectady
•Tonawanda
•Troy
•Utica
•Vernon Verona Sherrill
•Watertown
•Watervliet
•White Plains